OCBJ WEEKLY LISTS
Fastest-Growing Public Companies Get Faster
Revenue Up 41%, Local Hires Double Overall Economy
Orange County’s fastest-growing public companies got faster this year.
Homebuilder Tops List After 2 Years Back in Public Market
Industry Watchers Speculate It Could Be Ripe for Consolidation Trend
Improving fortunes in the housing market and a disciplined operating plan have provided a boost to the fortunes of William Lyon Homes Inc. during its return to the public markets.
Home-Grown
Banc of California Focuses on Service In SoCal for 176% Revenue Growth
Fast growth continues for Banc of California Inc.
Pot Products Maker Grows Like a Weed
Terra Tech Sales Up 754%, Largely On Cannabis Demand Surge
Terra Tech Corp.’s crops of basil, oregano, thyme, parsley and lettuce are a steady line of business, but the Newport Beach-based company’s newer line of products derived from another leafy green is the big growth driver.
Financial Advisories Cut Local Representatives By 6%
Top 25 Down to 1,705 Advisers in Past Year
The combined number of local registered representatives at Orange County’s biggest financial advisory firms dropped while the firms boosted their total OC work forces.
Big Data Becomes Big Initiative at Local Campuses
Programs, Research Added to Meet Increased Demand
Orange County colleges and universities are launching and expanding programs in big data to train students to capture and analyze the reams of information that’s become available in an age when data storage capacity has ballooned.
Grant, Dolls and Gaming Link Commerce, Creativity
Schools Teach Students To Turn Inspiration Into Work
Chapman University plans to open a business incubator for arts and culture-based enterprises at the end of a two-year, $200,000 grant the European Union awarded the school last month.
MBA Programs’ Numbers Down in Strong Economy
Specialization, Speed Enhance Schools’ Efforts
Numbers are down in the Business Journal’s annual survey of MBA programs that serve Orange County—and that’s a good thing.
Insurance Brokers Continue Revenue Gains for 5th Year
Biggest Firms Combine For $570M, Up 13%
Orange County’s insurance brokers grew for the fifth straight year, notching a 13% increase in combined revenue last year.
Architecture Firms Ramp Up With 9% Billings Increase
40 Biggest Combine For $474M in Local Work
Orange County’s architecture firms combined for a 9.1% increase in local billings this year following a modest 1.6% increase in local billings last year, and are on track to return to the 13% surge they had in 2013.
Engineering Firms Reverse Last Year’s Billings Drop
Increase Total By 1.7% Following 1.5% Decrease
Orange County’s top engineering firms with headquarters or significant operations here have recovered from a 1.5% drop in billings last year, posting a 1.7% increase in local billings during the 12-month period ended June 30.
Fastest Growers Prove Efficient
Fewer Companies, More Jobs in All 3 Categories
The number of entries on this week’s Business Journal lists of fastest-growing private companies based in Orange County is down by about 10% from a year ago.
Private Foundations Give More in OC, Less Overall
Combined to Donate $145M, Increased OC Giving 22.8%
Private foundations based in Orange County spent more money in their own backyard last year as they trimmed their overall giving.
Corporate Foundations Boost Giving in 2014 by 6.1%
36 Active in OC Donate $1.2B, $21M+ of it Local
Corporate foundations active in Orange County marked their fifth year of yearly increases in total cash contributions and cash contributions to OC charities.
Electronics Makers See Flat Employment Pace
18 Biggest Companies Add Just Nine Employees
Employment at the county’s largest contract electronics makers was flat over the past 12 months, despite steady sales growth in the industry worldwide.
New Tools, Talent Fuel PR Shops
MARKETING: Biggest here add duties, combine for 12% hike in jobs
The 40 biggest public relations firms based in Orange County are doing more with more—additional services, bigger budgets, new hires.
Telecom’s Job Cuts Pull Down Local Industry By 6%
Verizon Trims 1,000 in OC, Leads to 2nd Drop in a Row
A companywide restructuring fueled the second straight year of significant job losses among Orange County’s largest telecommunications companies.
