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
| Sep 29, 2011
Submit your Great Solutions
Profiles of Great Solutions will appear in December 2011 issue of Building Design+Construction.
| Sep 29, 2011
Busch Engineering, Science and Technology Residence Hall opens to Rutgers students
With a total development cost of $57 million, B.E.S.T. is the first on-campus residence hall constructed by Rutgers since 1994.
| Sep 29, 2011
Kohler supports 2011 Solar Decathlon competition teams
Modular Architecture > In a quest to create the ultimate ‘green’ house, 20 collegiate teams compete in Washington D.C. Mall.
| Sep 29, 2011
AIA Dallas names new executive director
AIA Dallas one of only a few chapters in the U.S. to be led by an accomplished architect.
| Sep 29, 2011
Potter honored with SMSP honor
The Society for Marketing Professional Services (SMPS) recognized Alfred K. Potter II, FSMPS, senior vice president with Gilbane Building Co., with the 2011 Weld Coxe Marketing Achievement Award (MAA).
| Sep 28, 2011
Look who's coming to BD+C's Under-40 Leadership Summit
AEC industry "under-40 superstars" from top design and construction firms have signed up for BD+C's "Under-40 Leadership Summit."
| Sep 28, 2011
GBCI announces LEED fellow class of 2011
LEED Fellows represent green building industry's most accomplished professionals.
| Sep 28, 2011
Opus Group awarded contract for new Church & Dwight Co. headquarters
The campus will include two 125,000-sf Class A, energy-efficient office buildings that will be designed and constructed with sustainable practices and elements.