Furniture maker rates among 'most-trustworthy' companies in US
An office furniture maker is one of the most-trustworthy public companies in the nation, according to Forbes.
Grand Rapids-based Steelcase appears on the 2014 ranking of “America's 100 Most Trustworthy Companies” posted by Forbes this month.
The ranking recognizes public companies that exhibit trustworthy behavior over four quarters of a fiscal year, through their transparency and consistency in accounting and governing practices. It is compiled by GMI Ratings, an independent research and ratings provider, and Forbes.
The ranking was developed by rating more than 8,000 North American publicly traded businesses on several factors: high-risk events, revenue and expense recognition methods, bankruptcy risk and U.S. Securities and Exchange Commission actions.
Companies then received a score for average aggressive accounting and governance risk or AGR. The composite score is a risk-mitigation measure used to help investors assess financial and governing behaviors of companies. The rating is calculated through a quantitative process and identifies accounting measures often linked with fraudulent financial statements.
The companies are grouped into three market-cap segments: $25 million to $1 billion small cap; $1 billion to $5 billion mid cap; $5 billion or more large cap.
Steelcase is considered a mid-cap company and has an average aggressive accounting and governance risk score of 91 for the four quarters of the previous fiscal year. The top mid-cap score is 99.
Nancy Hickey, senior vice president and chief administrative officer at Steelcase, said the companies on the ranking are highly respected and significant global businesses, and it's a privilege to be noted alongside them.
“It’s incredibly humbling, and we are honored to be recognized with the companies listed,” Hickey said.
Steelcase operates on the founding principles of integrity, honesty and positive relationships with clients and business partners, according to its website.
Hickey said the recognition is a validation for Steelcase employees and of the values the company works to incorporate into everyday operations.
“They have been the guidance for our employees for years and years,” Hickey said. “These are things we believe in and how we ask them to act on an everyday basis.”
Steelcase reported this month net income of $23.9 million for the fourth quarter, on four-quarter revenue of $779.4 million, which is an 8-percent increase over the same period last year.
The large-cap company with the highest score of 93 is Houston-based Oceaneering International, a subsea engineering and applied technology company.
For mid-cap companies, Iowa-based Casey’s General Stores has the highest score of 99.
Altra Industrial Motion Corporation in Massachusetts, a global supplier of power transmission and motion-control products, has the highest small-cap score of 97.