It also included new businesses emerging in the industry for the next few years.
The companies on the list account for $1.98 trillion in revenue. Approximately two-thirds on the list reported an increase in revenue for the year, with total revenue for the list growing by 1.9% since IBISWorld’s 2015 Top 1,000 companies list.
However, net profit after tax (NPAT) has declined significantly on the list. This was partly because of some poor performances among the top 10 companies, which account for just less than 20% of all revenue on the list. Woolworths went from profit to loss this year, reporting a $1.2 billion loss in 2015-16.
Trends in global commodity prices drive exploration for petroleum resources. Exploration activities are funded through the capital expenditure budgets of large mining companies or capital raised on the sharemarket for smaller miners.
The incentive to explore for new resources has been low, which contributed to a sharp revenue decline in 2015-16. Japan Australia LNG (MIMI) recorded a significant decline in revenue for the year as LNG and oil prices plummeted, with the company falling from 134 to 293 on the list.
The Petroleum Product Wholesaling industry recorded a sharp contraction in sales, stemming from the slump in global crude oil prices. This fed through to lower local wholesale prices and lower pump retail prices for petroleum and diesel.
Over the two years through 2015-16, industry revenue slumped by over 20%, while the volume of petroleum product sales grew marginally, reflecting growth in the population and motor vehicle registrations. Chevron Australia, which fell from 184 to 124, was significantly affected as company revenue fell by 30.6%.
The industry has undergone substantial restructuring as the supply chain has adjusted to accommodate a greater focus on importing and distributing refined fuel. Shell’s exit from the industry included the sale of most of its assets to Viva Energy (Vitol). Viva has retained the Shell brand for downstream retailing through Coles Express and rationalised some plants.
Top 10 Companies
|Current Rank||Previous Rank||Company (Balance Date)||Total Revenue ($m)|
|3||5||Commonwealth Bank of Australia (6/16)||44,379.00|
|4||7||Westpac Banking Corporation (9/16)||37,659.00|
|6||3||Rio Tinto (12/15)||36,278.00|
|7||8||ANZ Banking Group (9/16)||34,844.00|
|8||4||BHP Billiton (6/16)||31,646.00|
|10||14||NSW Health (6/16)||20,330.06|
Top 5 Newcomers*
|Rank||Company (Balance Date)||Total Revenue ($m)||Main Activity|
|621||Central Equity (6/16)||599.1||Apartment Construction|
|699||COFCO||512.4||Food Product Wholesaling|
|768||NBN Co||460.0||Telecommunication Services|
*Only includes companies entering the list in 2016 due largely to organic revenue growth.