NEW DELHI, June 18 (Reuters) - Asia's top companies reported a bullish outlook in the second quarter of 2014 compared to the first three months despite worries over the global economy and rising costs, the latest ThomsonReuters/INSEAD Asia Business Sentiment Survey showed.
Of the 124 companies who responded to the poll, none reported a negative outlook for the first time in the survey's history. The ThomsonReuters/INSEAD Asia Business Sentiment Index rose significantly to 74 in the second quarter compared to a 64 reading in January-March.
A reading above 50 indicates an overall positive outlook.
AUTOS: TURNS BULLISH (INDEX AT 67 VS 50 IN Q1)
Sentiment among Asian automakers jumped to a two-year high during the second quarter, with two of six respondents positive on the outlook. In the last quarter, all 11 respondents were neutral. New orders and sales increased at four automakers while global economic uncertainty remained the biggest worry for most respondents, which included India's Hero MotoCorp.
BUILDING: BIGGEST JUMP (INDEX AT 75 VS 50 IN Q1)
Sentiment for the building sector rebounded in the second quarter as half the companies polled reported a positive outlook, helped by an increase in new orders and sales. In the first quarter of 2014 all companies had a neutral outlook. Global economic uncertainty continued to be the top risk.
DRUGS: CONFIDENCE DENTED (INDEX AT 70 VS 79 IN Q1)
Currency volatility, rising costs and global economic uncertainty hampered the recovery of confidence for drugmakers, which slipped in the second quarter. Three of five respondents were neutral on their outlook, while two were positive. The participants include India's Lupin Ltd and Japan's Takeda Pharmaceutical Co Ltd.
FINANCIALS: SENTIMENT SLIPS (INDEX AT 60 VS 64 IN Q1)
Asia's financial sector was the most pessimistic with sentiment declining in the second quarter compared to the first. Eight of 10 companies reported a neutral outlook as global economic uncertainty continued to pose the biggest threat. Malaysia's Alliance Financial Group took part in the survey, among others.
FOOD: TURNING A CORNER (INDEX AT 75 VS 60 IN Q1)
Food and beverage companies have shown gradual improvement in outlook over the last two quarters with six of 12 companies reporting a positive outlook. Rising costs were a concern for the majority of companies in the survey. Japan's Asahi Breweries and Kirin Holdings were among the respondents.
PROPERTY: GRADUAL REBOUND (INDEX AT 79 VS 75 IN Q1)
Concerns over the global economy failed to dampen the sentiment among Asia's property firms with 10 of 17 companies reporting a positive outlook. New orders and sales increased for more than half the firms while about 40 percent expected to hire more people. Australia's Stockland Corp and Ayala Land of the Philippines participated in the survey.