Prague - Czech industry grew by 7.7 percent in April in annual terms, a slowdown from a revised 8.4 percent rise in March, and the value of new contracts increased by 14.7 percent, the Czech Statistical Office (CSU) said today.
Seasonally-adjusted industrial output added 1.1 percent on the month.
"Industry stays as the driving force of the Czech economy. The growth in April has surpassed analysts´ estimates and joined other indicators which signal that the revival of the Czech economy has solid foundations," said UniCredit Bank analyst Patrik Rozumbersky.
Industrial companies benefit from the favourable situation on the main export markets and revival of the Czech economy also helps, Patria Finance chief economist David Marek noted.
The spread of the growth among the individual sectors is positive as well, Home Credit analyst Michal Kozub remarked.
"It is not valid that one strong sector would be pulling up the whole industry, while the other sectors would be ailing," he added.
Kozub sees very good signals also for the coming months.
Manufacture of motor vehicles, trailers and semi-trailers contributed the most to the yr/yr increase of industrial production, it grew by 16.5 percent year on year.
Production of electrical equipment rose by 11.6 percent and production of fabricated metal products by 6.2 percent yr/yr.
Production decreased in printing and reproduction of recorded media - by 4.9 percent.
Sales from industrial activity at current prices increased by 10.3 percent yr/yr in April.
Direct export sales of industrial enterprises grew by 14.8 percent in current prices. Domestic sales, which include also indirect export via non-industrial enterprises, grew by 5.5 percent in current prices.
The value of new orders in selected industrial activities increased by 14.7 percent yr/yr in April. Non-domestic new orders rose by 16.4 percent and domestic new orders by 11.4 percent.
The yr/yr growth in new orders in total was the most contributed to by the manufacture of motor vehicles, trailers and semi-trailers (+22.7 percent).
The average registered number of employees in industrial enterprises with 50+ employees increased by 1.9 percent yr/yr. Their average monthly nominal gross wage increased by 2 percent yr/yr to Kc27,431.