Framing Contractors Industry Profile

Companies in this industry are engaged in structural framing and sheathing of buildings. No major companies dominate the industry.

Wood-framed single-family housing, the primary source of business for framing contractors, is more prevalent in the US than in many other parts of the world. Urban density, timber availability, historical building patterns, and income levels limit residential wood framing activity.

The US framing contractor industry includes about 12,000 establishments (single-location companies or branches of multi-location companies) with combined annual revenue of about $20 billion.

Contractors in the industry use steel as well as wood to frame buildings. Installation of structural steel and precast concrete framing is not included in the industry, however.

COMPETITIVE LANDSCAPE

Demand is driven heavily by new home construction. The profitability of individual companies depends on a steady volume of contracted work, accurate work estimation, and cost controls. Large companies have advantages in working in multiple geographies and may have relationships with high-volume production homebuilders. Small companies compete based on quality service and local reputation. The industry is fragmented, and small companies are prevalent with the top 50 firms accounting for only 20% of the industry.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major services of framing contractors include construction of single detached residential buildings, which accounts for about 30% of the industry revenue. New apartment buildings (about 10%) and new single attached residential buildings (5%) are the following largest sectors.

Framing is one of many steps ...