Revenue Per Employee Per Industry
In other words this metric assesses how well a company is able to leverage its manpower in order to make more revenue.
Revenue per employee per industry. In the chart above we see that through years 1 to 7 median revenue per employee increases linearly r squared equals 0 90 at a 21k year rate or by 26 yoy on average. There is generally a growth in revenue per employee for tech companies. Revenue per employee comment. At accenture the employee headcount grew by 12 from 2014 2017 while revenue increased 5.
Revenue of 1 1 million per employee. Within transportation sector 4 other industries have achieved higher revenue per employee. Revenue per employee is less in the industries which are labor intensive. The world s largest companies have many similarities but the size of their respective org charts is not necessarily one of them.
We note that ferrari has the highest sales per employee with approx. It equals the company s total revenue divided by the average number of employees for the period. Example 4 banking industry. The chart of the week is a weekly visual capitalist feature on fridays.
On average companies in the energy sector make at least 2x per employee than others. For tech companies we looked at rpe and compound annual growth rate of revenue and employees between 2014 2017. The table below shows the top 25 companies by revenue per employee revenue per employee in 2018 in the s p 500 along with how their revenue per employee compared to 2017. A larger increase in hiring than revenue led to a decrease in rpe.
Revenue per employee is an absolute figure in terms of a currency. Revenue per employee also called sales per employee is a financial ratio that measures the revenue generated by each employee of the company on average. In general the top tech company s revenue per employee is more than the manufacturing companies revenue per employee. On the other hand this metric is higher in the high tech low labor intensive companies.
Therefore it may appear to be less useful in analytical sense. Energy company valero energy corporation tops the chart at 11 4m in revenue per employee at the company. Revenue per employee calculated as a company s total revenue divided by its current number of employees is an important ratio that roughly measures how much money each employee generates for. The term revenue per employee rpe ratio refers to the financial metric that measures the dollar amount generated by each employee of a company.