Two Months of Growth in Billings

 

Firms in the West were the first to report a downturn when the recession began, and look to be the last to return to growth now that the recovery is underway.
Courtesy of AIA

Business conditions improved in three of the four regions of the country in December, according to Jennifer Riskus, AIA. Firms in the West continue to report weak billings, although the score has been climbing in recent months, and business may begin picking up for the first time since mid-2007.

This marks the first time in three years that there have been two consecutive months with more firms reporting increasing firm billings than reporting declining firm billings. However, cautious optimism remains the watchword, as activity levels may remain volatile during the first half of 2011.

AIA has also begun to collect data on backlogs at architecture firms on a quarterly basis, and in December the largest share of firms (32 percent) reported backlogs averaging between one and three months, with an additional 30 percent reporting backlogs between three and six months. Backlogs remain relatively low at this time, but should begin growing as business picks up.

Local conditions are still competitive. I see firms seeking more and more opportunities outside the region and internationally, according to an 11-person firm in the Northeast.

– Courtesy of AIA