New Zealand’s technology sector continues to rise as export revenues increase

New Zealand’s high-tech companies are increasing their export revenues as the increasingly diversified international market drives demand for high-tech products designed and manufactured by Kiwi, according to a new report.

The 16th Annual Technology Investment Network (TIN) report, released this week at TechPulse 2020, shows that TIN200 companies’ export revenues have increased by 10.6% to a total of $ 9.4 billion this year.

TIN200 revenues reached $ 12.7 billion in 2020, just below the record annual growth of $ 1 billion, but overall, TIN200 remains strong in the face of severe economic headwinds. Shows growth.

This year’s TIN report shows some of the impact of the COVID-19 pandemic on the performance of the technology sector in 2020.

“As double-digit export growth continues and creates record employment growth, TIN200 companies are able to absorb the negative effects of COVID-19 and, as a result, take advantage of growth opportunities in terms of size and revenue. It has an excellent position in terms of sexuality and global reach, says Greg Shanahan, founder and managing director of TIN.

TIN200 companies continue to show strong growth.

In 2020, the impact of the COVID-19 pandemic began to spread globally in the final quarter, with TIN200 total revenue reaching $ 12.7 billion. That’s up 8.3% ($ 792 million) in 2019, but overall revenue growth is declining, below the $ 1 billion recorded last year.

Currently, more than 50,000 staff are employed by TIN200 worldwide.

The group currently employs nearly 55,000 people worldwide, more than half of which are in New Zealand. These employees are paid over $ 4.5 billion. This is another milestone that the TIN200 has never reached. The average wage for TIN200 employees is over $ 82,000.

The report shows that a record number of companies are currently making more than $ 50 million in revenue.

In 2015, 38 New Zealand tech companies earned more than $ 50 million. Five years later, it increased to 56, which allows these companies to grow further and explore new market opportunities from a strong standpoint. 70% of TIN200’s growth comes from companies with revenues in excess of $ 50 million.

According to the survey results, ICT companies are once again empowering, increasing both the presence and profitability of the TIN200.

With 101 participating in TIN200 (up from 94 last year), ICT continues to be the driving force of New Zealand’s technology sector, with revenues up 11.4% compared to TIN200’s overall growth of 8.3%. doing. The ICT sector’s commitment to profitability was also rewarded with a reported rise in EBITDA of 38.7%.

New jobs in the tech sector have skyrocketed to record levels, according to the report.

Over 4,000 new jobs were created by TIN200 companies in 2020, an increase of 8% compared to 2019, and the total number of jobs created by New Zealand’s technology sector has risen to a record high of 55,167. Compared to the increase in the number of ICT companies in TIN200, employment in its primary sector increased by 3,049 and the number of high-tech manufacturing companies increased by 977.

The report found that FinTech has once again surged as the fastest growing secondary industry.

In a socially distant world, there is a growing demand for mobile and digital solutions that allow the economy to flow without personal contact, providing New Zealand’s technology sector and FinTech for the fifth consecutive year of TIN200. Registered as the fastest growing sector in New Zealand. With a CAGR of 31% over five years and the introduction of several new companies at TIN200 in 2020, there is no doubt that the NZ FinTech sector will draw attention after 2021.

Public companies are leading the growth of TIN200.

Revenue growth from public companies in 2020 is very strong, with 25 TIN200-listed companies accounting for almost two-thirds (62%) of total revenue growth, a remarkable growth of 20% compared to last year. Shows the rate. The largest company on the TIN list.

The number of TIN200 rising star companies in 2020 still accounts for almost half of growth

This group of 22 companies from TIN200 in 2020, which showed sustainable high growth over three years, decreased slightly from the record high of 29 companies in 2019, but compared to 46.6% in 2019, 2020. It accounts for 49.5% of the overall growth of the year. group.

The Wellington / Manawatu region has the highest growth rate, but Auckland is still the leader in revenue.

New Zealand’s largest city, with 120 of Auckland-based TIN200 companies, continues to drive the NZ technology sector. However, the region, including the country’s capital, continued to perform well, with companies in the Wellington region generating nearly a quarter (23.5%) of TIN200’s revenue and the fastest growing rate of 10.6%.

“The keyword that I sympathize with throughout 2020 is that we may not have all the answers, but we have a purpose,” says Shanahan.

“In the midst of this difficult year, and certainly for the next few years, the purpose of TIN was not as clear as it is now. We are pursuing a simple mission to drive the growth of New Zealand’s technology sector. I will. “

New Zealand’s technology sector continues to rise as export revenues increase

Source link New Zealand’s technology sector continues to rise as export revenues increase

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