Testing, Inspection, and Certification Services
A recent report from Transparency Market Research estimates the global market for testing, inspection and certification ("TIC") services will grow at a CAGR of 5.8% from 2017 to 2025. Continued globalization and outsourcing of TIC services are anticipated to drive continued market growth. Consolidation among the industry's largest firms is expected to continue, following an active year for M&A in 2017.
- Current revenue growth rate exceeds the average of the last 3 years, indicating that market momentum is increasing
- Current gross profit margin is less than the average of the last 3 years gross profit margins, indicating customer pricing power
- Current EBITDA margin exceeds the average of the last 3 years EBITDA margin, a condition that may attract new entrants