STRATEGY & FINANCIAL STEWARDSHIP IN MANUFACTURING

ASX Listed Manufacturer and Import and Distributor

The ASX Listed Group faced significant challenges when Tim stepped in as the third CFO within three months. Here’s how he navigated the storm:

1. Immediate Tactical Measures:

• Working Capital Injection: Tim’s initial focus was tactical—injecting working capital into the group to ensure uninterrupted day-to-day operations.

• Stakeholder Management: He diligently managed relationships with key stakeholders, including banks, investors, and suppliers.

• Cost structure: An end-to-end cost structure review was completed, and changes executed decisively.

2. Strategic Review and Structural Issues:

• Assessing the Fundamentals: The next step involved a strategic review to address fundamental structural issues within the group.

• Stakeholder Returns: Collaborating closely with the Board, CEO, and Executive team, they devised a strategy:

• Exiting Loss-Making Business: The loss-making trailer manufacturing business was exited, unlocking a significant capital return.

• Debt Repayment: Returns from the exit were used to pay down bank debt.

• Shareholder Benefit: A significant tax-effective shareholder return was provided.

• ASX Listing: The parts import and distribution business remained listed on the ASX, poised for growth through acquisitions.

Tim’s leadership and strategic decisions transformed the Group, setting it on a path toward stability and growth.