Rankings Definitions & Rationalisation

The Singapore top 1000 companies are selected and ranked based on their audited financial figures, i.e. Sales/Turnover or Net Profit After Tax for financial period ending between 01 June 2015 and 31 May 2016 for the 2017 rankings. Comparative financial information is extracted from the companies' latest financial statements and through XBRL data.

1. Ranking Criteria

For Singapore 1000:
To qualify for the ranking, companies must satisfy the following criteria:

  • Be registered with the Accounting & Corporate Regulatory Authority (ACRA) as a limited or private limited company. Only limited exempt private companies, which voluntarily submit their audited financial statements, or whose financials are available from ACRA, will be included in the ranking exercise. Branches of foreign companies, Cooperatives and Company Limited by Guarantee are excluded.
  • Have conducted at least 2 full years of operation.
  • Have relevant audited financial statements directly submitted to DP Information Network Pte Ltd or be available from ACRA. Companies will be excluded from the ranking where the information is not available or incomplete. Examples include the limited exempt private companies which are not required to file their financial statements or where Sales/Turnover figures are not presented in the audited statements.

For Singapore SME 1000:
Additional Criteria:

  • Have an annual Sales/Turnover and Net Profit After Tax of less than SGD 100 million.
  • Have at least 30% Singapore local equity ownership and not be a subsidiary of a Singapore Public Listed Company.

For Singapore International 100:
Additional Criteria:

  • Have presence in at least 1 country outside Singapore (presence is defined as including export, overseas branches or offices, overseas distributors or agents, representative office, franchising). Where 100% of the company’s Sales/Turnover is generated outside Singapore, the Steering Committee will decide on the suitability of the company in being listed as a Singapore International 100 Company.
  • Company must be profitable during the ranking period.
  • For public listed companies, they must be incorporated in Singapore and listed on the Singapore Exchange (SGX).
  • For non-listed companies, they must have at least 30% Singapore equity.
  • With completed survey forms submitted to DP Information Network Pte Ltd or with clear breakdown of local and overseas Sales/Turnover in their audited annual reports (for public listed companies). Companies will be excluded from the ranking where the information is not available or incomplete.
2. Honour Roll

The Honour Roll highlights Singapore 1000 companies ranked within the top 10 by Sales/Turnover for the past 3 consecutive years of ranking.

3. Sales/Turnover

One of the most fundamental measure of a company’s financial performance, representing total Sales/Turnover or Gross Operating Income as reported by the company in its financial statements or as submitted by the company through XBRL to ACRA. The Sales/Turnover figures for individual companies include sales to related or holding companies. The Sales/Turnover from banks and other financial institutions include interest and non-interest incomes. Figures for the insurance companies include premium incomes and other investment income.

4. Net Profit

Net Profit or Profit/Loss after Tax includes Profit/Loss of subsidiaries and associate companies but excludes the adjustment for minority interests. Figures in parenthesis “( )” indicate losses.

5. Total Assets

Total Assets include current assets, fixed assets, investments and amounts owing by related or holding companies at its fiscal year-end.

6. Total Liabilities

Total Liabilities include all current and long-term liabilities at a company’s year-end.

7. Shareholders' Funds

This is the sum of all paid-up capital, share premium, retained earnings, capital reserves and other reserves at a company’s year-end but excludes minority interests. Currency translation reserves are included as part of the Shareholders’ Funds.

8. Group Consolidated Account

Companies are ranked in terms of consolidated performance, if available. This includes both the performance of the company and its subsidiaries. All inter-company transactions are eliminated upon consolidation.

9. Holding Vs Subsidiary Companies

To ensure that the ranking list is as comprehensive and complete as possible, all individual companies who qualify for this ranking and whose financial statements are available, are ranked. Subsidiary companies are therefore evaluated and ranked as a separate legal entity from its holding companies.

10. Annualisation of Figures

Financial information stated are in respect of the company’s financial year ending within 1 June 2015 - 31 May 2016. For changes in accounting period, annualised Sales/Turnover and Net Profit After Tax figures will be taken into consideration. Shareholders’ equity and assets are not annualised. (refer examples 1 & 2)

Below are two examples on the computation:

Example 1 - Company with reported Sales/Turnover and Net Profit After Tax for over 18 months, will be annualised by using the fraction 12/18 :

  Period from 1 July 2014
to 31 December 2015
($'000)
Annualised Value For Ranking
(Figures Adjusted to 12 months)
($'000)
Sales/Turnover 150,000 100,000 [i.e. 150,000 x 12/18]
Net Profit 60,000 40,000 [i.e. 60,000 x 12/18]

Example 2 - Company which has changed its accounting period from March to December such that there are two accounting periods in 2015, i.e., year ended 31 March 2015 and period ending 31 December 2015 (9 months), will be ranked on the following basis:

  Year ended 31 March 2015
($'000)
Period ended 31 December 2015
($'000)
Annualised Value For Ranking
(Figures Adjusted to 12 months)
($'000)
Sales/Turnover 50,000 40,000 52,500 [i.e. 40,000 + (50,000 x 3/12)]
Net Profit 10,000 9,000 11,500 [i.e. 9,000 + (10,000 x 3/12)]
Shareholders’ Funds 20,000 22,000 22,000
Total Assets 60,000 56,000 56,000

11. Current and Previous

Financial information is presented under two columns, namely, ‘Current’ and ‘Previous’. Information reflected under ‘Current’ refers to figures for financial year ending between 1 June 2015 and 31 May 2016. Information reflected under ‘Previous’ refers to the comparative information presented in the financial statements for the year ending between 1 June 2014 and 31 May 2015.

