BGL Professional Services Quarterly Update – Q2 2024

Major public equity indices increased in Q2 2024, up 3.5% quarter-over-quarter and up 22% year-over-year. Leading economic indicators remained stagnant, mirroring the cautious sentiment among investors due to uncertainty around the current interest rate and political environments.

Valuation multiples within the Professional Services sector increased by 3.5% over Q1 2024, slowing from the previous quarter. However, the sector has experienced year-over-year growth of 21.7%, which is directly in line with major indices.

Volatile equity markets and tightened credit availability have tempered M&A activity in the overall market. However, the ample supply of cash and equity capital will continue to serve as a catalyst for M&A, with both corporate and private equity buyers competing for high-quality assets. Entering Q3 2024, market indicators predict that transaction activity in the Professional Services sector will continue to outpace the broader market.

BGL's QuarterlyProfessional Services Update highlights public company operating metrics and M&A activity in the Human Resources Outsourcing, Contact Center Services, and Fixed Asset Management subsectors. BGL remains committed to informing clients of the current state of the Professional Services market and is always available to discuss appropriate M&A strategies and financing alternatives with its clients and prospects.

For your complimentary copy, reach out directly to BGL Managing Director Peter Hillusing the form below.