Texas Service Sector Outlook Survey: June 2025
The Texas Service Sector Revenue Index edged up 0.6 pts to -4.1 in June, indicating continued contraction at a similar pace to May.
- Employment slipped -1.0 pts to -1.2, while hours worked held flat at 0.0, signaling stagnant labor conditions.
- Selling prices rose 1.6 pts to 6.8, while input prices increased slightly to 21.3, both remaining below historical averages.
- Capital expenditures jumped 3.1 pts to 7.5, showing modest investment growth.
- Company Outlook improved 5.9 pts to -2.4, and General Business Activity rose 5.7 pts to -4.4, though both remained negative.
- Outlook Uncertainty rose slightly to 19.7, staying elevated above its 13.6 series average.
The Texas Retail Sales Index remained weak at -29.5 in June, up slightly from -30.5 in May, signaling continued sharp contraction in activity across the retail sector.
- Employment fell to -9.0 (from -8.1), while Hours Worked plunged -10.3 pts to -14.1, indicating steeper labor market declines.
- Selling Prices jumped 8.9 pts to 14.1, rising above the long-run average, while Input Prices fell -3.8 pts to 17.5.
- Capital Expenditures rebounded 9.2 pts to 6.9, and Inventories rose 7.9 pts to -2.8, though both remained in low territory.
- Companywide Sales improved to -24.0 (from -35.8), and Internet Sales rose to -16.0 (from -25.2), though both remain deeply negative.
- General Business Activity and Company Outlook stayed depressed at -24.4 and -24.2, while Outlook Uncertainty held elevated at 18.8.