• St. Louis' Fortune 500 Headquarters Total Expands to Ten

    Jun 04, 2018

    Each year Fortune magazine publishes their Fortune 1000 list which ranks publicly traded U.S. companies' total revenues. In 2018, the St. Louis area is home to sixteen Fortune 1000 headquarters – a diverse mix of the region’s top companies in energy, financial services, and health care.

    St. Louis Fortune 1000 Headquarters 2018

     

    Company

    Rank

    Revenues ($ billions)

    1

    Express Scripts

    25

    $100.065

    2

    Centene

    61

    $48.572

    3

    Emerson Electric

    178

    $16.301

    4

    Monsanto

    199

    $14.640

    5

    Reinsurance Group of America

    234

    $12.516

    6

    Jones Financial (Edward Jones)

    376

    $7.597

    7

    Graybar Electric

    426

    $6.631

    8

    Olin

    448

    $6.268

    9

    Ameren

    453

    $6.177

    10

    Peabody Energy

    491

    $5.579

    11

    Post Holdings

    512

    $5.226

    12

    Stifel Financial

    734

    $2.997

    13

    Caleres

    778

    $2.786

    14

    Belden

    851

    $2.389

    15

    Arch Coal

    870

    $2.325

    16

    Edgewell Personal Care

    876

    $2.298

    Source: “Fortune 500” Fortune, 2018.

    This year’s Fortune 500 list features many of the region’s top companies, however, recent mergers and acquisitions, bankruptcies, and external market factors have resulted in changes to companies’ revenue and position on the Fortune 500.

    There are a few notable changes since last year. After recovering from bankruptcy in April 2017, Peabody Energy moved into the Fortune 500 this year. Peabody Energy reported revenue of $1.46 billion for the first quarter of 2018 (1). Centene experienced the largest jump in revenues from $40.6 billion in 2017 to $48.6 billion in 2018, moving them up from 66 to 61. Centene is in the process of building a $770 million campus expansion at their Clayton headquarters which will create 2,000 jobs in the region. Monsanto moved up five spots landing at 199 after reporting $1.5 billion in net income during the first quarter of 2018 (2). Arch Coal, landing at number 15, moved up from 796 last year to 870, the largest jump of any company on the Fortune list. The coal provider’s increase in revenue is notable in an industry beset with falling prices. Panera Bread dropped from the list this year following their acquisition by JAB Holding in 2017 (3).

    Prospective mergers and acquisitions will influence each company’s respective revenue and position on next year’s list. Express Scripts, St. Louis’ largest public company, recently announced its acquisition by Cigna. If the deal is approved, the combined pharmacy benefit management company will be headquartered in Connecticut and will retain Cigna’s name. Monsanto remained in the Fortune 500 after reporting net income of $1.5 billion during the first quarter of 2018, however the agricultural products manufacturer’s pending acquisition should take it off the list next year (4). After pursuing an aggressive M&A strategy which included acquiring Weetabix and Bob Evans, Post Holdings moved up four spots to 512. The consumer goods company may enter the Fortune 500 next year.

    Potential contenders for next year’s Fortune 1000 list include Spire and Energizer Holdings. Spire’s 2017 revenue of $1.7 billion is close to the Fortune 1000 cutoff. In 2016, the natural gas company acquired EnergySouth, Inc. for $344 million. If the company continues its acquisition strategy, Spire may move back into the Fortune 1000. Energizer Holdings is also a contender for next year’s list. Last year the company acquired Spectrum Brands’ Rayovac battery subsidiary and had a reported revenue of $1.8 billion (5).

    The Fortune list’s rankings illustrate St. Louis’ longstanding success as a viable location for headquarters of some of the nation’s most prominent and innovative organizations.

    Sources:

    (1)  “Peabody gives $1.5 million to Washington University” St. Louis Business Journal, May 23, 2018.
    (2)  “St. Louis’ biggest companies are raking it in. Here’s what’s driving the profit boom” St. Louis Business Journal, May 28, 2018.
    (3)  “Biggest Deals 2017: JAB puts Panera Bread Co. on the menu in $7.5 billion deal” St. Louis Business Journal, December 21, 2017.
    (4)  “St. Louis’ biggest companies are raking it in. Here’s what’s driving up the profit boom” St. Louis Business Journal, May 28, 2018.
    (5)  “Energizer to acquire Spectrum Brands’ battery business for $2 billion” St. Louis Business Journal, Jan. 16, 2018.

  • St. Louis is Home to Nine Fortune 500 Headquarters

    Jun 13, 2017

    Each year Fortune magazine publishes their Fortune 1,000 list which ranks publicly traded U.S. companies by their total revenues.  In 2017, the St. Louis metro area is home to 17 Fortune 1,000 headquarters, one less than in 2016.  Last year Spire made the list at 980, but missed the cutoff this year.

    St. Louis Fortune 1000 Headquarters


     

    Company

    Rank

    Revenues ($ billions)

    1

    Express Scripts Holding

    22

    $100.288

    2

    Centene

    66

    $40.721

    3

    Emerson Electric

    139

    $20.268

    4

    Monsanto

    204

    $13.502

    5

    Reinsurance Group of America

    246

    $11.522

    6

    Jones Financial (Edward Jones)

    403

    $6.632

    7

    Graybar Electric

    420

    $6.385

    8

    Ameren

    431

    $6.076

    9

    Olin

    467

    $5.551

    10

    Post Holdings

    508

    $5.027

    11

    Peabody 

    533

    $4.715

    12

    Panera Bread

    760

    $2.795

    13

    Stifel Financial

    785

    $2.642

    14

    Caleres

    790

    $2.579

    15

    Edgewell Personal Care

    845

    $2.362

    16

    Belden

    846

    $2.357

    17

    Arch Coal

    946

    $1.974

    Source: “Fortune 500” Fortune, 2017.

    Nine companies remain in the top 500 for the regional area, but there has been some movement among the group as a whole.  Olin broke into the Fortune 500 as they continued their growth, while Peabody Energy slipped to 533 as they emerged from bankruptcy.

    Express Scripts has been a stable fixture holding their rank of 22nd on the list for the third year in a row.  Centene experienced the greatest jump in revenues from 2016, with an overall growth of $17.9 billion, moving up 58 places from 124 to 66 in 2017.  Centene is in the process of building a $770 million campus expansion at their Clayton headquarters. 

    Post Holdings continues to make progress towards cracking the top 500 with an 8.2% increase in revenue over the past year, putting them within eight spots of the Fortune 500. 

    Due to the constant changes in the business landscape as a result of mergers and acquisitions, the Fortune 1,000 list goes through regular changes year to year.  Next year will likely see Panera Bread and Monsanto leaving the list in light of their recent acquisitions. The list also does not account for many major St. Louis metro area companies such as nonprofits like BJC HealthCare or privately owned companies like World Wide Technology or Edward Jones.

    In spite of the regular turnover altering the business landscape, St. Louis headquarters continue to fare favorably in the rankings and sustain long-term growth. The Fortune list’s rankings illustrate St. Louis’ longstanding success as a viable location for headquarters of some of the nation’s most prominent and innovative organizations.