More companies are operating in the construction industry at the beginning of this year compared to the beginning of 2024. This can be read from Statistics Iceland’s figures on new registrations and bankruptcies of companies in the business sector. However, the number of new registrations exceeding bankruptcies is decreasing slightly between years.
The number of companies in the construction sector is slowing down despite fewer bankruptcies
In the past year, 228 companies in the construction industry went bankrupt, which is a decline of a quarter from 2023 when 302 companies in the construction industry went bankrupt. New registrations of companies in construction and civil engineering decreased by 81 companies between years. New registrations of companies in the construction industry exceeding bankruptcies in 2024 were 309 compared to 316 in 2023.
Most new registrations of companies in the business sector were in the construction industry
Most new registrations of companies in the business sector were in construction and civil engineering or 537, which is a decrease of 13% from the previous year. The number of newly registered companies in all business sectors decreased by 4%. During the year, 851 companies were admitted to bankruptcy proceedings, which is a 30% decrease from the previous year when 1,220 companies went bankrupt. New registrations of all companies beyond bankruptcy in 2024 were therefore 2,525, compared to 2,297 in 2023, or 228 more between years.
The figure above shows new registrations and bankruptcies of companies in the construction and civil engineering sector each year for the period 2008 to 2024. Since 2013, new registrations have outnumbered bankruptcies, indicating that the number of companies in the sector has increased year by year.
Source: HMS.is
