Tim W. Ferguson, 11.01.04
Finding 100 of the best smaller-size enterprises in both Asia/Pacific and Europe is, well, no small feat. First, compiler Mitchell Martin screened our databases to find 2,600 publicly traded companies that had under $1 billion a year in revenue and five-year returns on capital of at least 5%. Then we ranked the lot by sustained gains in sales and returns, plus latest-year market momentum. What emerges is the cream. While not all of these entities fit an entrepreneurial mold, we trust they represent economic dynamism in the two regions. But we are also looking for companies with a track record of rewarding their shareholders, so this leaves off most flashes in the pan. (For highlights of a similar list from the U.S., see p. 40.)

FORBES GLOBAL has been refining this collection for six years now, and it has been a consistent guide to winners. The first roster, in 1998, included now-familiar names: Infosys, Johnson Electric, Anglo Irish Bank and Dassault Systemes.

We suggest you could do worse in a small-company portfolio than these selections. But a word of caution: Liquidity and transparency can be a problem in even some of these better companies. Balance your holdings accordingly.

One thing that's a surer bet: A country's climate for entrepreneurism is reflected in these ranks. Note that India, with 24 entries, has more than any nation except the U.K. This year we have 2 selections from China. As the private sector continues to develop there, we expect that number to increase. Japan does better this year, with its export rebound, but South Korea still trails in Best Under a Billion businesses. In Europe we welcome Poland to the list and include Turkey, recognizing its approach to membership in the EU. A continuing disappointment, given its industrious small concerns: Italy.

In Nederland zijn dat; Aalberts Ind., Airspray, Exact Holding, Fornix Biosciences, Innoconcepts, Qiagen DNA&RNA en Unit4 Agresso