Mohamed Younis

Last year my Oliver Wyman colleague Purav Adiecha, CFA, CIRA and I co-wrote an article on how retailers can improve their inventory turnover, and by extension their working capital position (adapted for FMI- The Food Industry Association's Boardroom journal). This opportunity has only gotten more important since then, with expectations for interest rate decreases in 2024 continuing to wane. https://lnkd.in/gvwQFU86 The key metric for inventory turnover, Days Inventory Outstanding (DIO), shows some sectors of retail have lost working capital efficiency. On average DIO grew steadily across the retail industry during 2023, from 90.2 to 96.4. Some sectors such as drug retail fared better, but a whole host of others — including home improvement, apparel, and specialty stores — clearly are being stressed. Slow-moving inventory also has increased the demand for warehouse space; vacancy rates already were at a 10-year low in early 2023, according to research from real estate solutions firm CBRE. If interest rates stay high, it will slow the building of any new warehouse space. Unfortunately for retailers, that could cause an even greater rise in the cost of carrying excess inventory. Next up, in our #RestructuringReflections series, is a post by my Oliver Wyman colleague Eugene Lavrov, MBA discussing his time as interim CFO to a distressed aerospace supplier. #OWRetail

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An understanding of the lower middle market is crucial for maximizing acquisition value. Read about how our experts and Soundcore Capital Partners collaborated to devise a plan to integrate two rival businesses. #privateequity #PE https://okt.to/OPsbCQ

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Nearly 40% of food produced globally is never eaten, according to research on food loss and waste. AlixPartners and The Consumer Goods Forum's Food Waste Coalition launched a joint report at this year's Global Summit in Chicago outlining the financial and environmental value of addressing food loss and waste. Read the report and take the assessment to see which best practices can minimize food waste across the value chain for your company. https://lnkd.in/d5aQ_v5e #foodwaste #consumerproducts

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🛍️ Retailers: you can say goodbye to excess inventory headaches! Ganas Ventures is proud to invest in LiquiDonate, the tech that makes it happen, in community. Disney Petit, MBA, and the LiquiDonate team are transforming how retailers manage returns and inventory sustainably. Get in touch with Disney to learn more. #circulareconomy

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Traditional fast food stocks had a promising performance in Q1, with several companies exceeding expectations and demonstrating resilience in the market. Despite challenges regarding perceptions of healthiness, these chains showcased their strengths in delivering convenience and quality offerings to consumers. Restaurant Brands International reported impressive revenue growth, outperforming analysts' expectations and showcasing its strong market position. El Pollo Loco, Inc. had an exceptional quarter, surpassing expectations across multiple metrics and experiencing a significant increase in its stock price. These positive results underscore the robustness of these fast food brands and their ability to adapt to evolving consumer preferences. Read More Here: https://lnkd.in/eGxVFsEC Branded Hospitality Ventures #innovation #venturecapital #hospitality #marketing #startup Jourdan Daleo José Cil Chris Brigleb Duncan Fulton Nick Boyle Josh Kobza Maria Hollandsworth Liz Williams Brian Carmichall Samuel Nicholas Borgese Ira Fils

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