Latest news with #turnaroundstrategy
Zawya
16-07-2025
- Business
- Zawya
Oman: Raysut Cement narrows H1 2025 loss on higher revenue
MUSCAT - Raysut Cement Company SAOG, Oman's largest cement producer, reported a consolidated net loss of RO 2.99 million for the first half of 2025, down from RO 1.51 million in the same period last year, as revenues surged and a new leadership team implemented a turnaround strategy. Group revenue rose 30.8 per cent year-on-year to RO 41.81 million in the six months to June 30, 2025, compared with RO 31.87 million a year earlier, driven by improved sales in domestic and export markets, particularly Yemen, the Maldives, and East Africa. Total group expenses increased sharply to RO 36.44 million from RO 23.44 million in H1 2024—an annual rise of 55.5 per cent—reflecting higher input costs and logistics challenges. Loss before tax narrowed to RO 2.90 million, down from RO 1.37 million in the same period last year. After accounting for tax provisions of RO 90,042, the group posted a net loss of RO 2.99 million for the period. On a standalone basis, the parent company reported revenue of RO 21.58 million, up 25.5 per cent from RO 17.16 million in H1 2024. However, standalone losses widened to RO 3.33 million from RO 2.48 million, primarily due to increased operating costs. The results follow the release of the company's 2024 Board of Directors Report, which confirmed a full-year consolidated net loss of RO 10.63 million and cumulative group losses of RO 24.06 million across 2023 and 2024. Net cash flow for the group was positive at RO 1.07 million in 2024, and total assets stood at RO 9.49 million at year-end. A new board, appointed in March 2025, did not oversee 2024 operations but has since launched a five-point restructuring plan aimed at restoring profitability by 2026. The strategy includes addressing legacy debt, streamlining operations, improving efficiency, enforcing corporate governance, and strengthening liquidity management. Group-wide cement sales reached 2.47 million metric tonnes in 2024, up from 2.14 million tonnes the previous year. Parent company exports rose to 1.29 million tonnes, with domestic sales also increasing to 0.65 million tonnes. Despite improvements in top-line performance, the company continues to face industry-wide pressures, including regional cement overcapacity, currency risks in key markets, and competition from Asian producers. The Board stated it remains committed to executing its recovery plan and enhancing shareholder transparency.
Globe and Mail
10-07-2025
- Business
- Globe and Mail
Starbucks Ramps Up Test-and-Scale Strategy: Can It Fuel a Turnaround?
Starbucks Corporation SBUX is executing its turnaround strategy with a methodical 'test-and-scale' approach, prioritizing disciplined experimentation over sweeping changes. Under the umbrella of its 'Back to Starbucks' plan, the company is systematically piloting operational and experiential improvements across a select number of stores, scaling those initiatives that deliver measurable improvements in customer experience, efficiency and transaction flow. A key initiative is the green apron service model, designed to enhance speed and partner connection during peak hours. Initially tested in just a handful of stores, the model has since expanded to nearly 2,000 company-operated locations and is reporting promising results. Starbucks has initiated tests of a new order sequencing algorithm designed to improve service efficiency across both café and drive-thru channels without disrupting the mobile order experience. Early results from pilot stores indicate that average café wait times declined by approximately two minutes, with 75% of peak-hour orders now fulfilled in under four minutes. This iterative process extends beyond store operations. From menu simplification to beverage innovation and even store design enhancements, Starbucks is carefully calibrating each move. The company paused the broader rollout of its capital-intensive Siren equipment after finding that labor-focused adjustments yielded stronger returns. Likewise, changes to the Starbucks Rewards program and product mix — such as the sugar-free matcha update — are being introduced in phased rollouts to gauge impact before broader deployment. By relying on a structured framework of test, learn, refine and scale, Starbucks aims to minimize execution risk and align operational upgrades with both partner capability and customer demand. The company is optimistic and anticipates the initiative to drive profitable transactions and stronger long-term unit economics. How It Stacks Up to Other Industry