![]() ![]() It is also important to consider changes in both bookings and shipments to understand what is driving changes in the book-to-bill ratio. Because bookings tend to be more volatile than shipments, changes in the book-to-bill ratios from month to month might not be significant unless a trend of more than three consecutive months is apparent. Month-to-month comparisons should be made with caution as they reflect seasonal effects and short-term volatility. Year-on-year and year-to-date growth rates provide the most meaningful view of industry growth. A ratio of less than 1.00 indicates the reverse. The book-to-bill ratios are calculated by dividing the value of orders booked over the past three months by the value of sales billed during the same period from companies in IPC’s survey sample. A ratio of more than 1.00 suggests that current demand is ahead of supply, which is a positive indicator for sales growth over the next three to twelve months. Shipments should be roughly 15 percent higher than they were given recent order volume,” DuBravac added.Ĭompanies that participate in IPC’s North American PCB Statistical Program have access to detailed findings on rigid PCB and flexible circuit sales and orders, including separate rigid and flex book-to-bill ratios, growth trends by product types and company size tiers, demand for prototypes, sales growth to military and medical markets, and other timely data. “Shipments continue to be constrained by supply chain dislocations. “PCB orders fell slightly in October but remain well above 2020 levels and are 2.3 percent higher than 2019 levels,” said Shawn DuBravac, IPC’s chief economist. Bookings in October fell 4 percent from the previous month. PCB year-to-date bookings in October were up 19.8 percent compared to last year. ![]()
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