In Q2 2024, the Construction and Engineering industry showed strong resilience despite facing economic challenges such as high interest rates and supply chain issues. Companies responded by divesting non-core assets and focusing on core infrastructure, which helped maintain profitability and investor confidence.

Key takeaways include:

• Resilience in the Face of Challenges: Companies adapted to high interest rates and supply chain issues by reallocating capital and cutting costs, leading to continued profitability.
• Strategic Acquisitions Lead M&A: Strategic buyers were more active than private equity firms in sectors like civil infrastructure and HVAC. However, as interest rates decline, private equity is expected to increase its share of M&A activity.

To learn more about Carleton McKenna’s wide range of transaction experiences, strategies for growth or exit, and current Construction & Engineering industry trends, please contact us.