Benchmark Report & Analysis · Sample Report 2018 Benchmark Report & Analysis Sample Report 2018...

Prepared by: The Benchmarking Group Pty Ltd Sample Report 2018

Benchmark Report & Analysis

Sample Report 2018

Prepared by: Vincent Keogh

Company: The Benchmarking Group Pty Ltd

Phone: 02 9262 5564

Email: [email protected]


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Industry Statistics

Sector Overview Error! Bookmark not defined.

Industry Statistics Error! Bookmark not defined.

Benchmark Comparison

Income 6

Less Overheads as %'s of Total Income: 6

Net Profit (bos*) per.... 6

Total Income per.... 6

Gross Profit (Income less Materials and Payments to Sub Contractors) per.... 7

Non Personnel Related Overheads per.... 7

Personnel (fte personnel numbers) 7

Other Information 7

KPI Feedback

Personnel Productivity & Profit 9

Margins 9

Major Overheads as a % of Total Income 9

Asset Levels 9

Graphs

Key Performance Indicator Graphs 11

Action List

Increase Revenue 14

Control Overheads and Increase Net Profit 14

Control Liquidity 15

Business Value

Business Parameters 17

Business Valuation 17

Financial Data Entry

Business Details 19

Profit and Loss 19

Balance Sheet 20

Valuation Questionnaire

Profit and Loss 23

Balance Sheet 23

Ratio Definitions

Ratio Definitions 25

Sample Industry


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Sector Overview

Industry Statistics

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Industry Statistics


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Sector Overview This data is provided by the Australian Bureau of Statistics (ABS) as at November 2017. The ABS reports that employment numbers for the sample sector as at 2016 - 2017 was 913,800. This employment figure changed by 16.4% over the past 5 years. Forecasted growth for the sector over the next five years is 6.9% or 62,800. The percentage of employees for the sector outside of state capital cities was 21% and 37% of all sector employees were aged 45 years or older.

Industry Statistics The number of sample types nationwide was reported at 23,900 as at November 2017. The industry has shown an average growth rate of 15.9% over the past five years. Forecasted growth for the industry is slight or relatively stable (between -1.6% to 1.8% per annum) over the next five years.


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Income

Less Overheads as %'s of Total Income:

Net Profit (bos*) per....

Total Income per....

Gross Profit (Income less Materials and Payments to Sub Contractors) per....

Non Personnel Related Overheads per....

Personnel (fte personnel numbers)

Other Information

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Benchmark Comparison


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Benchmark data last updated 20/09/2018

Your Business: 2018

Turnover: All Firms Average

Turnover: $2,000,000 or more

Net Profit per Owner: $100,000 or more

Income Total Income $3,138,430 $3,031,627 $6,255,499 $4,483,007 Less A 32.39% 36.85% 37.87% 36.16% Less B 39.00% 23.36% 29.91% 25.92% Equals Gross Profit 28.60% 39.79% 32.23% 37.93%

Less Overheads as %'s of Total Income: Advertising & Promotion 0.00% 0.58% 0.44% 0.46% Accounting & Legal Fees 0.18% 0.53% 0.33% 0.36% All Insurance 2.54% 1.08% 0.86% 0.91% Interest Bank Charges etc 0.00% 0.47% 0.47% 0.34% Licences, Permits and Subscriptions 0.01% 0.26% 0.24% 0.26% All Occupancy Costs 0.25% 0.87% 0.95% 0.79% Other Depreciation, Lease and HP 0.32% 1.11% 0.81% 0.81% Repairs & Maintenance 0.33% 0.55% 0.34% 0.45% Staff On Costs -3.03% 1.53% 1.27% 1.15% Telephone & Fax 0.33% 0.42% 0.20% 0.30% Employees' Wages & Salaries 12.99% 10.55% 7.86% 7.59% Internal Sub Contractors 0.00% 3.85% 5.17% 3.40% Vehicle Operating Costs 1.40% 2.33% 1.03% 1.70% All Other Expenses 1.61% 2.41% 2.83% 2.41% Total Overheads 16.93% 26.54% 22.80% 20.94% Net Profit (bos*) 11.67% 13.25% 9.43% 16.98%

