Most people don’t know about R&D Medical Products Inc., and that’s by design.
The Lake Forest-based contract manufacturer operates behind the scenes, producing hydrogels and related products that are distributed to more than 100 countries worldwide. While the company doesn’t disclose its clients due to confidentiality agreements, many are said to generate “high billions” in annual revenue.
“It’s nice to be able to just focus on the client and enjoy their success and watch them grow,” Chief Executive Dave Sheraton told the Business Journal. “And as they grow, they continue to bring back those larger purchasers to us.”
These long-standing customer relationships have become a significantars
These long-standing customer relationships have become a significantars to $14.4 million for the 12 months ended June 30, placing the company No. 23 on this year’s list of fastest-growing private companies in the midsize category, which includes businesses with $10 million to $99.9 million in sales (see list, page 19)
As demand has increased, so has the company’s footprint.
R&D Medical doubled the amount of space it has in Lake Forest to 45,000 square feet over the past year and added more automated equipment to support production.
“We’ve been here in Lake Forest for 29 years and we’re trying to make sure we have plenty of space to grow and accommodate this growth setting,” Sheraton said.
Cosmetics, Military Products Fuel Diversification Cardiology
Cosmetics, Military Products Fuel Diversification
Cardiology is the core of R&D Medical’s business, accounting for roughly 65% of the products it manufactures.
R&D Medical makes a variety of electrodes to monitor heart activity, correct irregular heartbeats and diagnose conditions while patients are lying flat.
Over the past 15 years, the company has expanded beyond medical devices into products for other markets, including cosmetics, military and law enforcement. Military products have become a significant
R&D Medical is the original manufacturer of breacher
R&D Medical is the original manufacturer of breacher hydrogel tape, a tactical adhesive designed to withstand wet, cold and other challenging conditions. Originally developed for medical and biotech applications, the material is now used by military and law enforcement agencies because it adheres to rough surfaces.
Much of the company’s increased capabilities are spurred by customer demand, Sheraton said.
“Clients come to us with a new idea and say, ‘Can you do this?’ and we say, ‘Let’s try,’” he said.
R&D Medical additionally is one of the world’s leading manufacturers of transdermal patches, which deliver medication through the skin for applications including stress management, pain relief and wound care.
Streamlining Production with Automation R&D Medical is investing
Streamlining Production with Automation
R&D Medical is investing more heavily in automation to streamline production and reduce its reliance on manual labor.
While revenue grew 45% over the past two years, employee growth has been more modest, increasing from 45 to 60 during the same period.
“The challenges within the business is finding reliable people and good workers,” Chief Technology Officer Joana Prunean told the Business Journal. “That’s why we’re focusing more on automation.”
One of the company’s main selling points
One of the company’s main selling points is that all of its products are manufactured in America at its FDA-registered facility in Lake Forest, which it expanded by leasing additional space after several tenants moved out.
R&D Medical now occupies the entire building, with the additional 22,000 square feet being used for manufacturing.
Sheraton sees the company’s U.S. manufacturing as a growing advantage during the current administration, but said sourcing raw materials domestically remains a challenge.
“I’m in a position as a manufacturer to have to go outside the U.S. to bring some of those raw materials back in here,” he said.
