Vistage's Q2 2018 CEO Confidence Index Survey shows that construction executives generally reported more optimism when it came to hiring expectations for the coming year and their views of the economy during the past year, according to www.constructiondive.com. Construction CEO confidence trends a little lower than the responses from CEOs on a national scale.
According to the survey, 66 percent of construction CEOs thought the national economy improved during the past year versus 64 percent of overall respondents, and 64 percent planned to grow their workforces during the next year compared with 61 percent overall.
Additionally, only 31 percent of construction CEOs responded that the national economy would improve during the coming year compared with 32 percent overall; 44 percent said they would increase investments compared with 48 percent overall; 72 percent expect to increase revenue compared with 78 percent overall; 57 percent predict an increase in profits compared with 62 percent overall; and 70 percent said they expect to raise their prices compared with 56 percent overall.
Seventy-three percent of contractors said success depends on developing efficiencies that save time and money. A little more than half of respondents said making improvements to their existing offerings was the key to winning as a company. Construction companies with revenue of between $10 million and $20 million last fiscal year and those with between 100 and 499 employees represented the majority of survey respondents.
Although recent construction surveys have shown a cautiously optimistic view of the industry's prospects for the next year or so, there seems to be a growing consensus that the industry's growth during the past several years will soon slow, in part because of rising material prices.
