Associated Builders and Contractors' Construction Backlog Indicator increased to 9.2 months in November, according to an ABC member survey conducted Nov. 21 to Dec. 6. The reading is 0.8 months higher than in November 2021.
The CBI is now at its highest level since the second quarter of 2019. The increase in backlog observed in November is largely attributed to contractors with under $30 million in revenue, which now have their highest level of backlog in over three years.
“The rise in backlog is remarkable and unexpected,” said ABC Chief Economist Anirban Basu. “A number of contractors have been reporting that their backlog has risen rapidly over the past three months, which is counterintuitive given the pervasive view that the broader economy is headed into recession.
“The improvement in backlog was particularly sharp in the commercial and institutional category, and health care-related construction has emerged as a major driver of new activity,” added Basu. “While it seems unlikely that backlog will hold up in the face of the Federal Reserve’s efforts to slow demand, many predicted that backlog would have dipped by now and that has yet to transpire. What’s more, many contractors expect sales and staffing levels to climb over the next six months, while profit margins are projected to remain stable.”
Related Stories
Giants 400 | Nov 14, 2022
4 emerging trends from BD+C's 2022 Giants 400 Report
Regenerative design, cognitive health, and jobsite robotics highlight the top trends from the 519 design and construction firms that participated in BD+C's 2022 Giants 400 Report.
Contractors | Nov 14, 2022
U.S. construction firms lean on technology to manage growth and weather the pandemic
In 2021, Gilbane Building Company and Nextera Robotics partnered in a joint venture to develop an artificial intelligence platform utilizing a fleet of autonomous mobile robots. The platform, dubbed Didge, is designed to automate construction management, maximize reliability and safety, and minimize operational costs. This was just one of myriad examples over the past 18 months of contractor giants turning to construction technology (ConTech) to gather jobsite data, manage workers and equipment, and smooth the construction process.
University Buildings | Nov 13, 2022
University of Washington opens mass timber business school building
Founders Hall at the University of Washington Foster School of Business, the first mass timber building at Seattle campus of Univ. of Washington, was recently completed. The 84,800-sf building creates a new hub for community, entrepreneurship, and innovation, according the project’s design architect LMN Architects.
Giants 400 | Nov 9, 2022
Top 50 Data Center Contractors + CM Firms for 2022
Holder, Turner, DPR, and HITT Contracting head the ranking of the nation's largest data center contractors and construction management (CM) firms for 2022, as reported in Building Design+Construction's 2022 Giants 400 Report.
Giants 400 | Nov 8, 2022
Top 110 Sports Facility Architecture and AE Firms for 2022
Populous, HOK, Gensler, and Perkins and Will top the ranking of the nation's largest sports facility architecture and architecture/engineering (AE) firms for 2022, as reported in Building Design+Construction's 2022 Giants 400 Report.
Giants 400 | Nov 8, 2022
Top 60 Sports Facility Contractors and CM Firms for 2022
AECOM, Mortenson, Clark Group, and Turner Construction top the ranking of the nation's largest sports facility contractors and construction management (CM) firms for 2022, as reported in Building Design+Construction's 2022 Giants 400 Report.
Industry Research | Nov 8, 2022
U.S. metros take the lead in decarbonizing their built environments
A new JLL report evaluates the goals and actions of 18 cities.
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.
Green | Nov 8, 2022
USGBC and IWBI will develop dual certification pathways for LEED and WELL
The U.S. Green Building Council (USGBC) and the International WELL Building Institute (IWBI) will expand their strategic partnership to develop dual certification pathways for LEED and WELL.
Reconstruction & Renovation | Nov 8, 2022
Renovation work outpaces new construction for first time in two decades
Renovations of older buildings in U.S. cities recently hit a record high as reflected in architecture firm billings, according to the American Institute of Architects (AIA).