Pulling Rank
Through well-considered acquisitions, Multi-Color has boosted its sales by more than $20 million in two years.
By Kate Tomlinson, Assistant Editor
ON VARIOUS FRONTS, Multi-Color Corporation (MCC) is a rising chart-topper. The Cincinnati Enquirer recently named MCC one of the city's 10 most profitable companies. MCC also held the number two spot in that paper's "80s Index," which ranks stocks according to annual return (after adjusting for splits, spinoffs, and stock dividends). Finally, as number 16 in pP's Top Tag and Label Converter Survey, President/CEO Frank Gerace has proven a diversified portfolio of print services goes a long way.
Through a series of acquisitions, MCC has not only expanded its product line, employee base, and market-segment reach, but also has grown a from gravure printer of in-mold labels to a one-stop label shop. In late 1999, MCC bought Buriot Int'l, an injection in-mold and pressure-sensitive label printer. This purchase added offset and UV flexo capabilities to MCC's resume. Six months later, the company acquired shrink-sleeve printer UniFlex. In October 2001, the company acquired p-s specialist Premiere Labels.
Steve Mulch, senior VP/sales and marketing, believes MCC's ability to efficiently integrate its business model into new acquisitions has been key to its success. "We have developed 'plug-and-play' systems that allow us to cut integration time by 50 percent and ensure our customers receive the same high level of products from any and all MCC locations," he says. "When a customer visits any of our facilities they will see identical systems, procedures, and level of housekeeping."
With a customer roster made up of well-known brands (Procter & Gamble, Dial, Quaker Oats), MCC's end-user index spans laundry, beverage, food, personal care, and household markets.
Gerace attributes the company's quick climb in revenue to a number of factors: "We are an execution-oriented organization with a disciplined approach to everything we do," he explains. He also credits MCC's well-trained staff, and their commitment to continuous improvement.
Through a challenging economic climate, MCC turned in impressive financial results. Highlights for fiscal 2002 include a nine percent increase in sales revenue and a 32 percent increase in net income. Gerace says the company has produced such sound financial results by growing the business while reducing costs.
Gerace plans to expand MCC's graphics services business and enter the packaging services field. His advice for success: "Listen to the customer; create an execution-oriented culture; and maintain a relentless focus on cost reduction."
