Gazelle company (gazelle-virksomhed)
A gazelle company is a fast-growing business. In Denmark the term comes from Børsen's annual Gazelle awards, which require four consecutive financial years of growth, revenue or gross profit that has at least doubled over the period, and a positive aggregate operating result.
The word gazelle was popularised by the American economist David Birch for the few fast-growing companies that create a disproportionate share of new jobs. In Denmark the term has become synonymous with Børsen's awards, held every year since 1995.
Børsen's Gazelle criteria
- At least four published financial years
- Revenue of at least DKK 1 million or gross profit of at least DKK 0.5 million in the first year
- Positive growth in revenue or gross profit in each of the four years
- Revenue or gross profit at least doubled over the period
- A positive aggregate operating result over the four years
Growth as a data point
The criteria can be verified in the public accounts because they rest on revenue, gross profit and operating profit. A company that meets them is not automatically awarded; Børsen selects the gazelles from its own data. Independently of the awards, four years of continuous growth is a strong signal of a healthy market and a scalable business.
Frequently asked questions
What does it take to become a Børsen Gazelle?
Four consecutive financial years of growth in revenue or gross profit, at least a doubling over the period, a positive aggregate operating result and a minimum size in the first year.
How many gazelles are awarded each year?
The number varies with the economy, typically between a few hundred and a couple of thousand companies. Børsen publishes the full list every autumn.
Can you check whether a company meets the criteria yourself?
Yes. The criteria rest on revenue, gross profit and operating profit, which appear in the public annual reports for the last four years.
Related terms
Revenue (omsætning)
Revenue (nettoomsætning) is a company's total income from sales of goods and services in the fiscal year, excluding VAT and net of discounts.
Gross profit (bruttofortjeneste)
Gross profit (bruttofortjeneste) is revenue minus the direct costs of delivering goods or services (e.g. cost of goods sold). For most small Danish companies, gross profit is the top line of the published financial statements, because revenue may be omitted.
Operating profit (EBIT)
Operating profit (EBIT, Earnings Before Interest and Taxes) is the result of a company's core operations, before financial items and tax. It shows whether the business itself makes money.
Annual report (årsrapport)
An annual report (årsrapport) is a company's complete official financial reporting for a fiscal year, typically income statement, balance sheet, notes, and management review, filed with the Danish Business Authority and made public.