OC Cities’ Populations Increase 1% to Top 3 Million
Anaheim Stays Atop List, Irvine Grows Most at 3.2%
Orange County’s population growth kept pace and inched up by 1% last year to slightly above 3 million.
$62B Worth of Food for Thought
Wealthiest List Shows Diversity of OC’s Fortunes
Real estate, technology, healthcare, inheritances.
Hyundai Capital Sets Sights on Makeover on MacArthur
Firm Uniquely Emphasizes Office Design, Worker Space
Hyundai Capital America is often identified locally in connection with the large, transparent building next to the San Diego (405) Freeway in Irvine known as The Michelson.
Tenant-Improvement Contractors’ Work Gains Slow
Dollar Value Up 16.2% After 29%, 20% Increases
Orange County’s largest tenant-improvement contractors continued their growth trend last year but slowed in all aspects, including local revenue and number of employees.
Q&A
A diversity of business sectors, ample capital held by investor groups, and demographic factors are some key drivers behind a robust mergers-and-acquisitions scene in Orange County. The fast pace of M&A activity means professional services providers, such as accountants, are in high demand to carry out sound due-diligence procedures and provide guidance. The Business Journal’s Jane Yu asked local accounting firm executives to share their thoughts on M&A activity in Orange County, as well as to discuss expectations for future trends and client concerns. Here are edited excerpts of their responses:
Accounting Firms Notch 4th Year of Workforce Gains
Employment Up 4.4%, Top Spots Unchanged
Orange County’s largest accounting firms combined to grow the sector’s local workforce by about 4% over the past year, marking the fourth straight year of modest gains.
Management Consultant Gains Slow As Biggest Shrink
27 Firms Eke Out 1% Gain to 1,551 Jobs Here
The pace of employment growth at Orange County’s top management consulting firms slowed over the past year, driven primarily by job cuts at the biggest.
Ranks of Biggest Women-Owned Businesses Swell to 100-Strong
Orange County’s biggest women-owned businesses generated $3.5 billion in revenue last year, notching a 5.6% increase and extending a streak of gains to five years.
Bundles Make Big Business for Maker of Security Systems
More Than $70M in Sales To A-List Customers
Priti Sharma moved to Chicago from India at age 16 and at the time had no idea that she would one day own a multimillion-dollar company.
OC-Based Chains Serve Up 5.8% Increase in Revenue
RESTAURANTS: $14.9B in sales and 17,923 local workers
Business is strong for Orange County-based restaurant chains, mirroring a year of eating heartily nationwide.
Private Cos. Set Pace on Jobs
Biggest Based Here Surpass Broader Economy on New Hires
The biggest private companies based in Orange County have been big on building the local workforce over the past year, adding jobs at a faster pace than the county’s overall economy.
OC Developers Double Down on Openings, Backlog
2 Million Square Feet Finished, Most Here Since 2008
Orange County’s top commercial developers nearly doubled the number of completed projects in the region in the past year while pushing their backlog of active projects to a level not reached since the last real estate boom.
Smaller Projects Help Construction Firms Post Growth
Jobs, Backlogs Up Despite Few Mega Local Deals
Orange County’s largest commercial construction companies had solid growth in revenue, jobs, and work backlogs last year, despite a relatively small number of mega projects to call their own.
PE Firms Establish Niches in Quest for Portfolio Growth
At least 8 Active OC Firms Chart Their Own Courses
Orange County’s private equity scene covers a wide range of industries and market segments, a reflection of the diversity in characteristics and specialties of the investment firms here.
More Deals, Smaller Checks on Local VC Landscape
100% Hike in Dollar Volume, 60% Increase Last Year
The biggest venture capital firms in Orange County continued to increase their investments in local companies, though the pace of growth slowed compared with a year earlier.
Apparel Makers’ Workforce Levels Flat From Year Ago
51 Biggest Based in OC Employed 10,000-Plus Here
The 51 largest apparel companies based in Orange County employed a local workforce of 10,148, according to this week’s Business Journal list.
Women-Owned Businesses Wanted for Annual List
Special Report: Centerpiece of July 6 edition
Is your company women-owned? The Business Journal wants to hear from you.
