The Latest News

FE&S delivers relevant news of the day to the foodservice equipment and supplies marketplace.

Advertisement

Equipment and Supplies Flatten to Start 2025

Overall sales of foodservice equipment and supply items were flat during the first quarter 2025, per data from the Business Barometer published by the Manufacturers’ Agents Association for the Foodservice Industry. For the second quarter of 2025, reps project a 1% increase in sales. For the year, reps project sales will increase 2.7% compared to 2024.

With a growth rate of 0.9% for the quarter, equipment was the only product category end the term in positive territory. In comparison, furniture sales declined 4.8%, sales of tabletop items declined 2.5% and sales of supply items dipped 2.0%.

In terms of quoting activity, only 17% of reps report a decline when comparing the first quarter of 2025 to the fourth quarter of 2024, which is positive considering the start to the year. Also, 38% of reps report an increase in quoting activity and 45% report no change.

Comparing consultant activity in the first quarter of 2025 to the fourth quarter of the previous year, 26% of reps report an increase and 53% report no change. Only 21% of reps report a decrease in consultant activity.

The first quarter of 2025 was the second time in five quarters that sales growth came in at 0% compared to the previous reporting period. During this period, quarterly sales changes were 0.0%, -1.0%, -0.6%, 0.2% and 0.0%, which averages out to 15 months of negativity, per MAFSI.

In his analysis of the data, longtime MAFSI member Michael Posternak of PBAC Reps, wrote, “We are now in the fourth year of slowing negative sales with further concerns on the horizon, due to tariff-induced supply distortions. Similarly to the early days of COVID, we are in the midst of uncertainty. “Yo-Yo” tariffs make it nearly impossible to forecast future outcomes and to plan prudent actions. Some manufacturers have been advancing orders in the hope of beating tariffs, while others have been freezing or cancelling orders. Pricing is holding or increasing while growth is absent, creating a climate of “stagflation” and uncertainty.”

Advertisement