Business conditions at architecture firms continues to decline
The AIA/Deltek Architecture Billings Index (ABI) dropped to 43.2 in April, down from 44.1 in March. This decline reflects an accelerated decrease in billing activity.
WASHINGTON – May 21, 2025 – The AIA/Deltek Architecture Billings Index (ABI) dropped to 43.2 in April, down from 44.1 in March. This decline reflects an accelerated decrease in billing activity.
Billings have decreased in 28 out of the past 31 months, following their initial drop into negative territory after the post-pandemic boom. New project inquiries decreased for the third month in a row in April, and the value of new design contracts has declined at the majority of firms for 14 consecutive months.
“Uncertainty as to the economic outlook continues to hold back progress on new construction projects,” said Kermit Baker, PhD, AIA Chief Economist. “Despite the slowdown in billing activity, architecture firms continue to navigate this business cycle quite effectively, as staffing at firms remains relatively stable and project backlogs are holding up better than expected.”
Key ABI highlights for April include:
• Regional averages: South (46.2); Midwest (44.4); West (42.1); Northeast (40.2)
• Sector index breakdown: institutional (46.3); mixed practice (firms that do not have at least half of their billings in any one other category) (47.6); commercial/industrial (40.5); multifamily residential (40.8)
• Project inquiries index: 48.0
• Design contracts index: 43.3
The regional and sector categories are calculated as three-month moving averages and may not always average out to the national score.
Access resources to help architects successfully navigate an uncertain economy.
About AIA
Founded in 1857, AIA consistently works to create more valuable, healthy, secure, and sustainable buildings, neighborhoods, and communities. Through more than 200 international, state, and local chapters, AIA advocates for public policies that promote economic vitality and public well-being.
AIA provides members with tools and resources to assist them in their careers and business as well as engaging civic and government leaders and the public to find solutions to pressing issues facing our communities, institutions, nation, and world. Members adhere to a code of ethics and conduct to ensure the highest professional standards.
About Deltek
Better software means better projects. Deltek is the leading global provider of enterprise software and information solutions for project-based businesses and the home of AIA MasterSpec®. More than 30,000 organizations, including 12,000 Architecture & Engineering firms, rely on Deltek for superior levels of project intelligence, management, and collaboration. Our industry-focused expertise powers project success for A&E firms of all sizes by helping them achieve performance that maximizes productivity and revenue. Learn more at Deltek.
Complete our form to submit a press inquiry or speaking request.
Follow AIA on LinkedIn.
The AIA/Deltek Architecture Billings Index (ABI) continues to weaken posting a score of 45.5 for February, indicating that a majority of firms are still experiencing declining firm billings.
