Architecture Billings Index Score Rose 1 Point to 47.2 in August

Washington, DC, September 24, 2025-In August, architecture firms experienced continued softness, with an AIA/Deltek Architecture Billings Index (ABI) score of 47.2, up front 46.2 in July. While the share of firms reporting declining billings slightly decreased from July, the overall trend remains downward.

The value of new design contracts fell for the 18th consecutive month in August, marking the longest decline in 15 years of data collection. This year has been characterized by soft inquiries and a steady drop in newly signed design contracts, as clients remain hesitant to commit to new projects. With limited new work ahead, many firms are expected to face continued declines in billings in the months to come.

“While business conditions remained soft at architecture firms nationally, there are signs that the downturn may be bottoming out,” said Kermit Baker, PhD, AIA chief economist. “Inquiries for new projects have increased four straight months, and billings both at firms with a multifamily or commercial/industrial specialization are beginning to stabilize.”

Regional averages were as follows: South (49.9); Midwest (48.0); Northeast (46.2); West (43.5).

The sector index breakdown was commercial/industrial (50.8); multifamily residential (49.9); institutional (44.5); mixed practice (firms that do not have at least half of their billings in any one other category) (43.3).

The project inquiries index score was 50.3, and the design contracts index score was 47.2.

Says Truist, “The Architectural Billings Index saw an increase in August, reversing from the declines seen in June and July, but still remains in contraction territory. Results were mostly positive across sectors as three out of four experienced growth over the prior month's reading while regional results were more mixed with only two out of the four regions showing growth. Multi-family experienced notable growth in August, outpacing the rest of the sectors as did the Midwestern part of the country.”

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