Welcome to the Top 100 SMEs 2013 for the Sheffield City Region, writes Howard Ringrose, partner at Barber Harrison & Platt.
In last year’s Top 100 we reported substantial growth in profits around the region.
I am pleased to report that this year’s report contains a similar message.
However, comparisons to last year are slightly tricky this year as the geographical perimeter of the survey has been widened a little to encompass the more widely regarded Sheffield City Region (SCR).
As in previous years, this still covers key towns and cities such as Sheffield, Chesterfield, Rotherham, Doncaster and Barnsley but the wider SCR region now includes Matlock, Buxton, Mansfield, Worksop and Alfreton (and immediately neighbouring areas). So bear with me in terms of drawing conclusions!
The headline results for the SCR show:
Turnover across the Top 100 SME’s has grown 13 per cent compared to last year
Pre-tax profits have grown by 21 per cent
Employee numbers, however, have crept up by just under 1 per cent.
In terms of the sectors where profit increases are most prominent, our analysis reveals that Manufacturing, Metals and Service sector businesses are still leading the way. A more subdued increase in profits (but still an increase) has been experienced by the Retail sector although employee numbers have significantly fallen reflecting the longer, harder road to recovery.
Indeed, wholesalers have experienced a small fall in both profits and turnover this last year.
Delving further into the results, key sub-sectors that have experienced the greatest uplift include Transport, Chemical Products, Building & Building Products and, at a profit only level, Property Development.
Food, drink, clothing and household goods businesses however have seen a small decline in profits this year, despite improved sales and the slight upward profit trend of the overall retail sector.
Geographically, the most significant growth in profits has been seen in Sheffield (unlike last year), Chesterfield and Barnsley, but there’s been almost no growth, in aggregate, among the top representatives in Doncaster and Rotherham.
Overall then, a positive, even upbeat message continues to be apparent from the results of this survey that aligns with the other economic indicators being discerned for the region.
SME businesses appear to be able to now generate greater profits from a stable labour resource and over time it would be hoped this would lead to further economic growth and to greater job creation in the area.