Net Profit (bos*) per.... Working Owner $183,081 $165,914 $298,878 $319,150 Owner Workhour $91.84 $83.12 $130.13 $159.39

Total Income per.... $ of Wages # & Contractor Payments $1.71 $3.08 $3.23 $2.65


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Your Business: 2018

Turnover: All Firms Average

Turnover: $2,000,000 or more

Net Profit per Owner: $100,000 or more

Gross per.... Person $81,603 $139,457 $182,516 $196,394 $ of Wages # & Contractor Payments $0.49 $1.36 $0.96 $1.12

Non Personnel Related Overheads per.... Person $19,901 $37,328 $48,887 $47,242 $ of Wages # & Contractor Payments $0.12 $0.43 $0.29 $0.28

Personnel (fte personnel numbers) Working Owners 2.00 1.22 1.44 1.44 Qualified Trades Staff 9.00 2.56 4.40 3.64 Labourers, Apprentices and any Other Staff 0.00 2.26 3.58 2.76 Total Personnel 11.00 6.04 9.42 7.84 Hours Worked per Owner per Year 1,994 1,589 1,623 1,910

Other Information Owners' Equity as % of Total Assets 33.31% 9.05% 19.37% 19.69% Asset Turnover $7.25 $6.22 $4.95 $5.54 Days' Debtors 30 19 18 21 % Revenue drops before Losses Start 40.79% 34.54% 35.19% 45.83% Growth Capacity 7.57% 9.21% 2.53% 8.76% Current ratio 1.48 1.89 1.98 2.74 Acid test 1.48 1.52 1.24 1.86 Stock and WIP turnover 0.00 5.93 8.01 6.96 Liability turnover $10.87 $8.92 $8.24 $11.99 Interest cover: business 0.00 218.90 278.01 277.62 Average Indicative Hourly Charge Rate (inc GST) $45 $27 $31 $34 -

* bos - before owners' salaries and benefits

# including owners' notional wage of $50 per hour


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Personnel Productivity & Profit

Margins

Major Overheads as a % of Total Income

Asset Levels

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KPI Feedback


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Personnel Productivity & Profit Ratio Your business Feedback

Income per Dollar Spent on Wages and Sub-Contractors

$1.71

Your result is at the lower end of the range - not an especially good result. Very low figures may indicate that you aren't putting a high enough markup on costs, or your hourly rates are too low, or you have too much downtime.

Gross Profit per Dollar Spent on Wages and Sub-Contractors

$0.49

Low gross profit productivity can be fixed (eg) by: lifting hourly rates; improved purchasing and stock control to minimise materials costs; improved site security to reduce losses; more productive hours being worked.

Net Profit per Owner $183,081 A net profit around the middle of the range is not a bad result. Keep fine-tuning your other results to see if this can be improved further.

Margins Ratio Your business Feedback

Materials used as % of total income

32.39%

Your result for materials is around mid-range. Review your purchasing policies to make sure you get materials at the right price; minimise wastage and 're-work' too, which increase your total outlay.

Sub-contractors as % of total income

39.00% Very high cost for sub-contractors reflects your approach to the operation of the firm. It gives plenty of flexibility in handling larger projects, if required.

Total Overheads 16.93% This is an excellent result. However, don't starve the business with too tight a control on the 'investment' costs such as promotion, equipment etc.

Net Profit (*bos) 11.67% A net profit around the middle of the range is not a bad result. Keep fine-tuning your other results to see if this can be improved further.

Major Overheads as a % of Total Income Ratio Your business Feedback

Vehicle operating costs 1.40% Your vehicle-related expense is reasonably typical of the rest of the industry.

Employees' Wages & Salaries (excludes the owners' wages)

12.99%

Your result is at the upper end of the range. Check your personnel productivity to make sure you have the right number of people; check your local market to see that you are paying competitive wages.

Interest, Bank Charges etc 0.00%

Your result is influenced by your approach to 'debt' vs 'equity'. Keep talking to your bank to make sure you have the best possible package of bank charges and interest, to minimise your total outlay on these items.

Other Depreciation, Lease, Hire-Purchase etc

0.32% Make sure you have a suitable range of equipment - that will determine whether your result is satisfactory, or out of balance.

