Manufacturers have strong optimism for growth in 2027, but they have much less confidence in turning stronger demand into profits, according to an industry survey from Wipfli.
Specifically, two-thirds expect revenue growth, but only 25% are very confident in achieving 2027 profit goals, Milwaukee-based advisory and accounting firm Wipfli said in its “Manufacturing Pulse Survey.” As another measure of that balanced view, 52% are becoming more selective about the opportunities they pursue, signaling a greater focus on the quality of new business.
The Q4 2026 survey of 342 manufacturing facilities found overall sentiment has reached its highest level since 2022, supported by stronger growth expectations and improving business opportunities. Still, persistent costs, labor challenges, and pricing pressures are keeping profitability firmly in focus.
More specifically, higher costs of doing business remain manufacturers’ leading concern, alongside talent and wages, continued inflation, and raw material pricing. Manufacturers also continue to navigate tariff impacts, with Section 232 affecting 71% of survey respondents.
Pricing remains another challenge. Just 29% of manufacturers reported successfully passing through most requested price increases in 2026, while 45% passed through some.
That combination makes operational discipline increasingly important as manufacturers prepare for growth. “Manufacturers have good reason to feel more confident going into 2027. We’re seeing stronger demand, better quote activity and real opportunities for growth, but growth doesn’t automatically translate into better profitability,” said Laurie Harbour, partner, Wipfli.
