flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

ABC’s construction backlog rises in May; contractor confidence falters

Market Data

ABC’s construction backlog rises in May; contractor confidence falters

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.


By ABC. | June 15, 2022
ABC Construction Backlog Indicator
Courtesy Pixabay.

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.”

ABC Construction Backlog Indicator & Construction Confidence Index
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

Women in Design+Construction | Mar 21, 2023

Two leading women in construction events unite in 2023

The new Women in Residential + Commercial Construction Conference (WIR+CC) will take place in Nashville, Tenn., October 25-27, 2023. Combining these two long-standing events aligns with our mission to create an event most impactful for women in the $1.4 trillion U.S. commercial and residential design and construction industry.

Building Team | Mar 8, 2023

Call for Speakers: BD+C’s 2023 Women in Residential + Commercial Construction Conference

The 2023 Women in Residential + Commercial Construction conference event will take place October 25-27 in Nashville, Tenn., and will bring together more than 300 women leaders from all facets of the $1.4 trillion U.S. residential and commercial constructing sector.

Industry Research | Mar 2, 2023

Watch: Findings from Gensler's latest workplace survey of 2,000 office workers

Gensler's Janet Pogue McLaurin discusses the findings in the firm's 2022 Workplace Survey, based on responses from more than 2,000 workers in 10 industry sectors. 

Museums | Jan 18, 2023

Building memory: Why interpretive centers matter in an era of social change

The last few years have borne witness to some of the most rapid cultural shifts in our nation’s long history. If the experience has taught us anything, it is that we must find a way to keep our history in view, while also putting it in perspective.

Hotel Facilities | Nov 8, 2022

6 hotel design trends for 2022-2023

Personalization of the hotel guest experience shapes new construction and renovation, say architects and construction experts in this sector.

Resiliency | Nov 8, 2022

Oregon wildfire risk law prompts extensive backlash from property owners

A bipartisan bill aimed at protecting property owners from wildfires that was passed by the Oregon legislature has prompted a strong backlash.

Building Team | Nov 7, 2022

U.S. commercial buildings decreased energy use intensity from 2012 to 2018

The recently released 2018 Commercial Buildings Energy Consumption Survey (CBECS) by the U.S. Energy Information Administration found that the total floorspace in commercial buildings has increased but energy consumption has not, compared with the last survey analyzing the landscape in 2012.

| Nov 7, 2022

Mixed-use tower in China features world’s highest outdoor pool

Guangxi China Resources Tower, a new 403-meter-tall (1,322 feet) skyscraper in Nanning, China features the world’s highest outdoor pool—at 323 meters (1,060 feet) above grade.

Building Team | Nov 3, 2022

More than half of U.S. contractors say finding skilled workers is big barrier to their growth

More than half of U.S. contractors (55%) say finding enough skilled workers is one of the biggest barriers to growing their business, according to a DEWALT Powering the Future Survey.

Codes and Standards | Nov 2, 2022

New York City construction official wants to boost design-build

The new associate commissioner of alternative delivery in New York City’s Department of Design and Construction aims to encourage more design-build project delivery in the city.

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