Hawai‘i’s Most Profitable Companies 2024
The No. 1 company earned $297 million in profit last year; the last-place company lost almost as much.
For the third year in a row, Matson and Hawaiian Airlines occupy the first and last spots, respectively, on Hawai‘i’s Most Profitable Companies list. The list’s profit/loss figures add important detail to the separate Top 250 Companies list published in August, which ranks organizations by gross revenue.
Hawaiian has been at the bottom of the Most Profitable Companies list for the past four years, though its fortunes could turn with its pending sale to Alaska Airlines. Matson, which dropped from first to fifth place on the Top 250 list – from $4.3 billion gross revenue in 2022 to $3 billion in 2023 – still remains the most profitable company headquartered in Hawai‘i, according to Hawaii Business Magazine’s research.
In 2023, Matson earned $297.1 million in profit, which was considerably less than the $1 billion reported in 2022. In its 2023 annual report, Matson explains its approach to investing current profits for future growth.
In 2022, Matson signed a $1 billion contract with a Philadelphia shipbuilder for three new “Aloha-class” container ships for its China-Long Beach line. At the end of 2023, the company “had funded 67% of the new Aloha Class build program through nearly $600 million set aside in our tax-advantaged CCF (capital construction fund),” according to Matson’s annual report.
Hawai‘i’s largest shipping company expanded during the pandemic years, adding transpacific shipping lines and services such as trucking and warehousing. Matson’s 2023 report states that the company has “built a highly diversified shipping and logistics platform capable of generating sustainable, long-term growth.”
Hawaiian Airlines is also focused on long-term growth and high-quality service, but has experienced downturns in international travel from Japan, as well as schedule changes and cancellations caused by “ongoing struggles with the reliability and availability” of the engines that power its West Coast fleet, according to its 2023 annual report. The airline reported a nearly $260.5 million loss in 2023, up from the $240 million loss reported in 2022.
In encouraging news, Hawaiian Airlines launched a freighter service for Amazon in 2023, opened service to the Cook Islands and returned to Fukuoka, Japan. More significantly, the company announced in December 2023 that it would merge with Alaska Airlines, giving it access to far more destinations.
“The beloved Hawaiian Airlines brand will live on as a part of the combined company,” states Hawaiian Airlines’ annual report. “Together, we believe we will be able to compete more effectively against the giant airlines … and invest more in sustainability, workforce development, and community.”
At the time of writing, Alaska Airlines was still awaiting approval from the U.S. Department of Justice for its purchase of Hawaiian Airlines.
Nonprofits Are Healthier
The top-ranked nonprofit on this year’s list is Honolulu-based Elemental Impact, formerly known as Elemental Excelerator, which has funded more than 150 “climate companies” in Hawai‘i and around the globe. Funded projects range from generating water in arid regions of Texas and providing electric shuttle buses in New York City’s “transportation deserts” to producing the world’s first low-methane goat cheese, made by Hawai‘i Island’s Blue Ocean Barns.
Elemental’s previous appearance on this list was in 2022 (reporting 2021 figures). That year, it ranked 186 on the Top 250 list with $17.2 million in gross revenue, and 44 on the Most Profitable list with $1.13 million in net income. This year, Elemental rose to 150 on the Top 250 list with $36.2 million in gross revenue, and No. 9 on the Most Profitable Companies list with $15.6 million in net income to invest.
More traditional nonprofits also reported healthier profits in 2023, giving them strong buffers against future funding drops. Catholic Charities reported $12 million in surpluses after a nearly $2.3 million loss in 2022. Easterseals reported nearly $4.7 million in surpluses in 2023, but only $6,000 the previous year.
The Hawaiian Humane Society, Blood Bank of Hawaii, Waikiki Health, Hale Kipa, Boys & Girls Club of Hawaii and Child & Family Service all reported healthier year-end balance sheets in 2023 compared to the previous year. But Parents And Children Together and the Hawai‘i Foodbank – large organizations serving many tens of thousands of residents – reported deficits.
Losses on Maui
On the most recent Top 250 Companies list, many small and medium companies with Maui operations reported revenue drops as a direct result of the Lahaina wildfire. They include VIP Foodservice, the Pacific Whale Foundation, JR Doran/Ceramic Tile Plus, Atlantis Submarines and The Art Source.
But only one of them, Maui Clothing Company, also divulged its profit/loss figures. The network of clothing stores reported a $490,361 loss in 2023, compared with a gain of $887,732 in 2022. The company lost a store on Front Street in Lahaina; 21 of its employees were displaced and five lost their homes.
How We Compile the List
Each spring, Hawaii Business Magazine surveys companies and nonprofits to gather key information, such as gross revenue, profits or losses, executives and new acquisitions. Those organizations that reported their profit/loss figures are included on the Most Profitable Companies list, which is supplemented with publicly available data. To request surveys for future lists, please email cynthiaw@hawaiibusiness.com.
Most Profitable Companies 2024