Players Dutch Bros Inc. BROS is pursuing a similarly iterative strategy, particularly around throughput and digital ordering. Dutch Bros' Order Ahead program has shown promising traction in new markets, often delivering 2x the transaction penetration rate versus the system average. Dutch Bros is also scaling a limited food pilot, expanding from 8 to 32 stores, with broader rollout plans targeted for 2026. Its approach mirrors Starbucks in balancing operational simplicity with customer-centric innovation. Chipotle Mexican Grill, Inc. CMG continues to take a hybrid approach, leveraging both operational pilots and equipment-driven innovation to enhance throughput and guest experience. In 2025, Chipotle is rolling out produce slicers, dual-sided planchas and rice cookers following promising test results. The company is also investing in Autocado, its proprietary avocado prep tool, which has returned to test kitchens for refinement. CMG's strategy mirrors Starbucks in its use of controlled testing and phased scale but places greater emphasis on kitchen automation as a driver of labor efficiency and culinary consistency. SBUX's Price Performance, Valuation & Estimates Shares of Starbucks have gained 11.5% in the past three months compared with the industry 's rise of 4.6%. SBUX Three-Month Price Performance From a valuation standpoint, Starbucks trades at a forward price-to-sales ratio of 2.80, below the industry's average of 4.07X. The Zacks Consensus Estimate for SBUX's fiscal 2025 earnings per share (EPS) implies a decline of 25.1% year over year, while 2026 EPS indicates a rise of 20.5% year over year. The EPS estimates for fiscal 2025 and 2026 have declined in the past 30 days. Starbucks stock currently carries a Zacks Rank #4 (Sell). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Higher. Faster. Sooner. Buy These Stocks Now A small number of stocks are primed for a breakout, and you have a chance to get in before they take off. At any given time, there are only 220 Zacks Rank #1 Strong Buys. On average, this list more than doubles the S&P 500. We've combed through the latest Strong Buys and selected 7 compelling companies likely to jump sooner and climb higher than any other stock you could buy this month. You'll learn everything you need to know about these exciting trades in our brand-new Special Report, 7 Best Stocks for the Next 30 Days. Download the report free now >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Starbucks Corporation (SBUX): Free Stock Analysis Report Chipotle Mexican Grill, Inc. (CMG): Free Stock Analysis Report Dutch Bros Inc. (BROS): Free Stock Analysis Report
Yahoo
03-07-2025
- Business
- Yahoo
Domino's Australia franchise CEO to step down by end of 2025
Domino's Pizza Enterprises, the master franchisee of Domino's Pizza in Australia, has confirmed that its CEO and managing director, Mark van Dyck, will resign before the end of 2025. Reuters reports that van Dyck, a former Coca-Cola executive, who succeeded long-serving CEO Don Meij in November 2024 amid challenging post-Covid-19 sales conditions, initiated a turnaround strategy over his eight-month tenure. He closed low-performing stores and introduced cost-reduction measures to stabilise the business. Van Dyck's resignation will take effect on 23 December 2025. The company has commenced a global search for his successor. In the meantime, Jack Cowin, the firm's chairman and largest shareholder, will serve as interim executive chair. Cowin, who has more than five decades of experience in the quick-service restaurant sector, played a pivotal role in establishing KFC in Australia and expanding Domino's into Europe and Asia. He leads Competitive Foods Australia, which operates 480 Hungry Jack's restaurants — the Australian franchise of Burger King — employing more than 25,000 people across Australia and New Zealand, according to a Forbes report. Cowin was quoted by Forbes: 'Mark has made a valuable contribution to Domino's during a period of significant operational reset. 'With the strategic foundations now firmly in place, this transition enables a new CEO to take Domino's to its next stage of growth.' Domino's Pizza Enterprises holds master franchise rights for Domino's Pizza in 12 countries across Asia and Europe, and in New Zealand, with Japan accounting for roughly one-fifth of its store portfolio. "Domino's Australia franchise CEO to step down by end of 2025" was originally created and published by Verdict Food Service, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
Yahoo
21-06-2025
- Business
- Yahoo
Is this penny stock on track for an explosive recovery in 2025?
