Our experienced team provide market insights and news on the Asset Advisory and Auction industry.

Read our Quarterly Report Q2 2020

Posted 31 August 2020

The impact of the COVID pandemic has affected every part of the Australian economy including affecting asset values in the automotive, road transport, construction, manufacturing, mining, aviation and marine sectors.

  • Government Stimulus has injected life into many markets. The instant asset write off that was boosted from $30,000 to  $150,000, as well as the generous Accelerated Depreciation Deduction have assisted some markets from collapsing.
  • Truck Sales rebound slightly for all but heavy-duty trucks in June, which helps lift the falls over the first half of 2020.
  • Caterpillar Inc. has announced second-quarter 2020 sales and revenues of $10.0 billion, a 31% decrease compared with $14.4 billion in the second quarter of 2019.
  • Tractor sales for April reported a year on year increase of 40% and May reported another solid increase of 30% over the same period in 2019.
  • Virgin Australia’s preferred buyer has been announced as US private equity firm Bain Capital. With plans to pare back the airline, cut high-end comforts for flyers and relaunch with about half its existing fleet as early as September. Bain are not guaranteed the sale though with bondholders mounting a challenge.
  • Sales of new cars in June 2020 were stronger than expected as buyers returned to showrooms. However, it was still a decline on last year with the 27 consecutive monthly sales slowdown.
  • Manufacturers are now worried about stock shortages with global production slowing down due to the COVID pandemic.

View the full report online here