Employment Agencies Continue Growth With 2% Jump
21 Firms Have $720M In Locally Generated Revenue
The largest staffing firms in Orange County combined for a modest increase in revenue last year, coming off a small dip in 2013.
SBA Loans Jump, National Lenders Lead Way
FINANCE: Value rises 52%; number of loans up 35%
Small-business lending in Orange County rose substantially in recent months, according to this week’s Business Journal lists based on information from the U.S. Small Business Administration.
Software Makers Grow Employment 4th Year Straight
Biggest Here Eke Out Modest Gain, Employ 7,991
The largest software makers in Orange County added jobs for the fourth straight year, albeit at a slower clip.
Security Bigger Part of CFO Role as Big Data Grows
Trend Affects Company Image, Viability, Execs Say
Chief financial officers are increasingly becoming an essential part of the conversation about data security, a topic much discussed today as businesses rely more on collection and analysis of “big data” for various aspects of their operations.
Ups, Downs Even Out as Aerospace Holds Steady on Jobs
THE LIST: IFE sector offsets cuts at top-ranked Boeing
Employment at Orange County’s largest aerospace and defense contractors was roughly flat for the third straight year.
Private Companies Wanted for Annual List
Special Issue: List will be centerpiece of June 22 edition
The Business Journal is preparing its annual list of privately owned companies for publication in June.
Panel’s Prediction: Predictive on Rise
Industry Execs Caution on Trade-Off of Privacy
The chief marketing officer of the future could look more like Star Trek’s Captain Kirk than the guys from the “Mad Men” show.
Ad Agencies Top $1 Billion, Led by Gains at Top
Newcomers Help Boost List’s Total, Account for 40%
Orange County’s largest advertising agencies posted an estimated 9% gain in revenue last year, enough to push the group over the $1 billion benchmark.
Printers Reach Beyond Paper, Ink for Revenue Gains
Use of Data to Help Clients Refine Targets One Key
The largest commercial printers based in Orange County combined for $585 million in revenue last year, a 7.5% increase from their total in 2013.
Public Companies Pass $200B on Allergan Effect
Drugmaker’s Sale Brings Much of Big Lift; Edwards, Broadcom Chip In; HCP Moves In
Orange County’s 100 biggest public companies combine for more than $207 billion in market capitalization, a gain of 62% from a year earlier.
Commercial Brokerages Post Fifth Year of Gains
Leasing Activity Picks Up, Sales Volumes Still Strong
A sharp increase in leasing activity, continued strength in the for-sale market, and the effects of industry consolidations propelled Orange County’s largest commercial brokerages to a banner year in 2014.
Environmental Firms’ Work Rose 8% Last Year
Grow on Economy, Buys, Expanding Services, Goats
The largest environmental consultants with offices in Orange County billed $602 million in 2014, an 8% jump over last year’s $556 million.
Title Work Stumbles in 2014 as Interest Rates Top 4%
New Home, Commercial Pick Up Some of Slack
Business for Orange County’s largest title insurers plummeted last year as refinance activity significantly declined.
Allergan Purchase Pushes M&A Past $90B in 2014
Value Doubled, Even Without $70B+ Sale of Drugmaker
Orange County-based companies were buyers and sellers in 303 corporate mergers and acquisitions in 2014, a year of robust local deal activity that involved slightly fewer deals and many more dollars.
Largest Minority-Owned Businesses Top $14B in Sales
THE LIST: Outpace general market with 8% boost in jobs
The largest minority-owned businesses with headquarters in Orange County combined for $14.4 billion in revenue last year, a 9% increase over 2013.
Upscale Bars Offer Comfort, Sociable Dining Alternative
Claim Center Stage With Inviting Decor, Food, Drink
Having a glass of wine with friends is no longer the cutting-edge trend. We are now having cocktails.
Mastering the Plan: Share Sales Rise for OC’s Big Three
Irvine Ranch, Pavilion Park, RMV Counter Nat’l Trend
Sales at Orange County’s best-selling masterplanned residential developments showed no signs of slowing last year and are poised for more growth this year, despite a cooling trend across much of the country.
