Associated Builders and Contractors' Construction Backlog Indicator increased to 8.9 months in April from 8.7 in March, according to an ABC member survey conducted April 20 to May 3. The reading is 0.1 months higher than in April 2022.
After declining to a seven-month low in March, backlog rebounded in April due to strength in the infrastructure category. Regionally, backlog increased in the Northeast and West but fell in the South and middle states.
ABC’s Construction Confidence Index reading for sales and staffing moved higher in April, while the readings for profit margins inched lower. All three readings remain above the threshold of 50, indicating expectations of growth over the next six months.
“Based on ABC member sentiment, one would not be able to discern that interest rates are high, the nation’s banking sector is in tumult, politicians are arguing over the nation’s debt limit and recession fears remain pervasive,” said ABC Chief Economist Anirban Basu. “Despite many headwinds and an active news cycle, contractors continue to express confidence in the near term.
“Still, there is some evidence of a shift,” said Basu. “With credit conditions tightening, expectations are that private construction is poised for weaker times ahead. Nonetheless, backlog expanded in April, as infrastructure contractors began to take on more public works projects. Moreover, despite rapidly rising compensation costs, more ABC contractors expect profit margins to expand as opposed to recede over the next six months, evidence of sufficiently strong demand for construction services to support pricing power.”
Related Stories
| Feb 2, 2012
Next phase of construction begins on Scripps Prebys Cardiovascular Institute
$456 million Institute will be comprehensive heart center for 21st Century.
| Feb 1, 2012
Increase notched in construction jobs, but unemployment rate still at 16%
AGC officials said that construction employment likely benefited from unseasonably warm weather across much of the country that extended the building season.
| Feb 1, 2012
Replacement windows eliminate weak link in the building envelope
Replacement or retrofit can help keep energy costs from going out the window.
| Feb 1, 2012
‘Augmented reality’ comes to the job site
A new software tool derived from virtual reality is helping Building Teams use the power of BIM models more effectively.
| Feb 1, 2012
New ways to work with wood
New products like cross-laminated timber are spurring interest in wood as a structural material.
| Feb 1, 2012
Blackney Hayes designs school for students with learning differences
The 63,500 sf building allows AIM to consolidate its previous two locations under one roof, with room to expand in the future.
| Feb 1, 2012
Two new research buildings dedicated at the University of South Carolina
The two buildings add 208,000 square feet of collaborative research space to the campus.
| Feb 1, 2012
List of Top 10 States for LEED Green Buildings released?
USGBC releases list of top U.S. states for LEED-certified projects in 2011.
| Feb 1, 2012
ULI and Greenprint Foundation create ULI Greenprint Center for Building Performance
Member-to-member information exchange measures energy use, carbon footprint of commercial portfolios.
| Feb 1, 2012
AEC mergers and acquisitions up in 2011, expected to surge in 2012
Morrissey Goodale tracked 171 domestic M&A deals, representing a 12.5% increase over 2010 and a return to levels not seen since 2007.