The 40 largest women-owned companies in Orange County saw overall revenue decline 10% to about $2.3 billion in 2009, according to this week’s Business Journal list.
It was the second year in a row that the companies saw a drop in revenue—and only the second time since 2001.
The decline was largely due to 2009’s bleak business climate.
Overall, the list is a mix of companies.
It includes everything from the more traditional women-owned businesses such as auto dealerships and employment agencies to a seller of exotic fruits and vegetables, a maker of pool and spa equipment and an owner of a luxury Newport Beach resort.
Local employment at the companies was down 5.2% to 3,751 people.
Companywide employment was up 1.3% to 20,380, largely driven by No. 1 Irvine-based In-N-Out Burger Inc. opening restaurants outside the county.
In-N-Out
The burger chain dominates the list with $465 million in revenue, according to Business Journal estimates, or more than twice that of No. 2 Mercedes-Benz of Laguna Niguel.
Without In-N-Out, the remaining 39 companies on the list saw revenue slip 12.7% to $1.8 billion.
The restaurant chain employs 15,000 people in the U.S., it told the Business Journal in a survey, or about 50 to 60 people per restaurant, plus employees at its headquarters.
Locally, it employs 800 workers.
The fiercely private chain declined to comment beyond that for this story.
We count In-N-Out as woman-owned based on Lynsi Martinez’s staggered inheritance of trusts that own the company.
Martinez, who is in her late 20s and is the granddaughter of late company cofounder Esther Snyder, now owns a third of the trusts and is set to see full ownership when she is 35.
The burger chain opened several restaurants in 2009, including four in Utah, where it began expanding in 2008.
The company has a policy of never opening restaurants more than 500 miles away from its distribution center in Baldwin Park, allowing it to keep its burger patties unfrozen.
More restaurants are planned for Utah, according to reports.
Likely a sign of the times, this year’s list saw its fair share of estimates, with 20 declining to give revenue figures, up from 14 estimates on last year’s list.
Of the companies that did report revenue, 13 saw declines, four were flat and three were up—but not by much.
No. 19 Pacific Pioneer Insurance Group of Cypress was the list’s biggest revenue gainer by percentage, squeezing out a 5% jump to $39.5 million.
No. 22 I.T.S. American Express Travel in Irvine also saw a small rise in revenue, climbing 3.6% to $29 million.
The travel agency, owned by Germany-born Linda McIntosh, primarily provides corporate travel services for companies in the technology and healthcare industries.
Many of these companies expanded internationally in 2009, helping to boost I.T.S.’s revenue, McIntosh said.
I.T.S., which pays a fee to American Express Co. to be part of its travel network, did see the effects of 2009’s steep drop in corporate travel spending, McIntosh said.
“When they used to buy business class, now they are going coach,” she said. “But they still need to travel.”
I.T.S.’s price guarantee—if its clients find a cheaper price, it matches the fare—also helped it weather the storm last year, McIntosh said.
As for 2010, business so far is “very nice, even on the vacation side,” McIntosh said. “Business is brisk, but they are cautious, mind you.”
Carrillo
No. 18 Carrillo Business Technologies Inc. of Westminster was the list’s biggest decliner by percentage, dropping 53% to $40 million.
The computer products reseller and service provider felt the effects of the overall down economy, which forced many of its clients to delay their technology spending, said Kelly Ireland, the company’s cofounder.
“People know they need to do IT projects, but they are waiting for the economy before they actually do their spending,” she said.
The company’s practice of being conservative and planning for downswings meant that it didn’t have to cut back, Ireland said.
“We’re kind of a lean and mean company, so we actually ended up adding two people (last year) and we didn’t have to lay anybody off,” she said.
Carrillo has seen an uptick in business recently, especially from work with the federal government and with companies that need to perform massive number crunching and information processing, Carrillo said.
No. 5 Santa Ana-based Moorefield Construction Inc. was the list’s biggest decliner by revenue, slumping 40.5% to $98 million.
The construction company, which primarily does commercial, retail and industrial work as well as work on movie theaters, was hit by the recent virtual halt in building in OC and much of the U.S.
“There was just less work available,” said Fred Stephenson, vice president of marketing.
But the company has seen a slight uptick in work in 2010, primarily due to public works projects, Stephenson said.
“I’m always optimistic, but I don’t think there’s going to be a huge rebound in 2010,” he said.
Download the 2010 OC’s Top Women-Owned Businesses list (pdf)