Infill Projects Keep Big and Small Builders Busy
Less Risk, Fast Sales Appeal to Publicly Traded Firms
Orange County’s largest masterplanned developments are driving a bulk of the recent new-home sales in the region, but plenty of builders are also finding success buying land for residential projects off the beaten path.
Q&A
Healthcare is more often being delivered outside of traditional hospital walls, a trend that has been driven to some degree by the Affordable Care Act, as well as by technological improvements. Orange County hospitals are no stranger to the shift. The Business Journal’s Vita Reed talked to several hospital executives to discuss outpatient offerings and their purposes. Edited excerpts of their answers follow.
Big Hospitals’ Profits Drop 21% in Year Through Sept.
28 on List Have Second Down Year in a Row
Pretax profits dropped steeply at Orange County’s largest hospitals during the past year.
Community Benefits a Must for Private Nonprofits
Law Requires the Hospitals To Assume Social Obligation
More than a few of Orange County’s prominent hospital operators deliver something in addition to their standard healthcare: “community benefits.”
Banks, Thrift Expand Orange County Deposits by 8%
43 Combine for $84.1 Billion, Mirroring Year-Earlier Rise
Commercial banks in Orange County continued to grow local deposits, notching another 8% increase over the year through June for a total of $84.1 billion.
Legal Pros Focus on Fine Arts, Plan UCI Collaboration
Attorneys Work With UCI Program to Boost Fine Arts
Put together a few attorneys sharing a passion for the arts and a local university that fosters artistic talent, throw in some creative thinking and readiness to provide support, and you’ll get Off-Center, a collective launched by a committee of local lawyers and educators in concert with University of California-Irvine’s art department.
Law Firms Add Attorneys After Two Years of Cuts
Headcount Up 3.2%; More Make List Due to Growth
The biggest law firms in Orange County grew their workforces in 2014, breaking a two-year streak of cuts in attorney headcount.
New Yorker’s OC Junket Puts Jannard in YouTube Picture
Much of this week’s issue is dedicated to a look back at 2014, which has proved to be a remarkable year in many respects for the community of business in Orange County (see overview, page 1; coverage by industry, pages 5 through 18).
El Sol’s Sunny Mission
Plenty of Business Backers for Santa Ana School’s Focus on Arts, Academics, Dual Immersion
The idea of charter schools was little-known concept in Orange County in 1999, recalls Susan Mas.
Orange County Nonprofit Groups Have Year of Growth
Every Category Is Higher, Including Costs, Clients
More people needed a lift last year, and local donors and charitable organizations responded with more money and more people to offer help.
How South Coast Repertory Works Neighborhoods
NONPROFITS: Program adapts to schools’ needs
She was about 10 years old, a painfully shy girl with huge brown eyes and a mop of shiny brown hair. She had a nice smile—when it could be coaxed to appear.
Caritas Turns Mobile Homes Into Upward Mobility
NONPROFITS: Operates 20 parks in region, three in OC
It could be hard to imagine what it must be like to escape one terrible situation, only to be trapped in a nearly identical situation a short time later.
Sales Up 2.3% at Biggest OC Shopping Centers
RETAIL: 32 biggest combine for $7.3 billion
Taxable sales at the top 32 shopping centers in Orange County grew for the fifth straight year, but at a slower pace, according to this week’s Business Journal list.
Auto Dealers Sales Stay Hot; Near $5B on 6.3% Increase
Fletcher Jones No. 1 Again; Several Dealerships Sold
Orange County’s car culture continues to keep pace with the revved-up national market.
Automakers Ride Strong Sales, Boost Jobs by 3.2%
6 With U.S. Headquarters Here Combine to Employ 2,279
The six automakers with U.S. operations based in Orange County combined to employ 2,279 workers here, 3.2% more than a year earlier, according to this week’s Business Journal list.
Biggest Employers Churn Out Another Modest Increase
ECONOMY: Top 79 combine for 258,796 jobs, 17% of county’s total
Orange County’s biggest employers grew their combined workforce by 1% in the past year, a modest but steady pace of growth for the fourth straight year.
