Thirty-three publicly traded companies headquartered in Orange County quickened their revenue growth tempo from last year, according to the Business Journal’s annual list of the fastest growers.
The entries on this week’s trio of listings saw revenue climb 65% for the two-year period ended June 30, up from 52% on last year’s list. For the year ended June 30, they reported a combined $36.4 billion in sales.
Nearly half of the 34 companies on the list are based in Irvine, followed by two in Newport Beach.
The lists, which are limited to companies topping 15% over a two-year period, are broken into three categories: small, under $100 million, where sales grew a combined 78%; midsize, $100 million to $500 million, which grew the fastest at 89%; and large, above $500 million, where sales increased 60%.
Topping that growth is a company closely watched on Wall Street: Irvine-based Rivian Automotive Inc. (Nasdaq: RIVN), which saw sales jump to $3 billion for the year ended June 30, a 5,320% increase from the same period two years prior.
“Results for the second quarter of 2023 reflect strong financial and operational progress as we continued to ramp production, improved cost efficiency, successfully introduced new technologies and enhanced the customer experience,” the company said in an August letter to investors (see story, page 1).
Another star performer was automobile chipmaker Indie Semiconductor Inc. (Nasdaq: INDI), which reported $155.6 million in sales for the year ended June 30, an 883% increase from the same period two years prior.
“Our significant R&D investments coupled with targeted acquisitions are positioning Indie to once again materially outpace our peers in 2023 and to capitalize on the $30 billion autotech market opportunity,” Chief Executive Donald McClymont said in February.
Xponential Fitness Inc.’s (NYSE: XPOF) revenue jumped to $283 million for the year ended June 30, up 691% from two years ago.
The Irvine-based company, which calls itself the largest global franchiser of boutique fitness brands, has 2,892 studios, including Club Pilates and CycleBar.
“The company continues to execute on our strategic growth drivers,” CEO Anthony Geisler said in an August statement to discuss second-quarter results.
Another fast grower was Irvine’s WM Technology Inc. (Nasdaq: MAPS), where revenue climbed to $198.6 million, a 323% growth from two years ago. However, the software firm’s growth is expected to decline this year due to several problems facing the company and the cannabis industry.
“It is no secret that the [cannabis] industry is struggling with growth,” WM Executive Chair Doug Francis told analysts in August (see story, page 26).
Virgin Galactic Holdings Inc.’s revenue soared (NYSE: SPCE), up 583%, good for No. 1 ranking in the small category as the Tustin-based company began its space flights for passengers.
Medtechs were among the standout performers with 10 companies in the sector on the lists.
A notable spurt was 495% at Aliso Viejo’s RxSight Inc. (Nasdaq: RXST). CEO Ron Kurtz had a simple explanation for the sales growth when he spoke with the Business Journal earlier this year.
“At its core, it’s the benefits of the technology,” Kurtz said. “As more people learn and see the result, that leads to growth and interest in the technology.”
Growth didn’t always translate into success on Wall Street.
ToughBuilt Industries Inc. (Nasdaq: TBLT) of Irvine jumped 75% to $99.2 million for the year ended June 30. However, its stock has fallen to 19 cents and a $6.1 million market cap (see story, page 1).
“I’m not worried about growing, frankly,” co-founder and CEO Michael Panosian said on an August conference call. “What I’m trying to balance is the well-being of the shareholders versus raising money versus getting financial vehicles.”