ABC’s Construction Backlog Indicator Rebounds in February, Contractor Confidence Grows

Associated Builders and Contractors reported that its Construction Backlog Indicator rose to 8.1 months in February, according to an ABC member survey conducted Feb. 20-March 6. The reading is up 0.1 months from January but down 0.2 months from February 2025.

Backlog increased sharply during February in the Middle States: Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Montana, Nebraska, North Dakota, Ohio, South Dakota and Wisconsin. Notably, the Middle States is the only region with higher backlog than one year ago.

ABC’s Construction Confidence Index readings for sales and staffing levels increased again in February, while the reading for profit margins fell. Sales expectations are better than they were one year ago, while profit margin and staffing expectations are slightly worse. The readings for all three components remain above the threshold of 50, indicating expectations for growth over the next six months.

Visit abc.org/economics for the Construction Backlog Indicator and Construction Confidence Index, plus analysis of spending, employment, job openings and the Producer Price Index.