The February survey by the Associated Builders and Contractors (ABC) reported a construction backlog of 8.3 months, slightly down from January’s 8.4 months but up from 8.1 months in February 2024. Despite some economic challenges, contractors remain optimistic about business conditions improving through the first half of 2025, according to ABC’s chief economist, Anirban Basu.
Backlogs decreased for contractors with under $100 million in annual revenue, while those with over $100 million saw an increase. Regionally, backlogs rose in the South and Northeast, but fell in the West and Midwest.
ABC’s confidence index showed a slight increase in staffing expectations, with nearly 60% of contractors planning to hire more in the next six months, the highest level in over two years. However, profit margins slightly declined. Basu noted that the slowdown in employment is mainly affecting the residential segment.
Reference
Zevin A. (2025) ABC Survey Finds Backlogs Have Fallen But Contractors Keep Positive Outlook. ENR. March 11.