Diagnostic HYBRIDS Ranks No. 219 On Inc. 500 List Of The Fastest Growing U.S. Companies
ATHENS, Ohio – Diagnostic HYBRIDS, the world’s largest cell culture provider, has ranked No. 219 on Inc. Magazine’s 23rd annual Inc.500 list of the fastest growing, privately-held companies in the nation.
Diagnostic HYBRIDS is the only biomanufacturing company to earn a place on the list and the only company among its fellow honorees from Ohio’s Appalachian Region of the United States. Diagnostic HYBRIDS revenue has grown consistently with an average annual growth of 165 percent from 2000 through 2003 and an overall growth rate of 663 percent growth during this period on revenues of $17.1 million in 2003. This revenue performance catapulted Diagnostic HYBRIDS to the seventh highest ranking of the 17 Ohio companies to make the 2004 list.
Founded in 1983, Diagnostic HYBRIDS develops and manufactures genetically engineered tissue cell cultures, monoclonal antibody kits and biological reagents for hospital and commercial laboratories. Located Ohio University Research and Enterprise Park in Athens, Diagnostic HYBRIDS currently employs 130 people.
The companies on the Inc. 500 list have thrived despite stagnation in the economy, posting an average year-over-year sales growth of 256 percent. Inc. Magazine views companies with yearly, continuous growth rates of at least 20 percent as gazelles, creating jobs and wealth at an amazing rate and often disrupting the status quo of their industries.
Inclusion on the Inc. 500 list is only the most recent accomplishment for Diagnostic HYBRIDS. In August 2004, the company raised $10 million in equity capital from Summit Partners with offices in Boston, Palo Alto and London. Diagnostic HYBRIDS will use the funding for strategic research and development initiatives and to pursue technology and company acquisitions.
"Inclusion on the Inc. 500 list validates the financial success of Diagnostic HYBRIDS. The formula for this high lev performance has been a combination of scientific innovation, a key awareness of our customer’s needs and customer service," said Geoff Morgan, vice president and chief financial officer of Diagnostic Hybrids. "Our employees focus a significant amount of time and energy identifying the unmet needs of our customers, constantly searching for the intersection between applying our expertise to generate new solutions for customers and creating new sources of revenue for Diagnostic HYBRIDS. The combination of our financial track record, multiple intangible assets imbedded in Diagnostic HYBRIDS, and our many long -term commercial partners has made a truly unique investment opportunity. We are excited by Summit Partners joining our team and believe their international business expertise and capital wil l only help accelerate our growth further."
In the case of Diagnostic HYBRIDS, technological innovation has been an important ingredient. However, Diagnostic HYBRIDS believes only begins to tell the real story. Growing a nationally recognized bioscience company in rural southeastern Ohio has required the formation and commitment of supportive partnerships at the state and local levels, as well as with internationally recognized service providers.
"To link Diagnostic HYBRIDS and the Inc. 500 recognition without mentioning the unique and nurturing role in our business development played by Ohio University and the Ohio University Foundation would be missing critical point," said David Scholl, Ph.D., president and chief executive officer of Diagnostic HYBRIDS. "Bio-enterprises require time and support to reach their true potential no matter where they are located. The development of the OU Research and Enterprise Park, the patient support of the administration, faculty and staff since our inception, and the financial commitment of the OU Foundation enabled us to focus creating and growing a successful business of which we can all be proud."
"On behalf of Ohio University, we are so thrilled one of our incubator companies has broken into the national rankings of rapid growth companies. This is a first for us," said Jack Bantle, Ph.D., vice president for research of Ohio University. "OU is seeking to fill the knowledge -based economy within Athens and Diagnostic Hybrids is one of the lynch pins of that effort. This is exactly how we think a company associated with the uni versity ought to be growing."
Partnerships Diagnostic Hybrids deems extraordinary extend beyond OU and include other business-centric organizations in the Athens community and its associated service providers.
"In my view, PersonnelPlus, the Athens Area Chamber of Commerce, and our transportation logistics partners such as Federal Express are highlights of how we work to leverage our collective efforts to expand commerce and economic development in our region," said Scholl.
Diagnostic HYBRIDS' business partners agree.
"One of the many benefits Diagnostic HYBRIDS has provided the community in terms of employment is jobs at all levels and even jobs that do not require a college education," said Douglas Mitchell, director of PersonnelPlus, an ATCO affiliate. "For PersonnelPlus, Diagnostic HYBRIDS provides employment opportunities that capture the skills abilities of workers with disabilities. We cannot give enough positive recognition to the entire Diagnostic Hybrids staff their support of our program and the community as a whole. Diagnostic HYBRIDS is community-minded and dedicated giving back to Athens."
"Diagnostic HYBRIDS is an excellent example of a company that has successfully used the tools that are in place that allow businesses to grow in Appalachia Ohio," said Jennifer Simon, chief executive officer of the Athens Area Chamber of Commerce. "We are proud to be part of their success. Diagnostic Hybrids’ inclusion on the list will bring much-deserved attention to Athens and hopefully work to inspire other companies wanting to be vibrant in our university community."
Another important affiliation for Diagnostic HYBRIDS is its logistics partnership with Federal Express. FedEx has developed a focused approach to providing solutions to the unique issues affecting the biotechnology industry. Beyond the movement of packages, its commitment includes key collaborations and partnerships with both small and large diagnostic, biotech and pharmaceutical companies who are involved in the discovery and development of diagnostic and therapeutic interventions to improve healthcare. For Diagnostic HYBRIDS, the perishable nature of cell cultures makes this time -critical transportation partnership essential. FedEx picks up 100 boxes of cell cultures from Diagnostic HYBRIDS every 90 minutes.
"Growth that merits Inc. 500 recognition requires delivery of the highest level of product quality from facility in Athens to diagnostic lab benches around the country," said Jim Brown, executive vice president and chief operating officer of Diagnostic HYBRIDS. "We MUST receive the highest performance level from our mission critical supply chain partners in order to ensure reliable delivery of our perishable diagnostic products and to provide the best technological support for our customer base. Our partnership with FedEx delivers both of these key operating elements."
FedEx provides an extensive array of services to the bioscience industry in support of their efforts to develop, manufacture and provide products to diagnose and treat disease," said David Edmonds, senior vice president of sales at FedEx. "Working with cutting edge companies like Diagnostic Hybrids, FedEx has enhanced its services to meet the transportation, logistics and business needs, allowing them to focus on growth and profitability. Diagnostic HYBRIDS is an example of the innovation within this industry, and FedEx is proud to be their transportation partner."
To be eligible for this year's Inc. 500 , companies had to be independent and privately held through their fiscal year 2003, have had at least $200,000 in net sales in the base year of 1999 for Inc. 500 alumni 2000 for new applicants, and $2 million in net sales for 2003. In addition, their 2003 sales had to exceed 2002 sales. Companies are ranked on averaged year-over-year sales growth. Inc. verifies all information using tax forms and audited financial statements from certified public accountants and by conducting interviews with company officials.
