5 surprising companies that grew that fastest during Covid-19

·3-min read
Rocket starts in the night starry sky. A spaceship flies into outer space. Concept of travel to other planets
Revenue for these companies shot up, despite the pandemic. (Source: Getty)

The Australian companies that flourished during the pandemic are far from household names.

New IBISWorld research has revealed that little-known companies in the business, IT, construction sectors grew their revenue by more than 50 per cent in the 2019-20 financial year, despite the impacts of Covid-19.

IT services firm ASI Solutions took the crown for posting the largest revenue growth of the last year at 73.9 per cent.

Not only did the firm take the top spot in IBISWorld’s 2020 Top 500 Private Companies list of best-performing firm, but it is the company’s very first time featuring in the list.

ASI Solutions’ performance was also enhanced by two major acquisitions, said IBISWorld senior industry analyst Jason Aravanis.

“Forward IT is one of the major providers of ICT services to the Federal Government, winning $7.5 million in contracts in 2018-19. ASI’s acquisition in October 2019 is likely to enhance the company’s ability to secure lucrative work in Canberra,” Aravanis said.

“The BEarena acquisition has expanded ASI’s presence in New Zealand, with the company operating offices in both Auckland and Wellington.”

Second on the list is Probe Group, an administrative services outsourcing company which in the 2020 financial year grew revenue by 66.2 per cent. The Covid-19 crisis drove greater demand for their sales, help desk and contact centre services, with Probe Group rising 121 spots on the top 500 companies list.

Meanwhile, construction management firm Joss Group, favoured by the NSW Government for several contracts, saw revenue rise by 61.3 per cent, raking in $469.5 million in the 2019-20 financial year.

Joss Group also made two acquisitions during the financial year that is set to expand into the Philippines, Avaranis added.

“Joss Group has benefited from larger contracts in the Commercial Cleaning Services industry, with minimal disruption from COVID-19. The company exhibited an increase in revenue due to additional maintenance contracts, as well as a $20 million increase in cleaning work as a result of the pandemic,” he said.

Meanwhile, New Aim – which grew revenue by nearly 59 per cent – has also benefited from the e-commerce boom, as a supplier of online retailers and marketplaces such eBay and Catch. They also provide warehousing and logistics solutions.

“The COVID-19 pandemic has driven a surge in online retail, due to consumers increasingly shifting shopping activity online, including for necessities such as groceries,” said Aravanis. Revenue in the online shopping sector as a whole surged by 11.1 per cent in the 2019 financial year to $29.4 billion.

Commercial building and construction company Vaughan Constructions also saw revenue shoot up by more than half (56.4 per cent) and has been involved in projects with some household names, such as Woolworths, DHL, Kaufland and more.

“In February 2020, Vaughan appointed Deloitte to identify new capital partners to underpin the expansion of its $700 million construction and development portfolio,” added Avaranis.

Here’s the full list of Australia’s top 25 fastest-growing companies:

(Source: IBISWorld)
(Source: IBISWorld)

Make your money work with Yahoo Finance’s daily newsletter. Sign up here and stay on top of the latest money, economy, property and work news.

Follow Yahoo Finance Australia on Facebook, Twitter, Instagram and LinkedIn.

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting