Last November at Fiera Milano, where Print4All will be held next May, during the Print Economic Forum (held on the occasion of the Gold Press Award), Senior Analyst Stefano Portolani analysed market trends, with a particular focus on 2023; extended his analysis to the last 5 years for the financial performance of 765 companies in the sector, with a panel composed of limited companies that have filed their annual accounts and have a turnover of more than 3 million euros. Among these companies, 46% can be considered medium-sized, compared with 18% of small companies and 36% of large companies. Despite the lower percentage, large companies still account for the majority of turnover.

Portolani's analysis highlighted a sector worth around €16.5 billion, employing 54,500 people and experiencing a decline in performance revenues of around 17% compared to the previous year.

On the other hand, the operating result increased by 7% in absolute terms, from 6.5% to 8.6% in terms of the return on sales: This means that companies in the printing sector have better managed their operating costs and improved their first profit despite a decrease in turnover. Equity also increased for 80% of the companies considered, an improvement on the previous year (60 companies versus 80 in 2022).

When asked what contributed to the increase in profits, panel companies cited the introduction of new technologies, better customer selection, increased margins on production costs and cost reductions. Similarly, those who did not report an improvement in profits cited a decline in sales margins, an increase in costs, previous commitments and medium-term investments, or no investment in technology.

On the investment side, exposure to banks is declining slightly. In fact, the written debts on the balance sheet are lower, even in reference to operating income. Investments in plant, machinery and equipment have also decreased for the majority of companies. It is interesting to note, however, that in the comparison between two companies in the panel under consideration, the results of the company that invested more in plant and equipment during the year were more positive than those of the company that did not invest in plant and equipment.

Another important indicator for market trends are obviously prices: increases of between 5% and 20% were reported by 89.5% of respondents for paper and cardboard, 87.5% for inks, 76% for press room products, 67% for plates and 78% for plastic film. Indeed, material prices remained high in 2023 at the expense of lower inflation. Despite this, only a quarter of companies expect operating margin revenues to deteriorate in 2024 compared to 2023 (30/ 35% expect an improvement and 40% believe they will be in line with last year), confirming a generally positive situation for the performance of the printing and converting market.