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
| Jun 12, 2012
Restoration Millwork exterior trim achieves GreenCircle certification
Made from cellular polyvinyl chloride, the full line of Restoration Millwork trim, beadboard and accessories is engineered to look, feel and work like top-grade lumber.
| Jun 12, 2012
Piché joins C.W. Driver as director of business development
Piché will expand upon project opportunities for firm’s Southern California operations.
| Jun 12, 2012
BCA Architects transforms Anaheim schools into dynamic learning environments
BCA Architects was selected to update the district's long-range master plan.
| Jun 11, 2012
Survey reveals emerging trends in parking
Industry-transforming innovations are changing the way we park.
| Jun 11, 2012
Buro Hapold hires new principal Neil Porto
Porto brings a broad depth of expertise in civil and structural engineering to new and existing projects.
| Jun 11, 2012
Historic church gains energy efficiency, retains aesthetics with architecturally rated windows
New windows would need to not only stand the test of time, but also accommodate the aesthetics of an architecturally historic church.
| Jun 11, 2012
Genivar and WSP Group join forces
Genivar concurrently announces a $225 million public bought deal of subscription receipts, a $197 million private placement of subscription receipts and new credit facilities.
| Jun 11, 2012
SimplexGrinnell highlights integrated suite of web-based technologies at NFPA Expo
eservices platform uses the power of the Internet to deliver more value to customers.
| Jun 11, 2012
Reed Construction announces new hire and promotion
Reed Construction hired Augie Insalaco as a project manager and promoted Matt Mahoney from project intern to project engineer.
| Jun 11, 2012
Hill International selected as CM for Porto Arabia Towers in Qatar
The complex is a mixed-use development featuring both residential and commercial properties.