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Construction backlog rose to its highest level since September 2023, according to a recent survey issued by the Associated Builders and Contractors.
The ABC’s Construction Backlog Indicator rose to a 20-month high of 8.7 months in April, according to the member survey conducted April 22 to May 6. The reading is up 0.3 months since April 2024 and continues a trend that’s seen backlog increase significantly over the past year for contractors with greater than $100 million in annual revenues.
Backlog has also risen modestly for smaller contractors, although it is down on an annual basis for those with $30 million to $100 million in annual revenues.
ABC’s Construction Confidence Index reading for profit margins improved in April, while the readings for sales and staffing levels fell, though the outlook for sales is higher than a year ago. The readings for all three components remain above the threshold of 50, indicating expectations for growth over the next six months.
ABC Chief Economist Anirban Basu acknowledged that despite the record-level of backlog a significant number of members saw projects delayed or canceled in April due to tariffs.
“Nearly 22% of contractors had a project delayed or canceled in April due to tariffs, up from 18% in March, while 87% have been notified of tariff-related materials prices increases,” Basu said. “Contractors remain busy despite these headwinds; backlog rose in April and is now at the highest level since September 2023. While ABC members remain upbeat about the near-term outlook, the share of respondents that expect their sales to decline over the next six months rose to 19% in April, up 6 percentage points since the start of the year.”
Data center construction continues to dominate the construction industry. The Dodge Momentum Index, a 12-month leading indicator for construction spending specifically focused on nonresidential buildings, grew 0.9% in April predominantly thanks to data center ramp-ups. The DMI would have dropped 3% and commercial planning 2.3% were it not for those projects.
“Despite an uptick in April, the bulk of the DMI’s growth was driven by a surge in data center planning, while momentum in other nonresidential sectors lagged behind,” Sarah Martin, associate director of forecasting at Boston-based Dodge Construction Network, told Construction Dive. “Owners and developers are navigating heightened economic and policy uncertainty, which likely bogged down much of this month’s planning activity.”
Let GPRS Help You Stay On Time, On Budget, and Safe
When you’re dealing with a backlog of projects, the last thing you need is the delays caused by striking a buried utility.
But hitting a buried line while digging, or severing a conduit, post tension cable or rebar while cutting or coring concrete doesn’t just put your schedule and bottom line at risk. Subsurface damage can endanger the lives of your workers and anyone in the surrounding area.
GPRS mitigates the risk of subsurface damage through our utility locating and concrete imaging services. Utilizing state-of-the-art ground penetrating radar (GPR) scanners and electromagnetic (EM) locating, we provide you with accurate, actionable data about what’s hidden below your jobsite, so you can dig, cut, or core with confidence.
To make sure this field-verified data is securely at your fingertips 24/7, GPRS introduced SiteMap® (patent pending). Accessible via computer, tablet or smartphone, SiteMap puts all the data our SIM-certified Project Managers collect on your site or campus into one single source of truth. So, whether you and your team are on-site or halfway across the world, you’ll be able to plan, design, manage, dig, and ultimately build better.
From skyscrapers to sewer lines, GPRS Intelligently Visualizes the Built World® to keep you on time, on budget, and safe.
What can we help you visualize?
Frequently Asked Questions
What do I get when I hire GPRS to locate utilities?
Our Project Managers flag and paint our findings directly on the surface. This method of communication is the most accurate form of marking when excavation is expected to commence within a few days of service.
GPRS also uses a global positioning system (GPS) to collect data points of findings. We use this data to generate a plan, KMZ file, satellite overlay, or CAD file to permanently preserve results for future use.
GPRS does not provide land surveying services. If you need land surveying services, please contact a professional land surveyor.
Please contact us to discuss the pricing and marking options your project may require.
