FMI Releases NRCI First Quarter 2015 Report

The outlook for nonresidential construction in 2015, according to NRCI panelists in the first quarter, continues to brighten as the NRCI index gained two points over the fourth quarter and matched the first quarter of 2014. There is a continuing sense of optimism for the near-term but less certainty looking out to the end of the year. Overall, if not the highest Index score, this is still one of the strongest NRCI reports we have seen since the NRCI’s inception in 2007. However, there are still reasons to be cautious. One of those reasons is that the changing price of oil will slow some construction work, but may improve other markets in the private sector. Government expenditures are still lower and uncertain as to the future direction. FMI again asked panelists in this first quarter about their hiring plans, challenges for 2015 and outlook for construction. The biggest challenge nationwide continues to be the difficulty finding trained workers as companies continue to hire. That problem is one that may affect more contractors’ ability to take on more backlog. NRCI panelists’ companies plan to hire more, and they expect growth of around 5% or more in nonresidential construction for 2015.

Access the full report (reprinted with permission from FMI Corporation, 919.787.8400.  For more information visit www.fminet.com or call Sarah Avallone at 919.785.9221.)