Associated Builders and Contractors reports today that its Construction Backlog Indicator increased to nine months in May from 8.8 months in April, according to an ABC member survey conducted May 17 to June 3. The reading is up one month from May 2021.
View ABC’s Construction Backlog Indicator and Construction Confidence Index tables for May 2022.
Backlog in the infrastructure segment jumped from 8.7 months in April to 9.3 months in May, and the Northeast and South regions continue to outperform the Middle States and the West. Contractors with more than $100 million in annual revenues enjoyed the highest backlog, at 13.2 months.
ABC’s Construction Confidence Index readings for sales, profit margins and staffing levels declined in May. 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 was exactly 50 for the month.
“It is simply remarkable that contractors continue to add to backlog amidst global strife, rising materials prices and ubiquitous labor force challenges,” said ABC Chief Economist Anirban Basu. “Backlog is up in every segment over the past year, including in the somewhat shaky commercial category. The largest increase in backlog has been registered in the industrial segment. More American companies are committing to place additional supply chain capacity in the United States, with Intel and Ford representing particularly recent and noteworthy examples.
“For contractors, the challenge will continue to be the cost of delivering construction services,” said Basu. “The risk of severe increases in costs and substantial delays in delivery remains elevated given the volatility in input prices, the propensity of the labor force to shift jobs in large numbers and equipment shortages and delays. This ABC survey indicates that the proportion of contractors who expect that profit margins will expand over the next six months is declining, a reflection of lingering, worsening supply chain challenges.”
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
Burwell Architects, Ziegler Cooper Architects announce merger
Ziegler Cooper Architects is pleased to announce that Burwell Architects has merged into the Corporate Interior Studio of Ziegler Cooper Architects. We believe the new relationship will enhance and expand the services we can provide to our clients.
| Aug 11, 2010
KlingStubbins and Tocci awarded GSA contract for nationwide BIM services
KlingStubbins and Tocci Building Corporation announced they have been selected as a prime contractor team to participate in a $30M, five-year contract to provide Building Information Modeling (BIM) Services for the U.S. General Services Administration (GSA).
| Aug 11, 2010
Sika Sarnafil announces 2009 Project of the Year winners
Sika Sarnafil announced winners of the second annual Sika Sarnafil Roof Consultant Project of the Year competition today. First place was awarded to SRI Consultants, Inc., of Middleton, WI; second place to INSPEC, Inc., of Minneapolis, MN; and Simpson, Gumpertz & Heger of Los Angeles, California, won the third place honor. The competition recognizes and celebrates excellence in roofing design.
| Aug 11, 2010
Kingspan insulated panels showcase net-zero energy modeling
Kingspan Insulated Panels, Inc. is demonstrating energy modeling programs to illustrate how far Envelope First Strategies could advance beyond Leadership in Energy and Environmental Design (LEED), Energy Code and the Department of Energy (DOE) Net-Zero Energy goal of 2025. Kingspan will showcase the models in their exhibit (#954) during the Greenbuild 2009 International Conference and Expo, November 11-13 in Phoenix.
| Aug 11, 2010
Green Guide for Health Care launches pilot program, looks for participants
In first quarter 2010, the Green Guide for Health Care, in collaboration with Practice Greenhealth, is launching a one-year Green Guide for Health Care Operations Pilot Program for healthcare organizations engaged in any or all aspects of green operations initiatives, based on Green Guide v2.2 Operations section.
| Aug 11, 2010
Sustainable Buildings as Teaching Tools: 4 Strategies for Integrating Buildings into Experiential Learning
4 Strategies for Integrating Buildings into Experiential Learning
| Aug 11, 2010
Report: Most data centers are too cold
A recent study (PDF) by server and computing giants shows that data centers are wasting energy-and money-by over-cooling their servers, according to a story in The Register.
| Aug 11, 2010
New landscape rating system launches, completes green building puzzle
On November 5, 2009, the Sustainable Sites Initiative released the nation's first rating system for the design, construction and maintenance of sustainable landscapes, with or without buildings.
| Aug 11, 2010
Las Vegas announces Green Building Rebate Program
The city of Las Vegas announced it will begin a Green Building Rebate Program to stimulate new green building construction and provide energy efficiency retrofits to existing buildings. The green building program provides rebates for new construction and existing commercial and residential retrofits for buildings who construct buildings or projects to green building program standards.