Northamptonshire has 36 of the East Midlands’ 200 fastest growing businesses, according to the findings of a new report.
The study, compiled by business and financial advisers Grant Thornton, also shows the county also has the highest rate of increase of business turnover in the whole of the region.
The East Midlands Top 200 report provides a detailed financial analysis of the region’s 200 fastest growing companies which are managed and run from the East Midlands, covering Leicestershire, Northamptonshire, Nottinghamshire, Derbyshire and Lincolnshire.
Wellingborough-based Ray Mallock Limited, a specialist motor racing car manufacturer and developer, takes sixth place for growth in the whole of the East Midlands by registering performance of 81 percent growth per annum.
Northamptonshire has a total of five of the East Midlands fastest growing businesses in the report’s top twenty-five. Hi-Force Limited, manufacturer of hydraulic and engineering products, takes 15th place with growth of 59 percent. Advertising, marketing and insurance services specialist NAHL Group PLC is 19th with annual growth of 52 percent. CRP Print & Packaging Holdings Limited registers annual growth of 45 percent, whilst Dr Martens AirWair Group Limited records 45 percent annual growth, placing them 24th and 25th respectively in the overall Top 200 table.
According to the report, Northamptonshire has the second smallest proportion of companies on the list with thirty-six, but it does have the two largest companies in terms of turnover – Travis Perkins and Booker Group PLC, which generated £8.8 billion of sales between them. Excluding these two companies, the county is second in the region for highest adjusted profit margin and proportion of overseas sales, and the highest rate of turnover increase.
Northamptonshire comes out on top in turnover and profit contribution, but is only second as a top employer with 37,500 people employed. The county’s employers have increased workforces during the period, by a net 33 percent, and awarded average pay rises of over four percent.
Presenting the East Midlands Top 200 findings was Phil Sayers, partner in Grant Thornton’s Leicester office. He said: “The survey carries out a detailed analysis of the financial performance of the region’s 200 fastest growing companies providing a snapshot of the health of the East Midlands economy.
“The Top 200 focuses on the companies run and managed from the East Midlands, ranking them based on profit growth over a three year period commencing 2009/2010. In this period, the East Midlands Top 200 increased profits at a rate of 25.7 percent per year to approximately £3.5 million, no mean feat especially in a period when UK GDP fell an average three percent per annum.
“Many of the companies we interviewed indicated that they had responded to the price pressure in the market by becoming very solutions focused. Through understanding and listening to clients they have been able to co-create solutions, in turn building stronger links with customers and maintaining margins.
“These businesses have done really well to outperform the market and deliver strong sustained growth, which is a testament to the East Midlands’ economy. This is exemplified by the top ten companies on the list who have all grown their profitsfive-fold during the last three years, which equates to an average compound annual growth rate between them of 96 percent.”
Also presenting was Lucy Haynes, Director of the CBI East Midlands, who added: “This report reinforces Mark Carney’s view that the East Midlands truly is the ‘bellwether’ of the UK economy, with businesses here paving the way for the overall performance of the UK economy. With forty-seven companies still on the list from last year and 153 new names, it’s clear there are sustainable businesses in the region along with an emerging, dynamic group snapping at their heels. The Top 200 really puts the East Midlands in the spotlight where it belongs. From world-beating manufacturers to the services sector, our region is packing a punch and playing a major part in the UK’s economic recovery.”
The East Midlands Top 200 report also analysed a breakdown of the financial data by sector. As last year, the two largest sectors represented on the list account for approximately two thirds of the total number of companies, with 70 services companies and 63 manufacturing companies. The remaining companies are evenly split across a range of sectors, including a number considered to have struggled over the period notably retail, and property and construction, which have 13 percent of the businesses represented on the list. Industries represented include
The five fastest growing businesses in Northamptonshire:
1 Ray Mallock Limited 81%
2 Hi-Force Limited 59%
3 NAHL Group PLC 52%
4 CRP Print & Packaging Holdings Limited 45%
5 Dr Martens Airwair Group Limited 45%