Asset Levels Ratio Your business Feedback

Asset Turnover $7.25 Your asset turnover is well above-average - this is a good result as long as the business has all the assets it reasonably needs in order to function efficiently.


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Key Performance Indicator Graphs

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Graphs


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Key Performance Indicator Graphs


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Increase Revenue

Control Overheads and Increase Net Profit

Control Liquidity

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Action List


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Increase Revenue

Strategy - Review Hourly Charge Rates:

Strategy - Improve Your 'Merchandising' Skills, To Minimise the Cost Of Materials

Strategy - Improve Staff Productivity:

Strategy - Increase Average Revenue Per Customer:

Strategy - Attract New Customers:

Control Overheads and Increase Net Profit

Strategy - Improve The Firm's Efficiency:


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Control Liquidity

Strategy - Minimise Work-In-Progress:

Strategy - Minimise Debtors:


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Business Parameters

Business Valuation

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Business Value


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Business Parameters

Enter specific metrics in relation to the business being valued:

Investment Payback Period (in years) Tax rate (currently 30%) - (enter as a whole number i.e. 30) Cost of funds (normally 10%) - (enter as a whole number i.e. 10) Discount for Minority Share Holding (enter as a whole number i.e. 15)

Business Valuation

The purpose of a valuation is to determine the Fair Market Value of a business. Fair Market Value is ordinarily attributed to the well recognised willing but not anxious purchaser and vendor analogy where there is equitable value to both parties involved in a transaction according to the particular circumstances surrounding the transaction.

There are three business valuation methods that are currently generally accepted:

i. Asset Valuation Method - calculates the value of tangible and intangible assets available to be transferred on the sale of the business

ii. Discounted Cash Flow Analysis - determines the present value of future opportunities or cash flow

iii. Capitalisation of Profits - multiplies a business's adjusted earnings before interest and tax (EBIT) by a capitalisation factor, which is specific to each business and the particular point in time

This Business Valuation adopts the Capitalisation of Profits method and values the business as a going concern.

The capitalisation rate has been calculated based on the weighted adjusted EBIT and Business Valuation Parameters. The capitalisation rate is unique to this business and will provide sufficient return to a purchaser to allow them to recoup their investment with post tax funds over the investment payback period.

The capitalisation rate for this business is:

The business valuation is determined by multiplying the weighted adjusted EBIT by the capitalisation rate. The value of this business is calculated as follows:

Weighted adjusted EBIT Capitalisation Rate Business Value


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Business Details

Profit and Loss

Balance Sheet

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Financial Data Entry


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Business Details

Location

State NSW

Region Capital City CBD or fringe

Location Street Frontage

Personnel

Note: FTE stands for Full Time Equivalent (NOT headcount). Some people in your business may have only worked for part of the year or are part time. In these cases, the full time equivalent is less than 1.

For example, if a person worked 500 hours in the 12 months ending June of the applicable year and for that position type, 1800 hours is expected to be full time, then the FTE is 500/1800 = 0.28 FTE. Another way to determine the FTE is based on how many days a week a person works. If an employee works 3 full days per week, the FTE is 3 working days / 5 weekdays= 0.6 FTE.

FTE Total of Actual Salaries Paid

Total of Actual Super Paid

Check average salary makes sense

How many Owners actively work in the business - in full time equivalents

2.00 168,178 136,580 $152,379

Of these, how many are Qualified Tradesmen

1.00

No. Foremen and Supervisors No. of Employed Qualified Tradesmen including internal contractors

9.00

No. of Labourers No. of all Other Employees TOTAL 11.00 $168,178 $136,580

Other Details

Hours Worked by all Owners in year 3,987 Estimated percentage of turnover generated from online presence (website, Instagram, Facebook, mobile app)?

Estimated percentage of turnover billed and processed via an online store? Check - Average Owner Hours in range 1700 - 3500. (check owner FTE and hours) 1,994 Indicative Hourly Charge Rate (inc GST) for Qualified Tradesmen 45 Number of Separate Jobs completed in the year. 10

Profit and Loss

Income

Total Contract Earnings 3,120,065 All Other Income (Wage Subsidies, Insurance Recoveries, Interest etc). Any buying group dividends/rebates, or goods taken for own use belong at item 15. Any profit on disposal of fixed assets should be applied to reduce the depreciation cost, below. Staff contributions towards the cost of (eg) motor vehicles should be offset against the cost, below. Enter the total to the right and list all major components below.