Banks Post Biggest Jump in Assets Since Predownturn
23 Together See 35% Rise To $18.5 Billion In Year
Orange County-based commercial banks have notched the biggest year-over-year asset growth in the ongoing economic recovery and even since the few years prior to the recession.
Biggest Credit Unions Account for Bulk of Growth
Group’s Assets to $16.9B, Despite Declines for Most
Orange County’s credit unions built assets at a faster clip over the past year, when the biggest of the group pulled most of the gains.
Mixed Backdrop as Chipmakers Cut Local Jobs by 2.5%
Biggest Here Combine for 4,735 Positions
The largest chipmakers in Orange County cut jobs in the past year as a major restructuring, Chapter 11 bankruptcy, and two sales stunted growth.
Fastest Growers Keep Pace
Public Cos. Combine for 24% Hike to $83B in Sales
The latest batch of Orange County’s fastest-growing public companies kept pace with last year’s mix, combining for a 24% growth rate on revenue.
Need for Speed
Why Fast-Growing Companies Matter to Local Economy
Fast growth matters. Having a deep pool of fast-growing public companies is a plus on many fronts for Orange County’s economy and community.
Much Bigger Homebuilder
TRI Pointe’s Revenue Jumps 1,621%—Before Big Buy From Weyerhaeuser
If you think TRI Pointe Homes Inc.’s revenue growth over the past 24 months is eye-opening, just wait until next year.
Cold Heat
Cryoport Gets Goods There Cold, Grows Revenue by Nearly 400%
Cryoport Inc.’s chilly business is fueling red-hot sales growth.
Financial Firms Add Advisers, Cut Total Workforces
Reps Jump 3.4%, Overall Staff Down 5% at Top 23
Orange County’s financial advisory firms combined to deepen the pool of registered advisers here while reducing the size of their overall employment bases.
MBA Programs Combine To Post 11% Decrease
Trend Comes With Economic Recovery
Enrollment in master of business administration programs serving Orange County fell 11% over the past year while the number of graduations was up at some schools.
OC Insurance Brokers Aim for Middle to Offset Corporate Migration
Credit some of Orange County’s biggest insurance brokers with quick adjustments to shifts in California’s corporate landscape.
Rebranding Puts Consulting Firm on Path of Growth
Says Unique Identity Makes It Stand Out From Crowd
Stantec Consulting Services Inc. was able to put its best foot forward when competing for business this year, thanks to a major rebranding effort initiated by its parent, Stantec Inc. in Edmonton, Canada.
Focus on Wireless Networks Looks Like Good Call
Rome & Associates Built On Telecommunications Work
Jeffrey Rome never thought when he got his degree in architecture that he’d spend most of his time designing wireless networks. Now, some 24 years later, 90% of billings at his Jeffrey Rome & Associates Inc. firm come from projects for major telecommunications companies such as AT&T, Crown Castle International Corp. and Verizon.
Architecture Firms’ Billings Up, Jobs About Flat
Combine For 1% Jump To $417 Million Locally
Orange County’s architecture firms combined for a 1.6% increase in local billings, modest growth after last year’s 13% surge.
Engineering Firms’ Revenues Drop After 3-Year Jump
39 Bring in $2.8 Billion In OC-Generated Billings
The top engineering firms with headquarters or significant operations in Orange County ended a three-year streak of gains with a 1.5% drop in local billings during the 12-month period ending June 30.
How Fast Is $18.7 Billion?
$5.5B Gain in 2 Years for 174 Fastest Growers Based in OC
There’s no shortage of numbers available to put some punch into this week’s coverage of the fastest-growing private companies based in Orange County.
Conditions Drove Contractor’s Meteoric Trajectory
Driver Urban’s Revenue Jumped 25,402% to $131.3M
Driver Urban had three things working for it in 2012 when it spun off from a large construction company—it entered the marketplace at the right time, at the right price, and with the right expertise.
Little Big List
$4.3B Revenue Increase Spread Over 13 Largest Fast Growers
Far fewer but much bigger. That’s one way to sum up the biggest of the fastest-growing private companies based in Orange County—13 companies that combined for $16.1 billion in revenue, a 37% jump.
