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Drywall Installers in the US Industry Market Research Report from IBISWorld Has Been Updated


News provided by

IBISWorld

Jan 23, 2014, 13:00 ET

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The recovery in housing investment will boost revenue for drywall contractors.

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New York, NY (PRWEB) January 23, 2014 -- Demand for drywall installers has just begun to return from its steep recessionary decline after the real estate market endured its worst downturn since the Great Depression. Over the five years to 2013, industry revenue is expected to decrease at an annualized rate of 1.6% to $37.3 billion. The Drywall Installers industry consists of companies that install drywall panels, apply plaster to interior walls of homes or buildings and install other forms of insulation. Demand for the industry's services primarily depends on the level of activity in the residential, commercial and industrial real estate and construction markets, all of which faced severe declines in demand during the past five years.

From 2008 to 2013, the number of companies in the industry is projected to decline at an annualized rate of 2.9% to an estimated 17,758. According to IBISWorld Industry Analyst Nick Petrillo, “As contracts became scarce and price-based competition heightened, the industry's average profit margins dropped before bouncing back in 2013.” During this period, however, government tax credits that were provided to homeowners investing in energy-efficient upgrades, such as insulation work, helped keep some operators afloat. In 2013, a major resurgence in the housing market is expected to spur activity in vastly depleted single-family home building markets, leading to an estimated 10.6% growth in drywall installers' revenue for the year.

Over the next five years, the Drywall Installers industry will benefit from improvement in all its downstream markets, which include home builders, apartment and condominium construction, industrial building construction, commercial building construction and apartment rentals. From 2013 to 2018, industry revenue is forecast to increase. Furthermore, housing starts are projected to rise at an annualized 11.8% over the next five years to about 1.6 million units. Though the number of housing starts will not return to the oversaturated 2005 peak of almost 2.2 million units, the housing market is expected to continue to show signs of its much anticipated recovery. “As the housing market recovers, demand for housing construction and subsequently drywall installers will rebound,” says Petrillo. However, the industry will likely face intensifying competition from general contractors and do-it-yourself homeowners, limiting the industry's growth potential over the next five years.

For more information, visit IBISWorld’s Drywall Installers in the US industry report page.

Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld.
Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189.

IBISWorld industry Report Key Topics

Operators in the Drywall Installers industry primarily engage in drywall, plasterwork and building insulation work. Plasterwork involves applying plain or ornamental plaster, as well as installing lath. Industry operators are contracted for work on new buildings, additions, alterations, maintenance and repairs.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.

Gavin Smith, IBISWorld, +1 (310) 866-5042, [email protected]

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