Two MN Companies Among Fortune’s Fastest Growing

Northern Oil and Polaris are among Fortune magazine’s 100 fastest-growing companies, giving Minnesota two representatives on the list for a second straight year.
Two MN Companies Among Fortune’s Fastest Growing

Two Minnesota companies again joined each other this year on Fortune’s annual list of the 100 fastest growing public companies.
Wayzata’s Northern Oil and Gas made the list for a third straight year, its latest accolade since posting a first-quarter revenue increase of 21 percent. It was joined by Medina-based Polaris, which made its second consecutive appearance.
Northern Oil, which primarily drills in North Dakota and Montana, placed 44th this year, down from 17th last year. Fortune cited the energy company’s boosting of oil and gas production in the Bakken and Three Forks formations. Two years ago, Northern Oil was the lone company representing Minnesota on Fortune’s list. It also ranked 69th on Forbes’ October 2013 list of 100 “best small companies,” joining five other Minnesota businesses.
Northern Oil brought in $350 million in revenue during the past four quarters and $50.7 million in net income. Its earnings-per-share (EPS) annual growth rate was 56 percent and its annual revenue growth rate was 92 percent, fourth among all companies on Fortune’s latest list. The company, meanwhile, posted a -10 percent annual return rate.
Medina-based Polaris Industries came in at 90th this year after making its debut at 57th in 2013. The off-road vehicle and snowmobile producer is also listed at 621st on the Fortune 1000 list. Polaris realized record revenues in 2013 to highlight four years of at least 20 percent earnings growth, according to Fortune. It posted $3.9 billion in revenue the past four quarters with a net income of more than $382 million. Its annual EPS growth rate was 32 percent and annual revenue growth rate was 22 percent with 35 percent annual returns.
In compiling its list, Fortune considered domestic and foreign companies trading on a major U.S. stock exchange that have a minimum market capitalization of $250 million, a stock price of at least $5 on June 30, and have been trading continuously for at least three years.
Companies must have revenue and net income of at least $50 million and $10 million, respectively, for the four quarters that ended on or before April 30 and must have posted an annualized growth in revenue and earnings per share of at least 20 percent annually over the three years ended on or before that date.
Fortune then ranked companies by revenue growth rate, EPS growth rate and three-year annualized total return for the period that ended June 30. See Fortune’s full methodology here.
Anaheim, Calif.’s Questcor Pharmaceuticals placed first this year after posting a 115 percent EPS annual growth rate, a 97 percent annual revenue growth rate, $891 million in revenue the past four quarters, and a three-year total return rate of 59 percent. Tampa, Florida-based insurance company, HCI Group, followed in second and On Assignment, a Calabasas, Calif.-based staffing agency, ranked third.