Deloitte CE Top 500: Romania has 37 companies, 5 banks and 5 insurance firms among the largest in the region

Cristina Blanaru Business, Studies

With 37 companies ranked in this year’s Deloitte Central Europe Top 500, Romania ranks 5th within the region. Combined revenues of its largest companies amounted to almost Euro 39.6BN at the end of last year, compared to Euro 37.49BN last year.

Deloitte Central Europe Top 500, now at its sixth edition, is carried out in 18 countries every year and ranks companies by revenues from sales reported for the previous year.

It’s important to notice that although the number of Romanian companies in the ranking this year dropped from 38 to 37, their combined revenues grew by more than 5%, in line with the regional upward trend

In 2011, the combined revenues of the largest 500 companies in the region grew to 707.4 billion Euro, exceeding pre-crisis level of 665.72 billion Euro, as per the 2009 report. Also, ten of the Romanian companies jumped more than 10 places in the ranking, including three of them that went up more than 100 places. We have also seen 4 new entries, each of them with activities in different industries. Overall, we may conclude that Romanian companies are able to keep position within the region despite difficult economic climate.

Ahmed Hassan

Deloitte Romania Managing Partner

The top of the largest companies in Romania is still dominated by the Energy & Resources industry, with 13 companies, followed by Consumer Business and Transportation (11), Manufacturing (7), Technology, Media and Telecommunication (5) and Life Sciences and Healthcare (1).

Of all Romanian companies, almost 86.5% reported increased revenues in 2011 compared to 2010. Clearly, there is still potential for growth, despite a worsening scenario for the global economy overall, and the tension in the euro zone area.

Romanian entrepreneurs are also present in the ranking, with two new entries that need to be acknowledged, since they represent two of the most strategic sectors for Romania – Agriculture and Energy & Resources.

George Mucibabici

Chairman Deloitte Romania

In two separate rankings of the largest 50 banks and insurance firms respectively, Romania is being represented by five banks (compared to 2, last year) and five insurance companies (a similar level compared to 2011).

2011 was a critical year for the entire financial market in Romania, with banks, leasing and insurance firms being forced to extensively adjust their strategies and start an internal realignment process to new realities of limited growth, austerity and strict regulations. In this context, we are glad to see that three Romanian banks entered the ranking of the 50 largest banks in the region for the first time, joining the two banks already ranked, that have gone up or maintained their position

With return on equity still significantly lower than the regional average, the fact that five Romania banks have supported the Romanian economy by growing assets faster than their competition is very good news – a clear proof of their long-term interest and engagement towards financing the Romanian economy.

Oana Petrescu

Head of Consulting Deloitte Romania.

 Deloitte Central Europe Top 500 2012 – highlights

  •  While total revenue exceeded 707.4 billion Euro, returning to pre-crisis levels, the average net profitability companies in Top 500 delivered dropped by 3.5% in 2011.
  •  Performance data for the first three months of 2012 show a continuing increase in average revenue levels, but only at half the rate achieved throughout 2011. This may indicate the beginning of another economic slowdown.
  •  The regional top companies continues to be dominated by Consumer Business and Transportation companies (152 in total, with combined revenues of 172.32 billion Euro), followed by Energy and Resources (148 companies, yet with higher revenues – over 290 billion Euro) and Manufacturing (129, summing up to 168.81 billion Euro).
  •  As in previous editions, this year shows a top 10 dominated by the region’s Energy & Resources companies, which occupy seven places among them including number one (PKN) and two (MOL), both of whose revenues rose by almost a quarter.
  •  Poland’s entries comprised a dominant 33.4% of the poll with 167 companies. The Czech Republic accounted for 16.8%, or 84 companies in the ranking. Hungary, Ukraine and Romania follow, with 58, 50 and 37 companies respectively.
  •  The manufacturing industry recorded high growth in the number of companies in the ranking, rising by 9 to 129 (more than 25% of the list).
  •  With the same same number of representative companies as last year (11), the Constructions segment achieved the highest increase in revenue of any industry.
  •  For the second consecutive year, the ranking is overshadowed by speculation over the future of the eurozone and economic uncertainty across Central Europe.

Obviously, the region – Romania included, is not immune to any impact of the almost daily turbulence that continues to shake our interconnected economies

In such a challenging environment, companies need a clear guidance from the top managers; this is why our report this year focuses on the critical importance of leadership at all levels, as a key driver for organizational and market success.

Ahmed Hassan

The full Deloitte Central Europe Top 500 2012 report is available for download on program’s official site.