Midmarket Movers
73 Companies Combine for $2.2 Billion in Revenue
The 73 fastest-growing private companies in Orange County with revenues between $10 million and $100 million collectively grew their combined top line by 76.1% over the past two years to $2.2 billion.
Double Time
Companies Under $10M Mark on Revenue Combine for 100% Jump
The fastest-growing companies in Orange County with revenues of less than $10 million combined to nearly double their sales over the past two years to $399 million.
OC Medical Device Makers Rank High for New Hires
Edwards, Endologix Among Big Gainers on Consultant List
Irvine-based medical device makers Edwards Lifesciences Corp. and Endologix Inc. are vastly different when it comes to revenue and profit, but they both rank among the top 10 hirers in the medical technology field over the past five years, according to a recently released report.
10 Biggest Drugmakers Combine for 1% Job Growth
Allergan Leads the Way With 2,400 Local Workers
Irvine-based Allergan Inc. is the runaway leader on the Business Journal’s annual list of drugmakers based in Orange County or with sizable local operations.
Contract Electronics Makers’ Job Count Flat Again
Biggest Here Combine For Workforce of 2,728
Local employment growth has evaded Orange County’s largest contract electronics makers for another year, despite a boost in global sales for the industry.
Private Foundation Giving Up Overall, Down in OC
40 Give $33M Locally Last Year, Down 9.3% From ’12
Private foundations based in Orange County gave $156.2 million overall based on their most recent data compared to $128.7 million a year ago—21.4% higher—but their local giving was down, according to data compiled by the Business Journal.
Corporate Giving Generally Up Fourth Year Running
Foundations, Firms’ Charity Arms Give 3.1% More OC Cash
Total cash giving by 35 corporate foundations and company charitable arms active in Orange County dropped 6.4% from a year ago. But discounting two major, one-time giving efforts in 2012 from the largest giver on that year’s list, Wells Fargo & Co. there was a fractional boost for the year—the fourth straight of positive increases, the Business Journal’s list shows.
OC Cities Post Population Growth, Irvine Up Nearly 5%
Combine for 1% Increase To About 3 Million Residents
Orange County cities continued growing last year, combining for a net 1% increase in population to about 3 million.
Telecoms Drop Employment After 2 Years of Gains
630 Jobs Lost As Verizon, Time Warner Cut Costs
Two cost-cutting moves fueled a significant drop in local employment among Orange County’s largest telecommunications companies in the past year.
HMOs’ Membership Up, PPOs’ Numbers Down 3%
Kaiser Leads HMOs List, Anthem OC’s Biggest PPO
Health maintenance organizations had a year of growth in Orange County.
Dental HMO, PPO Memberships Drop 1% to 2M-Plus
Delta Dental Plans Still At Top of List of 13 Plans
Managed dental care plans saw a slight drop in their Orange County membership during the past year.
Public Relations Firms Combine for 7.5% Jobs Increase
MEDIA: New clients, more social media work drive gain
The biggest public relations firms based in Orange County combined to employ 416 staffers as of July, a 7.5% year-over-year increase.
OC’s Wealthiest
Orange County’s wealthiest person has been putting a fair amount of his fortune back into his business over the past year—but we’re figuring that he’s still likely to have seen a boost to his bottom line of about $1 billion.
No Summer Swoon for Wealthiest
Markets Cooperate as Entries Tally $54B
All the ingredients pointed to another good year for the richest residents of Orange County: an extraordinarily strong run in stocks, continued briskness in the commercial and residential real estate sectors, and some surprising resilience in the bond market.
Best Companies Rise to Top With Closer Look
Annual Survey Delved Deeper With Employers, Workers
The latest batch of Orange County’s best places to work earned the distinction after a heightened research process.
Hotels Get Creative With Modern Looks for Lobbies
Renovations, New Construction Emphasize Open Design
Look to the lobbies of Orange County’s newest and most recently redesigned hotels to see the hospitality industry’s latest generation of interior design on display.