SIC 5046 Commercial Equipment, Not Elsewhere Classified

SIC 5046

This industry classification is composed of establishments primarily engaged in the wholesale distribution of commercial machines and equipment, not elsewhere classified. Products of the industry include commercial cooking and food service equipment, partitions, shelving, lockers, store fixtures, electrical signs, balances and scales (except laboratory), mannequins, and vending machines.

NAICS CODE(S)

423440

Other Commercial Equipment Wholesalers

According to the U.S. Census Bureau, the commercial equipment, not elsewhere classified, industry employed approximately 48,107 workers in 2004, with an annual payroll totaling slightly less than $2 billion, and had approximately 4,486 establishments. The majority of firms that distribute miscellaneous commercial equipment in the United States are typically quite small. In 2004, 2,051 companies had fewer than five employees; 846 companies had between five and nine employees; 595 had between 10 and 19; 577 had between 20 and 99; 238 had between 100 and 499; and 179 had 500 or more employees. The majority of establishments in 2002 were in California (557), New York (388), and Florida (374). In 2002, nearly 43 percent of the establishments posted sales of greater than $1 million.

According to D&B's 2006 figures, the industry had sales of an estimated $13.5 billion. Two key lines of business wholesalers characterize the industry: restaurant, hotel equipment, and supply merchants, and store machines and equipment merchants. Leading industry segments (based on sales) included restaurant equipment and supplies merchants with $3.5 billion; commercial equipment with nearly $1.9 billion; and commercial cooking and food service equipment with nearly $1.8 billion. Sales in the hospitality side of the industry have generally grown faster than those of the store equipment segment. Further, the Manufacturer's Agents Association for the Foodservice Industry (MAFSI) reported an increase of 3.3 percent in food service equipment sales during the second quarter of 2006 as compared to that same time period in 2005.

Though the number of workers in this industry declined by about 9 percent from 53,002 in 2001 to 48,107 in 2004, the annual payroll held steady around $2 billion. Meanwhile the broader category of professional and commercial equipment and supplies merchant wholesalers experienced growth, according to the U.S. Department of Labor's Bureau of Labor Statistics...