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SAN FRANCISCO, Nov. 16, 2016—Deloitte today released the 2016 Technology Fast 500, an annual ranking of the fastest growing North American companies in the technology, media, telecommunications, life sciences, and energy tech sectors. Loot Crate claimed the top spot with a growth rate of 66,661 percent from 2012 to 2015.
Based in Los Angeles, Loot Crate delivers monthly curated mystery boxes of entertainment and pop culture themed collectibles to fans. Founded in 2012, Loot Crate has more than 650,000 subscribers worldwide in 35 countries. Loot Crate’s position at the top of this year’s list showcases how innovation isn’t always about new technology and invention, but also about ingenuity, the recombining of existing assets, and know-how in new ways to maximize value.
Awardees are selected for this honor based on percentage fiscal year revenue growth from 2012 to 2015. Overall, 2016 Technology Fast 500 companies achieved revenue growth ranging from 121 percent to 66,661 percent in the 2012 to 2015 time frame, with a median growth of 290 percent.
“Our personal and professional lives are shifting in response to new technologies and business models that are changing the way we work and live,” said Sandra Shirai, principal, Deloitte Consulting LLP and US Technology, Media, and Telecommunications leader. “The 2016 Technology Fast 500 winners are supporting this shift by creating experiences for their customers, surpassing expected possibilities, and helping to envision even more effective and ingenious solutions. Loot Crate is just one example of how effective organizations face disruption with confidence, striving to understand and harness the potential to propel forward. That means taking risks, encouraging experimentation, and embracing transformation.”
“Being recognized by Deloitte as the fastest growing technology company on the Fast 500 List is an incredible honor,” said Chris Davis, CEO and co-founder of Loot Crate. “Our desire to curate unique experiences for our customers through our shared passion for pop culture, games, and entertainment brands gives our fan commerce business a sense of purpose as we scale and makes coming to work a lot of fun.”
The top 10 ranked companies are as follows:
|2016 Rank||Company||Sector||Revenue growth (2012 to 2015)||City, State|
|1||Loot Crate||Digital content/
|66,661 percent||Los Angeles, California|
|39,783 percent||New York, New York|
|3||ARIAD Pharmaceuticals, Inc.||Biotechnology/pharmaceutical||21,191 percent||Cambridge, Massachusetts|
|16,547 percent||Irvine, California|
|5||BounceX||Software||14,575 percent||New York, New York|
|6||Doximity||Software||14,350 percent||San Jose, California|
|7||Gainsight||Software||12,730 percent||Redwood City, California|
|8||Lexicon Pharmaceuticals Inc.||Biotechnology/pharmaceutical||11,839 percent||The Woodlands, Texas|
|9||Datadog||Software||10,303 percent||New York, New York|
|10||AppLovin||Software||10,276 percent||Palo Alto, California|
Deloitte’s Technology Fast 500 winners hail from cities far and wide across North America—from Los Angeles to New York to Canada. Of the dozens of locations represented on the list, some have a particularly strong track record of turning out successful, fast growing companies that are releasing new, emerging technologies.
Silicon Valley, well-known as an innovation hot spot, continues to lead in representation with 20 percent of the companies on the list, 63 percent of which are in the software industry. The New York Metro area and the Greater Los Angeles area came in next, with 17 and 8 percent respectively of companies on the list in software and digital content, and the media and entertainment sectors. Rounding out the top five markets, the District of Columbia dominated in software and New England in software and biotech.
Following is a list of innovative cities with a significant concentration of winners:
|Location||Percenage of list||Fastest-growing company in the region||Overall company ranking||Dominate sectors in location|
|San Francisco Bay Area||20 percent||Doximity||7||Software 63 percent|
|New York Metro Area||17 percent||Yieldbot||2||Software 47 percent; digital content/media/entertainment 25 percent|
|Greater Los Angeles Area||8 percent||Loot Crate||1||Software 49 percent; digital/ content/media entertainment 27 percent|
|Washington, DC||6 percent||Supernus Pharmaceuticals, Inc.||12||Software 63 percent|
|New England||5 percent||ARIAD Pharmaceuticals, Inc.||3||Software 44 percent; biotech 33 percent|
Software continues to have the greatest impact across technology sectors, representing 58 percent of the entire list and five of the top 10 winners overall. Of the private companies, 44 percent identified themselves in software as a service (SaaS), 24 percent in enterprise software, and 10 percent in security. Since the creation of the ranking, each year software companies have made up the majority of winners, with a median growth rate of 275 percent this year.
Furthermore, biotechnology/pharmaceutical companies make up the second-most prevalent sector in this year’s rankings, comprising 13 percent of the Technology Fast 500. Digital content, media, and entertainment companies follow next with 12 percent of companies representing this year’s list and a median growth rate of 544 percent.
The percentage of companies from industry sectors represented on the Technology Fast 500 are as follows:
|Sector||Percentage||Sector leader||Median revenue growth (2012 to 2015)|
|Software||58 percent||BounceX||275 percent|
|Biotechnology/pharmaceutical||13 percent||ARIAD Pharmaceuticals, Inc.||428 percent|
|Digital content/media/entertainment||12 percent||Loot Crate||544 percent|
|Medical devices||5 percent||Strata Skin Sciences, Inc.||255 percent|
|Communications/networking||5 percent||MacStadium, Inc.||199 percent|
|Electronic devices/hardware||4 percent||FORM Holdings Corp.||290 percent|
|Semiconductor||2 percent||Movidius||209 percent|
|Energy tech||1 percent||Norbachi||215 percent|
In the 2016 rankings, 68 percent of the companies were backed by venture capitalists at some point in their company history. Notably, eight of the top 10 companies on the Technology Fast 500 received venture funding.
“Investors continue to remain confident in North American technology companies. Companies that enhance efficiencies through new technologies, enter new markets, and develop new products and business models are the ones who sustain fundraising and will provide a significant return on investment. These are the rising stars,” said Jim Atwell, partner, Deloitte & Touche LLP, and national managing partner of the Emerging Growth Company practice. “The industry understands that while innovation entails taking risks, the absence of innovation is riskier. This is something the Technology Fast 500 winners recognize as they continue to grow and move their companies forward.”
About Deloitte’s Technology, Media and Telecommunications practice
Deloitte’s Technology, Media, & Telecommunications (TMT) practice provides industry-leading audit, consulting, tax, and advisory services to more than 1,800 clients in the United States, including the vast majority of market category leaders across all sector segments. Deloitte practitioners, many with direct industry experience, work with one purpose: to deliver measurable, lasting results. They help reinforce public trust in our capital markets, inspire clients to make their most challenging business decisions with confidence, and help lead the way toward a stronger economy and a healthy society. TMT clients count on Deloitte to help them transform uncertainty into a possibility and rapid change into lasting progress. Deloitte practitioners know how to anticipate, collaborate, and innovate, and create opportunity from even the unforeseen obstacle.
Deloitte provides industry-leading audit, consulting, tax, and advisory services to many of the world’s most admired brands, including 80 percent of the Fortune 500. Our people work across more than 20 industry sectors to deliver measurable and lasting results that help reinforce public trust in our capital markets, inspire clients to make their most challenging business decisions with confidence, and help lead the way toward a stronger economy and a healthy society.