Associated Builders and Contractors reported that its Construction Backlog Indicator remained unchanged at 8.9 months in May, according to an ABC member survey conducted May 20 to June 7. The reading is 0.1 months lower than in May 2022.
Backlog in the infrastructure category ticked up again and has now returned to May 2022 levels. On a regional basis, backlog increased in every region but the Northeast.
ABC’s Construction Confidence Index reading for sales and staffing levels moved lower in May while the reading for profit margins increased. All three readings remain above the threshold of 50, indicating expectations of growth over the next six months.
“During a period of ongoing tumult associated with major bank failures, a near-miss debt ceiling crisis and shifting monetary policy, nonresidential construction backlog has remained remarkably stable,” said ABC Chief Economist Anirban Basu. “At nearly nine months, backlog is essentially unchanged from a year ago and the previous month.
“Moreover, contractor confidence remains elevated despite massive increases in cost of capital and growing concerns over the nation’s commercial real estate segment, with firms indicating sufficient demand and associated pricing power that will keep profit margins steady or better,” said Basu. “Contractors also expect to bring on additional talent over the next six months, an indication of ongoing industry expansion."
Related Stories
| Jan 17, 2015
When is a train station not a train station? When it’s a performance venue
You can catch a train at Minneapolis’s new Target Field Station. You can also share in an experience. That’s what ‘Open Transit’ is all about.
| Jan 16, 2015
Artsy lifeguard stations will brighten Toronto’s snowy beach
Five winning designs have been unveiled for lifeguard stands that will double as public space art installations on Toronto's beach.
| Jan 16, 2015
New York City construction costs continue to climb
A study released by the New York Building Congress shows that construction costs in Manhattan have risen 5% in each of the last two years.
| Jan 15, 2015
A reconstructed Taliesin West is the largest Frank Lloyd Wright LEGO Model [slideshow]
Artist Adam Reed Tucker used 180,000 LEGO pieces and 420 hours of work to recreate Frank Lloyd Wright's Taliesin West campus.
| Jan 15, 2015
Construction materials prices fall in November
Construction input prices dipped 1.4% during the final month of 2014 and are down nearly 1% on a year-over-year basis, according to the Jan. 15 producer price index release from the U.S. Department of Labor.
| Jan 15, 2015
Libeskind unveils 'zig zag' plan for recreational center near Vilnius ski area
Perched on the highest peak between Vilnius' historic quarter and downtown, the Vilnius Beacon will be a hub for visiting skiers and outdoor enthusiasts.
| Jan 14, 2015
10 change management practices that can ease workplace moves
No matter the level of complexity, workplace change can be a challenge for your client's employees. VOA's Angie Lee breaks down the process of moving offices as efficiently as possible, from creating a "change team" to hosting hard-hat tours.
| Jan 13, 2015
Steven Holl unveils design for $450 million redevelopment of Houston's Museum of Fine Arts
Holl designed the campus’ north side to be a pedestrian-centered cultural hub on a lively landscape with ample underground parking.
| Jan 9, 2015
Santiago Calatrava talks with BBC about St. Nicholas Church on Ground Zero
Calatrava reveals that he wanted to retain the “tiny home” feel of the original church building that was destroyed with the twin towers on 9/11.
| Jan 9, 2015
Nonresidential construction hiring surges in December 2014
The U.S. construction industry added 48,000 jobs in December, including 22,800 jobs in nonresidential construction, according to the Bureau of Labor Statistics preliminary estimate released Jan. 9.