We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
RSS FeedRisk

CFOs in PE less optimistic than 2011

After revenue growth, protection of margins through cost-cutting is the 2nd priority for CFOs in PE

Article comments

Finance chiefs at private equity-backed businesses are less confident about revenue growth than a year ago, adding further pressure to the government’s plan for private business to offset austerity measures in the public sector.

A new study by Deloitte showed on Monday that the number of CFOs that are optimistic about revenue growth - the top priority - over the next 12 months, fell to 54 percent from 70 percent a year ago.

The second priority for CFOs over the coming year included the protection of margins through cost-cutting.

There are fewer plans to exit a business in the next 12 months due to market uncertainty, the study showed, with only 4 percent saying they were going to sell a business, down from 18 percent the previous year.

An initial public offering as a possible exit route would only be considered by 4 percent of those polled this year, compared to 17 percent last year, marking the biggest fall, compared to other routes. A trade sale would be the most popular route for CFOs or a secondary buy-outs to another private equity owner.

“The results of the survey very much reflect current market sentiment and we have seen a dip in the overall outlook for the coming months,” said Emma Cox, lead partner for Deloitte’s private equity-backed business team.


Recommended Articles


CFOs in PE less optimistic than 2011

Managing the costs of arbitration when a deal goes wrong

Managing the costs of arbitration when a deal goes wrong

CFOs should be involved in international deal negotiations from the startmore ..

Uber vows to defy German ban on its UberPop ride-sharing service

Uber can be fined up to €250,000 if it continues to operate its UberPop service in Germany, a court there has ruledmore ..

Uber banned across Germany by Frankfurt court

The mobile taxi app is likely to appeal the decisionmore ..

Standard Chartered to upgrade systems after £180m fine

Bank failed to detect millions of suspect paymentsmore ..

The making of a cybercrime industry

And they're employing tried and tested above-board business methodsmore ..

Is there a bulwark against the rising pound for UK exporters?

Currency volatility has prompted a surge in the use of hedging tacticsmore ..

Send to a friend

Email this article to a friend or colleague:

PLEASE NOTE: Your name is used only to let the recipient know who sent the story, and in case of transmission error. Both your name and the recipient's name and address will not be used for any other purpose.

In Depth
Can finance rise to the challenge of major transformation?

Can finance rise to the challenge of major transformation?

Outdated finance processes, systems and competencies leave too many questions unanswered more ..

In Depth
Interim CFO or consultant? The pros and cons

Interim CFO or consultant? The pros and cons

Ed Harding offers an insight into the life of an interim CFO and the advantages in driving transformation more ..


* *