CFO | Earnings Multiples for PE-Backed Firms Fall for 7th Straight Quarter

Feb 2023

Originally posted by CFO on February 22, 2023.

For private companies, a modest increase in EBITDA kept their valuations from declining in Q4 2022. In fact, the Lincoln PMI (LPMI) found that earnings growth was a main factor in avoiding shrinking valuations last year.

Ron Kahn, Managing Director and co-head of Lincoln’s Valuations & Opinions Group, shared with that when looking at the year ahead, “if portfolio companies are unable to pass along costs through price increases and sustain demand tailwinds, we will likely start to see EBITDA declines across the market and a potential year-over-year decline.”

Additional LPMI findings and predictions for dealmaking in 2023 based on the data can be found in the recent CFO article.


  • Lincoln International’s Ron Kahn joined CFO to share EBITDA and enterprise value trends as well as additional findings from the Lincoln PMI, an index that provides insights into private market performance.

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