Driving profitability in portfolio companies for an Ontario-based conglomerate
Who CREO Served
The client was a conglomerate with a series of businesses generating ~$10M revenue per year, operating primarily in food, beverage, entertainment, and apparel. To serve them most effectively we worked closely with a VP to identify the three highest-potential businesses.
What CREO Did
The CREO team spent 4 months running diagnostic and strategic improvement efforts for each of the three high-potential businesses. For each of their businesses, the approach was tailored significantly based on early-stage diagnostic findings. For an apparel store they own, we wrote the business case for, and then launched, an e-commerce platform for them. For a pub they own, we helped them rebrand to engage with their target market better and launched a cost savings program including building a comprehensive food inventory management model.
All three of these businesses saw significant improvement to their P&L. The introduction of an e-commerce platform for the apparel outlet and significant operational improvement at a nightclub they owned resulted in step-change improvement in revenues. Most significantly, however, over the course of 6 months, we were on the ground with the pub, we turned annual losses of ~$100K into a break-even scenario, with post-engagement results showing further increases in revenue and profitability over the following 6 months.