12. Nationality

‘Nationality’ refers to the place of incorporation of a company’s ultimate holding company.

13. Business Classification With Industry Averages

The business classification of a company is determined in accordance to its principal activity in which it generates the main bulk of its Sales/Turnover and Net Profit After Tax.

Industry Averages for Peer groups are calculated by averaging the Sales/Turnover and Net Profit After Tax figures for all companies listed under a particular business classification.

14. Percentage (%) Change from Previous

This compares a company’s ‘Current’ against its ‘Previous’ performance in percentage (%) terms. Percentage change from the previous is not applicable to companies, which have experienced a negative to positive growth and vice versa. (refer to example 3)

Example 3 - Company’s ‘Current’ against its ‘Previous’ performance in percentage (%) terms.

  Current 2016
($'000)
Previous 2015
($'000)
Percentage (%)
Change from 2015
Company A 50,000 25,000 100
Company B 50,000 (25,000) NA
Company C (50,000) 25,000 NA
15. Market Capitalisation

This examines the worth of public listed companies as at 17 October 2016, the latest possible cut-off date in respect to the publication date of this ranking. The figures shown were derived by multiplying the number of ordinary shares outstanding by the price per ordinary share (last traded price in Singapore Dollar at the close of business on 17 October 2016).

16. Earnings Per Share

Earnings per share (EPS) for public listed companies is calculated by dividing the net profit or loss for the period attributable to ordinary shareholders by the weighted average number of ordinary shares outstanding during the same period. For comparison purposes, EPS is shown for both the current and previous years. EPS figures are extracted from the company’s audited accounts and computed on the basis of profit after extraordinary items. Fully diluted EPS figures, if available, are included in the publication.

Example - Company with reported Net Profit Attributable to Equity Holders to Company of $315,000,000 and weighted average number of ordinary shares of 1,725,100,000:

Earning Per Share Period from 1 Jan 2015 - 31 Dec 2015 ($'000) EPS
Net Profit Attributable to Equity Holders to The Company 315,500 315,500/1,725,100 * 100 = 18.29
Weighted Average No. of Ordinary Shares 1,725,100  
17. Qualifications in Audited Financial Reports

Companies included in the rankings, other than the Sales/Turnover and Sales/Turnover related categories, comprise of companies for which there are no qualifications expressed in the auditor’s reports.

18. DP Credit Rating

Section 7 lists all DP1 Credit-Rated companies as at December 2016. DP1 is the highest band attainable for a company, rated through the DP Credit Rating approach. DP Credit Rating consists of eight scales ranging from the highest rating of DP1 to DP8 using the quantitative model of expected probability of default. The rating measures the probability of default of a company. A company rated DP1, for instance, will have a lower probability of default than a company rated DP8. The model is sensitive to changes in the financial market and therefore more reflective and responsive than a static model which simply makes use of past historical data. DP Credit Rating excludes financial institutions and companies from the property sector.

19. Return On Equity (ROE)

ROE is calculated by taking a year’s Net Profit After Tax and dividing it by the Shareholder’s Equity for that year. It is not applicable if the company has incurred a loss and/or has negative shareholders’ fund.

Example - Company with reported Net Profit After Tax of $315,000,000 and Shareholders’ Equity of $22,600,000:

Return on Equity Period from 1 Jan 2015 - 31 Dec 2015 ($'000) ROE
Net Profit After Tax 315,500 315,500/22,600 * 100 = 1,396.02
Shareholders' Equity 22,600  
20. Profit Margin

A ratio of profitability calculated as Net Profit divided by Sales/Turnover. Profit Margin is displayed as a percentage, e.g. a 20% profit margin means the company has a net income of $0.20 for each dollar of sales.

21. Return On Assets (ROA)

ROA is calculated by dividing a company’s Net Profit After Tax by its Total Tangible Assets. It is displayed as a percentage.

Example - Company with reported Net Profit After Tax of $315,000,000 and Total Asset of $1,723,100,000:

Return on Asset Period From 1 Jan 2015 - 31 Dec 2015 ($'000) ROA
Net Profit After Tax 315,500 315,500/1,723,100 *100 = 18.31
Total Asset 1,723,100
22. Foreign Currency Translation

All figures reported in foreign currencies are converted to Singapore dollars at their respective average exchange rate for the ranking period. For example, for companies with December 2015 financial year ending, the average exchange rate is computed by adding all the month end exchange rates from January 2015 to December 2015 and then divided by 12 to determine the average exchange rate.