flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

ABC’s Construction Backlog Indicator and Contractor Confidence Index rise in June

Market Data

ABC’s Construction Backlog Indicator and Contractor Confidence Index rise in June

ABC’s Construction Confidence Index readings for sales, profit margins and staffing levels increased modestly in June.


By ABC | July 13, 2021

Associated Builders and Contractors reports today that its Construction Backlog Indicator rose to 8.5 months in June, according to an ABC member survey conducted June 20-July 6, 0.5 months higher than in May 2021 and 0.4 months higher than in June 2020.

 

 

ABC’s Construction Confidence Index readings for sales, profit margins and staffing levels increased modestly in June. All three indices remain above the threshold of 50, indicating expectations of growth over the next six months.

 

 

“Nonresidential contractors continue to predict a strong rebound in activity over the balance of the year,” said ABC Chief Economist Anirban Basu. “Despite recent weakness in industry employment and spending data, contractors collectively remain upbeat. The neck-snapping pace of economic recovery, along with low financing costs and the return of projects that had been placed on the back burner during the pandemic, is translating into rising backlog and optimistic perspectives on employment, sales and profit margins.

“Rapidly rising materials prices was one of the leading threats to a vigorous nonresidential construction recovery; however, that factor has become a bit less concerning in recent weeks,” said Basu. “Still, materials prices are likely to remain meaningfully above pre-pandemic levels. Moreover, the shortage of skilled workers continues to worsen, driving up wages and project bids in the process. Demand for construction services is expected to be strong enough during the months ahead to allow contractors to pass many of these higher costs onto the purchasers of construction services, preserving margins in the process.”

 

Related Stories

Market Data | Jan 23, 2020

Construction contractor confidence surges into 2020, says ABC

Confidence among U.S. construction industry leaders increased in November 2019 with respect to sales, profit margins, and staffing, according to the Associated Builders and Contractors Construction Confidence Index. 

Market Data | Jan 22, 2020

Architecture Billings Index ends year on positive note

AIA’s Architecture Billings Index (ABI) score of 52.5 for December reflects an increase in design services provided by U.S. architecture firms.

AEC Tech | Jan 16, 2020

EC firms with a clear ‘digital roadmap’ should excel in 2020

Deloitte, in new report, lays out a risk mitigation strategy that relies on tech.

Market Data | Jan 13, 2020

Construction employment increases by 20,000 in December and 151,000 in 2019

Survey finds optimism about 2020 along with even tighter labor supply as construction unemployment sets record December low.

Market Data | Jan 10, 2020

North America’s office market should enjoy continued expansion in 2020

Brokers and analysts at two major CRE firms observe that tenants are taking longer to make lease decisions.

Market Data | Dec 17, 2019

Architecture Billings Index continues to show modest growth

AIA’s Architecture Billings Index (ABI) score of 51.9 for November reflects an increase in design services provided by U.S. architecture firms.

Market Data | Dec 12, 2019

2019 sets new record for supertall building completion

Overall, the number of completed buildings of at least 200 meters in 2019 declined by 13.7%.

Market Data | Dec 4, 2019

Nonresidential construction spending falls in October

Private nonresidential spending fell 1.2% on a monthly basis and is down 4.3% from October 2018.

Market Data | Nov 25, 2019

Office construction lifts U.S. asking rental rate, but slowing absorption in Q3 raises concerns

12-month net absorption decelerates by one-third from 2018 total.

Market Data | Nov 22, 2019

Architecture Billings Index rebounds after two down months

The Architecture Billings Index (ABI) score in October is 52.0.

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