Industry Trends
Global transaction volume in the Transportation & Logistics industry held firm in early 2025, despite persistent macroeconomic pressures, shifting policy environments, and geopolitical uncertainty.
Across the industry, companies prioritized strategic alignment over deal quantity, with heightened investor interest in key areas such as airfreight, logistics, and marine ports and terminals. Several high-profile transactions also underscored a growing institutional focus on infrastructure and expansion into high-growth segments like healthcare logistics.
Market Dynamics
- The Transportation & Logistics industry exhibited relatively consistent performance in EV/EBITDA multiples across segments in Q2 2025.
- Post-pandemic consumer behavior saw a transition from goods to services, leading to reduced demand for freight and logistics services. This shift contributed to a cooling in M&A activity within the Transportation & Logistics industry.
- Moreover, after a period of elevated shipping costs during the pandemic, freight rates have begun to normalize. Normalized freight rates and reduced consumer goods demand further weighed on revenue across the sector.
- In response to volatility from heightened geopolitical tensions, logistics providers accelerated nearshoring, supply chain diversification, and adoption of digital technologies. Focus has shifted toward resilience, efficiency, and scenario planning amid an increasingly complex operating environment.
- In contrast, the Aviation Logistics sector showed relative strength in Q2 2025. Driven by increased global travel demand, defense-related transport contracts, and high-value cargo services, air freight providers have benefitted from both volume and pricing stability. The Aviation sector’s resilience highlights the importance of diversified modal strategies in navigating ongoing global logistics challenges.
Sources: Capital IQ as of 06/30/2025. PwC, McKinsey & Company, Everstream Analytics
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Reach out to Dinan Capital Advisors Managing Director Tom Gerlacher for more report insights.