BRP Group Inc. (BRP) has reduced its S&P Global Ratings-adjusted leverage in 2023 primarily on continued double-digit organic growth. While the company's financial leverage is still elevated for the rating, we expect further material improvements in 2024. We therefore revised our outlook to positive from stable and affirmed our 'B-' issuer and issue-level ratings. The positive outlook reflects our view that we may raise our rating on BRP in the next 12 months in connection with improved financial leverage on a sustained basis. While BRP has generated outsized double-digit organic growth since 2019, its topline-focused investments have weighed on profitability. In 2023, the company's S&P Global Ratings-adjusted EBITDA margin was 16.1%, which is among the lowest of rated peers. However,
