Service sector revenue up 3.5% in Q2

FIRMS in the service industry saw modest growth from April to June, with takings 3.5 per cent higher than in the same quarter a year ago.

Companies in most sectors fared better than they did last year, going by the service business receipts index released yesterday by the Statistics Department.

The financial and insurance service segment, which carries the greatest weight on the index, was again the strongest performer.

Takings for firms in this cluster went up 9.5 per cent, after a 9.4 per cent rise in the preceding quarter.

The health and social service segment came in a close second, expanding 8.9 per cent year-on-year.

In information and communications, education, business service, and transport and storage, companies also enjoyed a rise in income compared with the year before.

Only recreation and personal service suffered a slide in revenues, which fell 18.3 per cent from levels in the preceding year. The segment was also the only one to experience a decline in the preceding quarter, when takings fell 10 per cent.

Based on the data, the second quarter saw service takings rise 1.4 per cent above what was posted for the first three months of the year. Quarter-on-quarter data, which was not adjusted for seasonal factors, showed growth across almost all segments, except education, and recreation and personal service.

Yesterday's data excluded wholesale and retail trade, and accommodation and food service.

A version of this article appeared in the print edition of The Straits Times on August 28, 2015, with the headline 'Service sector revenue up 3.5% in Q2'. Print Edition | Subscribe