FMI Corporation, a management consulting and investment banking services company, has released its third quarter 2018 construction outlook. The publication offers comprehensive construction forecasts for a broad range of market segments and geographies across North America as well as information on key market drivers.
Highlights of the report include:
- Total engineering and construction spending for the U.S. is forecast to end up 6 percent higher in 2018, compared to the previous year.
- Spending growth in 2018 is forecast to be led by select nonresidential and residential segments. Current top-three-performing segments forecast through year-end 2018 include transportation (+13 percent), public safety (+10 percent), and conservation and development (+10 percent). The bottom-three-performing segments include religious (-4 percent), power (+2 percent), and manufacturing (+2 percent).
- Lodging and water supply, both of which have outperformed expectations, and are now considered growth segments through 2018. Additionally, power spending has increased in recent months, and the segment has been promoted from a down segment into stable territory at 2 percent growth through 2018.
- Educational spending has been shifted downward to stable at only 3 percent growth. Religious spending has been downgraded from a stable segment to down, with an expected 4 percent decline through the year-end.
To access the FMI U.S. Construction Outlook, Third Quarter 2018 Report, click here.