Penny stocks have a well-earned reputation for being volatile. But these tiny businesses are also capable of potentially delivering explosive gains. And investors who snapped up shares in IG Design Group (LSE:IGR) a month ago are already experiencing some of this first-hand. The gift and celebration packaging company has just kicked off a turnaround strategy that's started yielding some positive results. This has helped repark some fresh investor sentiment, sending the share price up more than 40% in the last month alone, with a 34% gain in a single day at the end of May. Despite this surge, the IG Design share price is still trading significantly lower compared to a year ago. That means there's still a long way to go for the business to complete its recovery. Yet, if analyst forecasts are correct, that could soon change. A big part of renewed investor sentiment is management's decision to exit DG America's business. Despite generating close to $500m in revenue, the segment has struggled to deliver a profit. And with US tariffs only adding more pressure, leadership concluded that the 'headwinds facing the division are untenable'. The decision to dispose of problematic DG America was met with praise from investors. Why? Because the company's now significantly reduced its exposure to the weaker US retail market environment that it's struggled to navigate. At the same time, IG Design has just freed up a lot more capital to reinvest in stronger areas, refocusing the business into more profitable ventures. Subsequently, profit margins and free cash flow generation are expected to rise. And institutional analysts have revised their earnings per share forecasts for 2026 to reach $0.43 versus the $0.16 achieved in 2024 – a 170% improvement. Obviously, there's no guarantee that this target will be hit since we're still in the early stages of its turnaround plan. But if it does get things back on track, the team at Research Tree think the penny stock could skyrocket by 120% to 198p by this time next year! No investment's ever risk-free, and that's especially true for IG Design Group. Despite being the source of many of its problems, DG America was also responsible for around half of its revenue stream. The company's now dependent predominantly on the UK, European, and Australian markets, which have their own fair share of challenges. A big source of renewed investor sentiment is IG Design's ability to rebuild its scale at a higher margin in these markets. But a failure of execution could douse the flames of optimism and send the penny stock tumbling back down in the wrong direction. Even if management makes all the right moves, there's still the consumer spending cycle that can throw a spanner in the works. IG Design's product portfolio consists entirely of discretionary items which aren't likely to be in high demand if economic conditions take a turn for the worse – something that's completely out of management's control. All things considered, I'm cautiously optimistic and think investors comfortable with high-risk, high-reward ventures may want to consider taking a closer look. The post Is this penny stock on track for an explosive recovery in 2025? appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool Zaven Boyrazian has no position in any of the shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025 Sign in to access your portfolio
Zawya
20-06-2025
- Business
- Zawya
South African Post Office's (SAPO) Turnaround Strategy Raises More Questions Than Answers, Says Committee Chair
The Chairperson of the Select Committee on Economic Development and Trade, Ms Sonja Boshoff, has expressed concern regarding the work of the business rescue practitioners (BRPs) on the South African Post Office's (SAPO) turnaround strategy. The BRPs presented the plan on Wednesday, stating that progress Is being made and that, in the long term, their vision is to transform the Post Office into an e-commerce hub and a multipurpose service centre. However, Ms Boshoff said troubling realities remain. Chief among these is the retrenchment of over 4 000 employees, with no clarity as to whether further retrenchments have been halted. 'Service delivery at the Post Office has significantly deteriorated, and the entity continues to survive on state bailouts. Public confidence has been completely eroded, and the long-term sustainability of SAPO remains in serious jeopardy,' Ms Boshoff said. She further raised concern about the request to present substantial portions of the turnaround strategy in a closed session. 'SAPO is a state-owned enterprise funded by public money. The use of in-camera briefings must remain the exception, not the rule. Such briefings should only be permitted in instances of legitimate commercial sensitivity – not as a tool to shield institutional failures from public scrutiny and parliamentary oversight.' The strategy, as presented, offers limited detail in terms of innovation and measurable outcomes. While it references digitisation, a revised branch footprint, and hybrid financing models, these aspects remain vague, lacking clear implementation timelines and funding clarity. Ms Boshoff said it is troubling that no investor has yet shown serious interest in supporting the turnaround of the Post Office. 'Meanwhile, key questions remain unanswered: How many of the retrenched employees have actually received support through the TERS fund? What efforts have been made to engage the private sector in restoring core service functions? On what basis is SAPO still classified as a 'strategic national asset' while continuing to rely on repeated state bailouts? How will the proposed hybrid funding model work in practice, and who will ultimately bear the financial risk?' 'It is imperative that public institutions – particularly those under business rescue and funded by taxpayers – operate with transparency, accountability, and defined performance indicators. A turnaround plan cannot rely on slogans or structural tinkering. It must restore credibility, modernise operations and rebuild trust with the South African public who depend on these services.' Ms Boshoff emphasised that as the committee continues its oversight work, it will insist on greater clarity, stronger accountability and full transparency from all parties involved in the business rescue process. 'The relevance of the Post Office in the broader communications and logistics sector is fast diminishing. This can only be reversed through genuine diversification of its service offering and complete modernisation of its operations,' she concluded. Distributed by APO Group on behalf of Republic of South Africa: The Parliament.
