Australian label association analyzes converter performance

The Australian Label and Tag Manufacturers Association (Latma) launched a Financial Ratio Survey during its recent annual conference.

To be made available only to members, the analysis will be handled by US-based consultant Industry Insights, which counts North American and European associations TLMI and Finat among its clients.  

Newly elected Latma president John Leathart said the survey will require converters to submit baseline financial data from P&L’s and balance sheets. Industry Insights will consolidate them with all received forms undergoing thorough examination by its analysts using proprietary software to ensure that all data is valid and reasonable. Once any inconsistencies are corrected, the data is compiled and analyzed.

‘They then spit back individual packages to each participating converter with benchmark comparisons about how the business is running, compared to industry and global norms, ’Leathart said, adding that the association plans to make the survey an annual occurrence.

The concept of such a comparison analysis has been the subject of intense planning by the previous Latma board under the guidance of outgoing president Frank Gavrilos.

Industry Insights’ executive Shawn Six outlined the mechanics of the survey to conference attendees, emphasizing that all submissions are treated with the strictest of confidence. His firm currently process over 100,000 survey forms annually and as such, is highly sensitive to the proprietary interests of survey respondents.

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