In the first three quarters of 2025, order intake of Austrian timber construction companies decreased by an average of 2.2% in nominal terms compared to the same period in 2024. This decrease was not as sharp as the -8.7% recorded in the first three quarters of the previous year, according to the “Trade and Crafts” economic survey conducted by KMU Forschung Austria. 17% of timber construction companies reported an increase in incoming orders averaging 20%. At 44% of survey respondents, order intake remained constant at the previous year’s level, whereas 39% of companies recorded decreases averaging 17.6% across the industry.
Sales prices in the timber construction sector were raised by an average of 2.7% compared to the first three quarters of 2024. Consequently, order intake decreased by 4.8% in real terms.
In the fourth quarter of 2025, 10% of Austrian timber construction companies rated their business situation as good (Q3 2025: 19%), 47% as typical for the season (51%), and 43% as poor (30%). On balance, companies that describe their business situation as poor outnumbered those with a positive assessment by 33 percentage points. So, compared to the third quarter of 2025, sentiment has become more negative. On average across the timber construction sector, the fourth-quarter order backlog ensured work at full capacity for 10.1 weeks. Compared to the fourth quarter of 2024, the average order backlog was down by 11.1%. Between October and December 2025, private/commercial clients accounted for 85% of the total order backlog, while 10% were public construction projects handled by general contractors or developers (cooperatives). Contracts awarded directly by federal, state, and local governments accounted for 5% of the order backlog.
As for the first quarter of 2026, 14% of Austrian timber construction companies expect a year-on-year increase in new orders (previous year: 7%), while 42% expect no change (43%), and 44% anticipate a decreasing order intake (50%). On balance, companies with a pessimistic outlook outnumber those with an optimistic assessment by 30 percentage points. This negative balance is higher than it was in the year before (-43 percentage points). However, compared to the fourth quarter of 2025 (balance: -38 percentage points), Austrian timber construction companies are less pessimistic.
