December 2019

Consumer Landscape – Q3 2019

The following report outlines our review and synopsis of results and earnings call commentary for Q3 2019. This summary includes the most recent financial results for key publicly traded companies in the Consumer sector (mix of Cosmetology, Food & Beverage, Transportation & Logistics, and Packaging) for the period July – September 2019.

M&A Indicators:

• The U.S. economy is heading into its 11th year of the longest bull market in history, incentivizing corporate buyers and financial sponsors to continue to deploy capital in the public and private markets with short-term interest rates being lowered to 175-200 bps and private equity dry powder at an all-time high with $2.5tn in idle cash.
• Consumer-related verticals are in the mature stage of industries pushing firms to consolidate via M&A to retain market share, brand recognition and/or keep up with trending innovations.
• Technological innovations shifting consumer taste of shopping from brick-and-mortar to online mediums.