The volume of services rendered in the country dropped by 0.4% in August, interrupting a sequence of tow consecutive months of increase. As a result, the sector is 15.0% above the level of February 2020 (pre pandemic) and 0.4% below the result of July 2024 (peak of the time series). The data come from the Monthly Survey of Services, released today (11) by the IBGE.

In the comparison with August 2023, the sector recorded an increase of 1.7% in the month, fifth consecutive positive result.  As for the cumulative index in the year, volume of services increased by 2.7% from the same period in 2023. As for the indicator in the last 12 months, there was an increase of 1.9% in August 2024, with the same rates of June and July. 

“In August, services partially made up for the 1.6% increase observed in the last previous months. We noticed a drop in revenue of companies working in the segments of film exhibition; mailing, air transportation; telecommunications and legal activities. In terms of sectors, the negtive highlight came from information and communication, due to audiovisual services (including movie theathers) and telecommunications,” said Rodrigo Lobo, manager of PMS.

The drop in volume of services from july to August 2024 was followed by two of the five dissemination activities survyed. The activity information and communication fell by 1.0%, and made up for part of the 3.7% cumulative increase of June and July, a result that was mainly influenced by the drop in audiovisual services (-6.6%). “The decrease in the revenue from movie theaters results from the fact that July had a school recess and going to the movies is a common form of entertainment in the period. So, we had a drop in the revenue from cinemas in August against July," said Lobo.

The other drop was that of transportation (-0.4%), second consecutive drop, a cumulative 2.0%. The drop was minly influenced by air transportation (-4.0%).

On the other hand, other services (1.4%) and services rendered to families (0.8%) registered increases. the former had a cumulative increase of 1.7% in the period July-August, whereas the second had a cumulative no período julho-agosto, the latter had a cumulative increase of 4.7% between the months of May and August. The sector of professional, administrative and complementary services (0.0%) was stable in August.

In the comparison between August 2024 and August 2023, the 1.7% increase of the services sector was the fifth positive result in a row. The advance of this month was followed by four of the  dissemination activities and increase in 59.0% of the 166 types of services investigated. The main contribution came from information and communication (6.9%).

The cumulative index of January - August 2024, against the same period in 2023, with an increase of 2.7% showed the advance of four of the five activities and 60.2% of the 166 types of services. The most relevant contrubutions came from professional, administrative and complementary services (7.5%); and information and communication (5.8%).

Volume of services drops in 20 Federation Units between July and August

In the regional analysis of PMS, from July to August, 20 of the 27 Federation Units (UFs) recorded a drop in the real revenue from services, together with the retraction observed in the national result. Among the areas that recorded negative rates in the month, the main impacts came from the Federal District (-9.4%) and Rio de Janeiro (-1.6%), followed by Minas Gerais (-1.1%), Goiás (-2.3%), São Paulo (-0.1%) and Pará (-2.7%). On the contrary, Mato Grosso (2.1%) and Bahia (1,2%) accounted for the main positive influences in the month. 

Against August 2023, there were increases in 18 Federation Units, with the main positive contribution coming from São Paulo (4.3%), followed by Rio de Janeiro (1.9%), Santa Catarina (5.7%), Bahia (3.5%), Amazonas (8.3%), Espírito Santo (6.0%) and Paraná (1.6%). The drops in the month were led by Rio Grande do Sul (-15.7%), followed by Mato Grosso (-12.1%), Mato Grosso do Sul (-14.4%) and Goiás (-7.6%).

As for the cumulative indicato in the period January-August, against the same period in 2023, 21 Federation Units recorded expansion in volume of services, with the main influence coming from São Paulo (4.0%), Rio de Janeiro (3.8%), Paraná (3.7%), Santa Catarina (5.6%) and Minas Gerais (2.4%). On the other hand, Rio Grande do Sul (-7.4%) and Mato Grosso (-9.1%) accounted for the main negative influences on the national index.

Tourism activities remain stable (0.0%) in August

The index of tourism activities remained stable (0.0%) against the immediately previous month, after a drop of 0.8% in July.

As a result, the tourism segment was 6.9% above the level of February 2020 and 0.8% below the peak of the series, reached in February 2014.

In the regional analysis, most locations recorded drops (11 of the 17 ones surveyed). The main negative influences were those of São Paulo (-0.8%) and Rio de Janeiro (-2.1%), followed by Minas Gerais (-1.7%) and Pará (-7.9%).

Considering the cumulative indicator from January to August 2024, the specail aggregate of toursim activities increased by 1.5% against the same period a year ago, mainly due to the increase in revenue obtained from companies in the segments of restaurants; catering servicrs; air transportation of passengers; theater performances and musicals; hotels and travel agencies. 

Transportation of passengers dropped cargo transportation was stable in August 

In August, volume of transportation of passengers in Brazil fell by 0.8% against the immediately previous month, in the seasonally adjusted, after having decreased by 2.4% in July.

Volume of transportation of cargo was stable (0.0%) in August 2024, after a drop of 0.7% in the previous month.

Against August 2023, transportation of passengers decreased by 1.9% in August 2024, whereas transportation of cargo fell by 5.5% in the same type of comparison.

As for the cumulative index in the first eight months of the year, transportation of passengers fell by 1.8% from the same period in 2023, whereas transportation of cargo fell by 2.4% in the same period surveyed. 

More about the survey

PMS produces indicators to monitor the short-term behavior of the services sector in Brazil. The survey investigates the gross revenue from services in formal enterprises that employ 20 or more persons, in which the main activity is a non-financial service, excluding the areas of health and education. It produces results for Brazil and all the Federation Units. Results are available on Sidra.

This is the 20th release of the  new series of the survey, which updated the sample of enterprises, as well as included methodological changes to portray economic changes in the society. They are updates already scheduled and periodically implemented by the IBGE. The next release of the Monthly Survey of Services, related to September, will be on November 13.