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Graph by Archinect using data provided by the American Institute of Architects
Disappointing economic data for the architecture industry this morning: The latest AIA/Deltek Architecture Billings Index reports another noticeable drop to 43.2 in April, down from 44.1 in March. Any score below 50.0 signals a decline.
Likewise, billings continued to slip, decreasing now in 28 out of the past 31 months. Scores for new project inquiries and the value of new design contracts reported ongoing declines as well.
“Uncertainty as to the economic outlook continues to hold back progress on new construction projects,” AIA Chief Economist Kermit Baker commented on today’s numbers. “Despite the slowdown in billing activity, architecture firms continue to navigate this business cycle quite effectively, as staffing at firms remains relatively stable and project backlogs are holding up better than expected.”
April ABI Highlights
- Regional averages: South (46.2); Midwest (44.4); West (42.1); Northeast (40.2)
- Sector index breakdown: institutional (46.3); mixed practice (firms that do not have at least half of their billings in any one other category) (47.6); commercial/industrial (40.5); multifamily residential (40.8)
- Project inquiries index: 48.0
- Design contracts index: 43.3
Recent reporting on Archinect has addressed key drivers behind the ongoing economic uncertainty for architecture firms, such as unpredictable trade tariffs and volatile construction material pricing.
Archinect Jobs, the industry-leading architecture job board, continues to be a strong metric for the health of the industry. Take a look at the current list of opportunities, or post your firm’s openings now. To browse thousands of job seeker profiles and find the right candidates quickly, try Archinect’s Talent Finder service.
How has business been feeling in your region and market? Do the ABI numbers reflect what you are seeing on the ground? Share in the comments below.