Revenue growth is important, but sustainable growth requires profitable growth.

CEOs must understand whether additional revenue genuinely contributes to organisational value after accounting for operating costs, customer acquisition costs, pricing, productivity, and capital requirements.

Growth without healthy economics can create complexity without creating lasting value.

Key Strategies:

1. Monitor margins alongside revenue.

2. Understand the profitability of products and customers.

3. Review pricing regularly.

4. Control unnecessary operating costs.

5. Focus investment on high-value opportunities.

CEO Leadership Actions:

✅ Review profitability by major business segment.

✅ Challenge growth that does not generate adequate returns.

✅ Align commercial teams around profitable growth.

Actionable Tip

Identify your most profitable customer or business segment and determine what is driving its profitability.

Why This Matters?

Profitable growth strengthens cash generation, investment capacity, resilience, and long-term enterprise value.

About the Author

Ernest De-Graft Egyir, CEO advisor, Thought Leader and Founding CEO of Chief Executives Network Ghana, convenes the Ghana CEO Summit and served on Ghana’s Economic Dialogue Planning Committee.