PCO M&A Specialists, William Blair Release December Pest Index

The total U.S. pest control index increased 8.8 percent year-over-year in December 2020. On a sequential basis, the index decreased 3.8 percent from November 2020, which is slightly better than the historical trend. The index declined 5 percent sequentially in December 2019 and 10 percent sequentially in December 2018. This index includes recurring and nonrecurring revenue for the residential pest, commercial pest and termite markets. It does not include residential door-to-door companies.

The 9 percent year-over-year U.S. pest index increase in December marks an acceleration from November (+7 percent) and October (+5 percent). The improving trend was driven by a step up in the residential pest market throughout the quarter, combined with stronger commercial growth in December.

“We are again surprised by another positive monthly report as trends continued to steadily improve throughout the quarter,” said William Blair Equity Researchers Tim Mulrooney and Sam Kusswurm, pointing to the work-from-home environment and favorable weather as factors supporting stronger residential volumes and retention rates. “Meanwhile, the commercial market appears to continue to recover as mandatory restrictions are lifted and businesses continue to reopen.”

View the full December report and the archive of past reports at SellMyPCOBusiness.com.