Number of construction companies in Russia drops 4.3% year-on-year

08:35; 19 October 2026 year

### Russian Construction Companies See Steep Decline Amid Financial Turmoil As of October 1, there were 16,400 active construction companies in Russia, a decrease of 4.3% or 16,400 companies compared to the same period last year, according to data from SPARK, as reported by [Kommersant](https://www.kommersant.ru/doc/9041445?max). The number of companies specializing in building construction fell by 4.8% to 188,100, while companies engaged in specialized construction work decreased by 4.4% to 140,400. In the segment of engineering construction, the number of companies dropped by 0.7% to 34,100. Additionally, 30,400 construction companies are currently in bankruptcy or liquidation proceedings, the Federal Tax Service (FNS) has suspended operations for another 41,700 companies, and 47,100 companies have a high-risk financial index indicating a significant likelihood of bankruptcy. Market participants note that negative trends have been evident since 2025, with the construction industry relying on its accumulated strength since 2024, which is now almost depleted. Housing developers are facing significant challenges, with their business profitability halved due to increased project financing costs and declining sales. The margin for mass housing construction is now 8–12%, compared to 20–25% a year ago. The construction sector is heavily dependent on loans, with most companies having more than 60% of their working capital in credit in 2025. This model, experts point out, is highly vulnerable due to the high key interest rate. Analysts also highlight that poor financial results are being reported by companies that have been in the market for more than seven years, indicating the accumulation of structural problems and old debts that are undermining their financial stability.

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