As companies mature, their growth tends to slow. Research has shown that stagnation is a normal part of the corporate life cycle—but it is not destiny. Some firms defy the trend, achieving and sustaining what we call breakout growth: they increase their sales at least twice as fast as their peers for five years, and then sustain above-industry growth for five subsequent years. In a global study of 848 companies that experienced stagnation—defined as five years of below-industry revenue growth—we identified 99 companies that beat the odds over the subsequent 10 years.

This group is small, but mighty: We found these firms achieved nearly 20% average annual total shareholder returns (TSR) during their initial, five-year breakout-growth phase—and continued to significantly outperform their peers’ returns during their five-year sustained-growth phase. They span every major sector of the economy, including both mature and fast-growing markets. Notably, the breakout growers didn’t sacrifice profitability to achieve growth, and, on average, expanded their margins by one percentage point during the first five years.

On the flip side, we also identified 144 companies that attempted breakout growth and achieved initial success—outgrowing their peers in the first five years—but were unable to sustain this trajectory over the subsequent five years. These companies experienced TSR of less than 2% during their first five years of reignited growth—less than the stagnant firms that never tried to escape stagnation at all. In other words: The potential rewards of breakout growth are high, but so are the risks.

We found that those who got it right relied on well-known moves, such as product innovation, international expansion, or transformation of their business portfolio. But what set them apart was their ability to match their growth strategy to situational requirements, such as industry characteristics and existing strategic capabilities. Many also used challenging situations, such as the emergence of new regulations, technologies, or investor pressure, to create a compelling case for change—turning crisis into opportunity.