Wellington the fastest-growing region with second consecutive year of double-digit growth, according to 2019 TIN Report

Sarah Gardyne Press Release, Tech News, TIN News

WELLINGTON THE FASTEST-GROWING REGION WITH SECOND CONSECUTIVE YEAR OF DOUBLE-DIGIT GROWTH, ACCORDING TO 2019 TIN REPORT

Growth was once again spread across all of New Zealand, with four regions achieving double-digit growth

A summary of Regional Data in the 2019 TIN Report is as follows:

North Auckland/Northland

The region had another remarkable year, growing by $170m – an increase of 15.2% – bringing total revenue to $1.3B, and boasting an impressive 5-year CAGR of 11.0%. High-tech Manufacturing continues to perform well, bringing in half of the region’s revenue this year (52.1%) following growth of 12.5%. However, it is the ICT sector that is transforming the region most dramatically. Collectively, ICT companies accounted for 54.3% of growth in the region, totalling $92m.

  • Revenue ($000): $1,283,572
  • Growth ($000/%): $169,755 or 15.2%
  • Job Creation (actual/%): 379 or 8.6%
  • Number of TIN 200 companies: 39

South Auckland

South Auckland* represents the largest region in this year’s TIN Report, with 83 TIN200 companies contributing $5.6B, equivalent to 46.5% of TIN200 revenue. The region recorded a growth rate of 6.1% this year, slower than all other regions and the overall TIN200 growth rate of 10.2%. The Biotech sector continues to thrive in South Auckland with strong performances from Douglas Pharmaceuticals and new entrant Aroa Biosurgery, which grew by a phenomenal 118% this year.

  • Revenue ($000): $5,643,293
  • Growth ($000/%): $325,763 or 6.1%
  • Job Creation (actual/%): 1,142 or 5.5%
  • Number of TIN 200 companies: 83

*South Auckland covers all regions south of the Auckland Harbour Bridge to the Bombay Hills

Hamilton

After recording the largest growth rate of the regions in 2018, growth in Hamilton slowed to 7.1%, slightly lower than the national rate of 10.2%. Despite this slower growth – and being one of the smallest regions, the region contributed $914m to total TIN200 revenue. Revenue is driven by High-tech Manufacturing firms, primarily in the Agritech sector, which provides 93.3% of the revenue for the region.

  • Revenue ($000): $913,892
  • Growth ($000/%): $60,316 or 7.1%
  • Job Creation (actual/%): 124 or 4.2%
  • Number of TIN 200 companies: 9

Central North Island

The region grew by 9.6%, or $26m, bringing total revenue for the region to $291m. The High-Tech Manufacturing sector grew by $15m, contributing 60.2% of the region’s growth, compared to the $9m of growth contributed by the Biotech sector. Notably, the region continues to generate the most revenue per employee at $339,329, well above the TIN200 revenue per employee of $235,133.

  • Revenue ($000): $291,483
  • Growth ($000/%): $25,619 or 9.6%
  • Job Creation (actual/%): 80 or 10.3%
  • Number of TIN 200 companies: 11

Wellington/Lower North Island

As the second-largest region by revenue, Wellington/Lower North Island accounts for 21.3% of TIN200 revenue, or $2.6B. The region grew by $386m after experiencing its second consecutive year of double-digit growth, supporting a 5-year CAGR of 10.8%. The region continues to be a hub for ICT, with 92.9% of revenue coming from the 17 companies in the sector. For the second year in a row, Wellington/Lower North Island contributed the most new employees, adding 1,639 global staff, an increase of 14.3%

  • Revenue ($000): $2,588,781
  • Growth ($000/%): $386,045 or 17.5%
  • Job Creation (actual/%): 1,639 or 14.3%
  • Number of TIN 200 companies: 25

Canterbury/Upper South Island

The region grew on par with the TIN200 at 10.3%, adding $87m in revenue in 2019 to bring the region’s total revenue to $935m. The ICT sector grew by an impressive 26.6%, or $50.6m, accounting for more than half the region’s growth (58.1%). The region has the highest proportion of foreign-owned companies, with nine of the 24 falling under this ownership category.   It had seven companies that exceeded a growth rate of 30%, including a mix of ICT firms and High-tech Manufacturers.

  • Revenue ($000): $935,340
  • Growth ($000/%): $87,135 or 10.3%
  • Job Creation (actual/%): 276 or 7.4%
  • Number of TIN 200 companies: 24

Otago/Southland

Despite being one of the smallest regions, Otago/Southland boasts the highest 5-year CAGR of any region at 20.4%, growing by $66m this year, and bringing the total revenue for the region to $469m. The region’s High-tech Manufacturing sector had an outstanding year, growing by 30.2%. Of particular note was Scott Technology, ADInstruments and Escea, and together these three companies generated 53.8% of the region’s TIN200 revenue.

  • Revenue ($000): $469,227
  • Growth ($000/%): $65,535 or 16.2%
  • Job Creation (actual/%): 121 or 3.4%
  • Number of TIN 200 companies: 9
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