flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

ABC’s construction backlog inches lower in June; Contractor confidence falters

Building Team

ABC’s construction backlog inches lower in June; Contractor confidence falters

Associated Builders and Contractors reports today that its Construction Backlog Indicator fell 0.1 months in June and stands at 8.9 months, according to an ABC member survey conducted June 21 to July 5.


By ABC | July 14, 2022
Construction Industry
Courtesy Pixabay.

Associated Builders and Contractors reports today that its Construction Backlog Indicator fell 0.1 months in June and stands at 8.9 months, according to an ABC member survey conducted June 21 to July 5. The reading is up 0.4 months from June 2021.

View ABC’s Construction Backlog Indicator and Construction Confidence Index tables for June 2022.

ABC’s Construction Confidence Index readings for sales, profit margins and staffing levels declined in June. The indices for sales and staffing remain above the threshold of 50, indicating expectations of growth over the next six months, while the reading for profit margins fell below the threshold of 50 for the first time since October 2021.

“Several months ago, there was conjecture that contractors were generally too upbeat regarding their collective future,” said ABC Chief Economist Anirban Basu. “Increasingly, the data suggest that they were. At the time, many contractors reported surging backlog and an ability to pass along hefty cost increases to project owners. For months, contractors expected sales, employment and margins to expand. The most recent ABC survey indicates that, to secure work and to induce project starts, a growing fraction of contractors is having to trim margins.

“While circumstances are hardly catastrophic, the nonresidential construction marketplace is not as strong as it was expected to be,” said Basu. “Many factors are involved, including materials prices that have remained stubbornly elevated and construction skills shortages that have refused to dissipate.

“In the context of rising fears of recession and rising borrowing costs, the stage has been set for softer nonresidential construction activity going forward," said Basu. "That said, public contractors can expect to remain busy in the context of a significant infrastructure spending package. Still, the market may not prove as robust as anticipated given delayed project start dates as public agencies determine the right moment to purchase construction services. Despite all of these considerations, contractors continue to expect industry sales and employment to expand over the next six months.”

ABC Construction Backlog Indicator & Construction Confidence
Courtesy ABC.

Note: The reference months for the Construction Backlog Indicator and Construction Confidence Index data series were revised on May 12, 2020, to better reflect the survey period. CBI quantifies the previous month’s work under contract based on the latest financials available, while CCI measures contractors’ outlook for the next six months.

Related Stories

| Oct 5, 2012

2012 Reconstruction Award Silver Winner: Residences at the John Marshall, Richmond, Va.

In April 2010, the Building Team of Rule Joy Trammell + Rubio, Stanley D. Lindsey & Associates, Leppard Johnson & Associates, and Choate Interior Construction restored the 16-story, 310,537-sf building into the Residences at the John Marshall, a new mixed-use facility offering apartments, street-level retail, a catering kitchen, and two restored ballrooms.

| Oct 4, 2012

2012 Reconstruction Awards Silver Winner: Allen Theatre at PlayhouseSquare, Cleveland, Ohio

The $30 million project resulted in three new theatres in the existing 81,500-sf space and a 44,000-sf contiguous addition: the Allen Theatre, the Second Stage, and the Helen Rosenfeld Lewis Bialosky Lab Theatre.

| Oct 4, 2012

2012 Reconstruction Awards Gold Winner: Wake Forest Biotech Place, Winston-Salem, N.C.

Reconstruction centered on Building 91.1, a historic (1937) five-story former machine shop, with its distinctive façade of glass blocks, many of which were damaged. The Building Team repointed, relocated, or replaced 65,869 glass blocks.

| Oct 4, 2012

2012 Reconstruction Award Platinum Winner: Building 1500, Naval Air Station Pensacola Pensacola, Fla.

The Building Team, led by local firms Caldwell Associates Architects and Greenhut Construction, had to tackle several difficult problems to make the historic building meet current Defense Department standards having to do with anti-terrorism, force protection, blast-proofing, and progressive collapse.

| Oct 4, 2012

2012 Reconstruction Awards Platinum Winner: City Hall, New York, N.Y.

New York's City Hall last received a major renovation nearly a century ago. Four years ago, a Building Team led by construction manager Hill International took on the monumental task of restoring City Hall for another couple of hundred years of active service.

| Oct 4, 2012

BD+C's 29th Annual Reconstruction Awards

Presenting 11 projects that represent the best efforts of distinguished Building Teams in historic preservation, adaptive reuse, and renovation and addition projects.

| Oct 4, 2012

Integrated security systems—replacing legacy systems

To a large degree, building security is driven by the integration of a variety of electronic security systems. The market and engineering of these systems exploded in the post-9/11 era and has shown few signs of tapering off.

| Oct 4, 2012

Gilbane publishes Fall 2012 construction industry economic report

Report outlines fluctuation in construction spending; predicts continued movement toward recovery.

| Oct 3, 2012

Fifth public comment period now open for update to USGBC's LEED Green Building Program

LEED v4 drafts and the public comment tool are now available on the newly re-launched, re-envisioned USGBC.org website.

| Oct 2, 2012

Dow Business Services Center building named 2012 “America’s Best Buildings of the Year” winner

Building constructed with air sealing and insulation products from Dow Building Solutions.

boombox1
boombox2
native1

More In Category




halfpage1

Most Popular Content

  1. 2021 Giants 400 Report
  2. Top 150 Architecture Firms for 2019
  3. 13 projects that represent the future of affordable housing
  4. Sagrada Familia completion date pushed back due to coronavirus
  5. Top 160 Architecture Firms 2021