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

| Aug 11, 2010

The pride of Pasadena

As a shining symbol of civic pride in Los Angeles County, Pasadena City Hall stood as the stately centerpiece of Pasadena's Civic Center since 1927. To the casual observer, the rectangular edifice, designed by San Francisco Classicists John Bakewell, Jr., and Arthur Brown, Jr., appeared to be aging gracefully.

| Aug 11, 2010

9 Rooftop Photovoltaic Installation Tips

The popularity of rooftop photovoltaic (PV) panels has exploded during the past decade as Building Teams look to maximize building energy efficiency, implement renewable energy measures, and achieve green building certification for their projects. However, installing rooftop PV systems—rack-mounted, roof-bearing, or fully integrated systems—requires careful consideration to avoid d...

| Aug 11, 2010

Education's Big Upgrade

Forty-five percent of the country's elementary, middle, and high schools were built between 1950 and 1969 and will soon reach the end of their usefulness, according to the 2005–2008 K-12 School Market for Design & Construction Firms, published by ZweigWhite, a Massachusetts-based market-research firm.

| Aug 11, 2010

Burr Elementary School

In planning the Burr Elementary School in Fairfield, Conn., the school's building committee heeded the words of William Wordsworth: Come forth into the light of things, let nature be your teacher. They selected construction manager Turner Construction Company, New York, and the New York office of A/E firm Skidmore, Owings & Merrill to integrate nature on the heavily wooded 15.

| Aug 11, 2010

Bronze Award: Trenton Daylight/Twilight High School Trenton, N.J.

The story of the Trenton Daylight/Twilight High School is one of renewal and rebirth—both of the classic buildings that symbolize the city's past and the youth that represent its future. The $39 million, 101,000-sf urban infill project locates the high school—which serves recent dropouts and students who are at risk of dropping out—within three existing vacant buildings.

| Aug 11, 2010

New school designs don't go by the book

America needs more schools. Forty-five percent of the nation's elementary, middle, and high schools were built between 1950 and 1969, according market research firm ZweigWhite, Natick, Mass. Yet even as the stock of K-12 schools ages and declines, school enrollments continue to climb. The National Center for Education Statistics predicts that enrollment in public K-12 schools will keep rising...

| Aug 11, 2010

Bronze Award: Lincoln High School Tacoma, Wash.

Lincoln High School in Tacoma, Wash., was built in 1913 and spent nearly a century morphing into a patchwork of outdated and confusing additions. A few years ago, the Tacoma School District picked Lincoln High School, dubbed “Old Main,” to be the first high school in the district to be part of its newly launched Small Learning Communities program.

| Aug 11, 2010

Great Solutions: Technology

19. Hybrid Geothermal Technology The team at Stantec saved $800,000 in construction costs by embedding geothermal piping into the structural piles at the WestJet office complex in Calgary, Alb., rather than drilling boreholes adjacent to the building site, which is the standard approach. Regular geothermal installation would have required about 200 boreholes, each about four-inches in diameter ...

| Aug 11, 2010

Cronkite Communication School Speaks to Phoenix Redevelopment

The city of Phoenix has sprawling suburbs, but its outward expansion caused the downtown core to stagnate—a problem not uncommon to other major metropolitan areas. Reviving the city became a hotbed issue for Mayor Phil Gordon, who envisioned a vibrant downtown that offered opportunities for living, working, learning, and playing.

| Aug 11, 2010

Bronze Award: Hawthorne Elementary School, Elmhurst, Ill.

At 121 years, Hawthorne School is the oldest elementary school building in the Elmhurst, Ill., school district and a source of pride for the community. Unfortunately, decades of modifications and short-sighted planning had rendered it dysfunctional in terms of modern educational delivery. At the same time, increasing enrollment was leading to overcrowding, with the result that the library, for ...

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