Architectural woodworkers are seeing improved operating margins as the commercial and residential markets continue to strengthen and business improves.
A survey of AWI manufacturing members also found capital investments were up over the last 12 months, a trend which should continue; 21% of the high-profit firms surveyed said they plan to invest $ 100,000 or more in the next year.
Custom cabinetmakers are also seeing a rise in technology integration, particularly among small- to medium-size shops, according to a CMA survey. Manufacturers will be kept busy, with 2016 projections showing an upswing in home improvement spending, according to the latest LIRA. Homeowners and contractors are the primary customers for the segment.
28% of architectural woodworkers plan to increase workforce by 10% or more in the next 12 months.
Products and systems that ease home management are growing in popularity.
Average compensation for architects and designers in 2015 was $77,100.
Sources: AIA, AWI, CAIA, LIRA/Joint Center for Housing Studies of Harvard University
Architectural & Custom: commercial & residential interior millwork, casework, furniture & cabinetry
Kewaunee Scientific Corp.
Fetzer Architectural Woodwork
EMI Industries LLC
Mission Bell Mfg.
Goebel Fixture Co.
Parenti & Rafaelli
Mark Richey Woodworking
STRONG REBOUND FOR ARCHITECTURAL BILLINGS
The Architectural Billing Index shows Work-on-the Boards. An index score above 50 indicates growth.
Source: AIA Economics S Market Research Group, 9-15
POPULARITY OF SPECIAL FUNCTION ROOMS 2014 2015 Outdoor Living Rooms 62 63 First floor master bedroom 51 46 Mud rooms 45 37 Home offices 34 38 Dedicated guest rooms (Au pair/ in-law suites 33 39 Exercise/fitness rooms 12 8 Source: AIA Note: Table made from bar graph. IMPROVED BUSINESS SENTIMENT Approximately 75% of architectural woodworkers report favorable business conditions and 79% of high-prof He firms are even more optimistic, and spending more on capital investments. $100,000 or more in the last 12 30% high-profit firms months $100,000 or more in the next 21 % high-profit firms 12 months Source: AWI 2015 Cost of Doing Business Survey and Compensation Study