Gulf firms tipped to outperform rivals as crisis takes toll

GULF SUCCESS: Companies in the region are expected to outperform those in other regions as a result of continued positive growth. (Getty Images)

Gulf companies are expected to outperform their rivals in developed and developing countries this year, due to continued positive growth in the region, according to a senior analyst.

The economic situation in the region meant that more companies from the Gulf were expected to make it into the top 100 companies in next year's 100 Global Challengers, said an executive involved in compiling the list.

The Boston Consulting Group has tipped petrochemical companies in Saudi and the UAE to make it into 2010's top 100 - joining Dubai World, Emaar Properties, Emirates, Etisalat and Agility who made it onto this year's list, according to UAE daily Emirates Business.

"We expect some petrochemical majors from the UAE or Saudi Arabia could make it to the top 100 list next year,"  said Thomas Bradtke, partner and managing director of the group.

"Furthermore, some of the Chinese might not be able to make to top 100 because they might take a hit from the global crisis,” he added.

"This region is still better positioned to make most of the crisis. Most of the regional companies have grounded themselves very well as they are focused on their home turfs and their exposure to debt-laden Western countries is not much," Bradtke said.

The 100 Global Challengers had a combined revenue of $1.5 trillion in 2007 out of which Gulf companies contributed around two percent or $30 bn.

Revenue of Gulf companies was likely to touch $35bn this year, Bradtke predicted.

The 100 new Global Challengers were better positioned their older Western rivals because they did not have to deal with older assets and are constraint-free, he added.

Only those firms which have $1bn in annual revenues are cosidered for the list.

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