The second quarter brought generally worse business conditions for the ITAD industry than the first quarter, although business leaders seem to think they've hit the bottom of secondary market pricing.
Low used electronics pricing in China, margin compression and inflation conspired to cut Sims Lifecycle Services' profits in half during the 2023 fiscal year, executives said.
Low prices for electronic components continue to dampen Iron Mountain's data center decommissioning business. Meanwhile, a group of ITAD and e-scrap companies boosted their profit margins even amid a slowdown in business.
Likely hesitant due to difficult markets in the first quarter, ITAD industry players were fairly conservative in their capital expenditures early this year. But company leaders foresee bigger spending ahead, according to a new survey.
A number of market factors squeezed the ITAD industry earlier this year, including high costs of labor and lower secondary market prices, according to a first-of-its-kind survey.
Global economic concerns and rising interest rates put a damper on metals prices during the second quarter, although gold and silver values were up because of investor interest, according to a major smelter operator.
Around the globe, PC shipments dropped 16.6% in the second quarter of 2023, marking the seventh consecutive quarter of decline. However, Gartner predicts that the market is beginning to stabilize.
A Colorado business looking to make ITAD services more accessible and more efficient for both customer and provider was awarded a state grant to support its efforts.