This SME Growth Excellence Recognition 2009 was compiled by credit rating agency DP Information Group after the firm examined revenue and profit results.

It found that local SMEs recorded profits of $16.9 million on average, compared to $4.1 million in a similar study last year.

Average revenue also rose to $40.6 million from $39.5 million, while revenue generated from abroad increased from $12.3 million to $16.4 million.

The findings by DP Info were based on unqualified audited financial results of companies before the onset of the financial crisis - between May 2007 and June last year.

Ms Chen Yew Nah, managing director of DP Info said the goal of the ranking was to identify truly 'excellent SMEs' that were consistently profitable over a minimum period of two years.

To ensure that only the best are recognised, Ms Chen says firms do not apply to enter the award but are instead selected based on an analysis of sales, profits, revenue via internationalisation and credit standing data.

'By letting the numbers speak for a company's performance, we have distinguished this award from other business awards in Singapore by vote of selection,' she said. 'To arrive at the list of companies...the performance of many thousands of SMEs have been scrutinised and analysed.'

Despite the stringent criteria, Ms Chen says more firms are qualifying for the rankings since its inception in 2007, which reflects the quality SMEs emerging in Singapore.

Read the full report in Saturday's edition of The Straits Times.