The third annual version of the index, which will be revealed in full later this month, shows the capitalisation of South Australia’s biggest companies has grown – overall – in the high single digits, well above the nation’s GDP growth.
Initial analysis by Adelaide financial services firm Taylor Collison, which compiles the index, also shows revenue has also grown by a similar amount in 2016-17, with exact figures to be revealed by InDaily over the coming weeks.
Companies are considered eligible for the list if they have a South Australian head office, with an Adelaide share registry, or are SA operated, founded and majority-owned by South Australians.
Qualifying companies can’t be government-run, agencies of government or a registered charity.
Taylor Collison director Scott Dolling says that the list shows that the cream of South Australia’s businesses had a strong 2016-17 financial year, with resources companies in particular enjoying a bounce in commodities prices.
He says it is reasonable to expect that the state’s biggest companies grow the fastest, but he believes that there is plenty of room for robust growth outside of the top 100 over the coming years, despite South Australia’s well-documented economic challenges.
“The total value of the index is now more than $37 billion,” Dolling says. “By comparison, Perth-based Wesfarmers, which owns Coles and Bunnings, alone is valued at $48 billion.
“If a company has a head office here, its management is much more likely to give a contract – for example – to someone around the corner. It just makes sense.
“The fastest way to run things around in any economy is to have companies here, spending money.”
InDaily will begin revealing the top 100 businesses late next week.
The full list will be announced at the South Australian Business Index luncheon on Thursday September 28 at Adelaide Oval.
The event, which will be part of the Open State festival for the first time, will feature guest speaker Richard Watson – a leading English futurist, author and lecturer who has worked with many leading companies to help them improve the quality of their thinking and plan for the far future.
Watson, who famously predicted the global financial crisis a year before it happened, will speak about “Future Energy”.
Watson’s keynote address will be followed by a local expert panel discussing the issues affecting South Australian businesses.
To book your ticket to the South Australian Business Index lunch, click on the banner below.
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