Economy

ABI Slips in April but Remains in Growth Territory at 50.6

Written by Sandy Williams


The Architecture Billings Index score was 50.6 in April, down from 51.9 in March. It is the third consecutive month the Index has been above 50 indicating increasing demand for design activity at architectural firms. The new projects inquiry index was 56.9 compared 58.1 last month.

“Architects continue to report a wide range of business conditions, with unusually high variation in design activity across the major building categories,” said AIA Chief Economist, Kermit Baker, Hon. AIA, PhD. “The strong growth in design contracts – the strongest score for this indicator since last summer — certainly suggests that firms will be reporting growth in billings over the next several months.”

Key April ABI highlights:

  • Regional averages: South (52.2), Northeast (51.5), West (50.8), Midwest (50.8)
  • Sector index breakdown: multi-family residential (53.7), commercial / industrial (52.0), mixed practice (50.0), institutional (49.0)
  • Project inquiries index: 56.9
  • Design contracts index: 54.3

About the AIA Architecture Billings Index

The Architecture Billings Index (ABI) is considered a leading economic indicator of construction activity, and reflects the approximate nine to twelve month lead time between architecture billings and construction spending. The regional and sector categories are calculated as a 3-month moving average, whereas the national index, design contracts and inquiries are monthly numbers. The monthly ABI index scores are centered around 50, with scores above 50 indicating an aggregate increase in billings, and scores below 50 indicating a decline.

Below is a graph showing the history of the Architecture Billings and Inquiries Indices. You will need to view the graph on our website to use it’s interactive features, you can do so by clicking here. If you need assistance with either logging in or navigating the website, please contact our office at 800-432-3475 or info@SteelMarketUpdate.com.

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