18,365

Total Income $3,138,430


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Less Expenses

Cost of Materials Used or Sold (including freight and minor items used in performing work for customers, nails, rags etc)

1,016,661

Internal Contractors including PAYG contractors in same trade (essentially contracting just labour to client's firm and fte's include at item 9)

Independent External Contractor Payments (other trade contractors and payments to related professionals, eg, architects, surveyors etc)

1,224,131

Total Cost of Goods Sold $2,240,792 Equals Gross Profit $897,638

Overheads

Advertising & Promotion (ads, brochures etc) Accounting & Legal Fees 5,520 All Insurance ( including any Keyman or Life Insurance for the Owners) 79,659 Interest paid to external lenders on Overdrafts, Term Loans, Mortgages etc (interest on Leases and Hire Purchase belongs at items 28 or 33 as appropriate) and Bank Charges etc (credit cards, FID/BAD tax, account or transaction fees, write-off of borrowing costs etc)

Licences/Permits and fees to government bodies 432 Rent of Premises (if part of the premises are sub-let, reduce the total rent expense by the sub-let income) 7,995 Other Occupancy Costs (eg, power, gas, rates & taxes, cleaning etc) All Non-Vehicle Deprn, Lease, Equipment Amortisation and Hire-purchase. Include profit/loss on disposal and HP interest.

10,105

Repairs & Maintenance and including security, guard dog expenses, waste disposals, tool replacements, equipment fuel & oil, plant regos, minor hire of equipment etc.

10,488

Other Staff Benefits and On Costs & all non-salary benefits paid to owners (payroll tax, all FBT, staff amenities, recruitment, training, uniforms, all superannuation, directors &/or management fees paid to owners etc)

41,457

Telephone & Fax (include mobiles, 2-way etc) 10,254 PAYG Wages & Salaries for all personnel (incl. owners), Bonuses, Commissions, & payments to Contract Personnel not included at item 16

575,870

Check - Average PAYG Employee Wage (excluding Owners) is sensible $45,299 Vehicle Operating Costs (including fuel, repairs, rego, vehicle allowances, lease, HP, deprn, and any Profit/Loss on sale) Ignore employee contributions

44,014

Less: True private use component % (enter as a whole number i.e. 25) Net Vehicle Costs: $44,014 Any Other Expense Not listed Above (Enter the total to the right and list all major components below) 50,441 Total Overheads $836,235 equals Net Profit after owners' salaries and benefits $61,403 If Net Profit is low, please give some explanation.

Balance Sheet

Exclude any investments not related to the business and also exclude liabilities related to those investments.

Assets

Cash on hand and at Bank 131,567 Trade Debtors 258,135 Stock of Goods &/or Materials Work-in-progress, completed projects awaiting sale. Other Current Assets incl GST Clearing A/c 3,987 Equipment, Fixtures and Fittings, Vehicles (Written down value) 39,050 Land & Buildings used by this business (no rental investments) Goodwill


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Loans to Owners, related entities, trusts etc. 10,654 Other Non-Current Assets 325 Total Assets $443,718

Liabilities

Bank Overdraft Trade Creditors 223,687 Other Current Liabilities incl GST Clearing A/c 41,520 Term Loans etc 874 Lease and HP Liabilities 22,744 Loans from Owners, related entities, trusts etc. Other Non-Current Liabilities (include LSL Provisions here) Total Liabilities $288,825 Owners' Equity $154,893


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Profit and Loss

Balance Sheet

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Valuation Questionnaire


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Profit and Loss

The valuation requires you to enter information from the Profit and Loss Account, the Balance Sheet as well as some business specific parameters. Where possible we recommend you enter three years worth of data, though only include a financial year if the business performance of that year was representative of the current business model.

Current Financial Year Last Financial Year Fin Year Before Last Total Sales/Fees Net Profit before tax (as reported)

Add Profit Adjustments:

The accounts of the business need to be normalised to reflect the operations of the business. The overriding principal is to identify the profitability of the business that could be achieved if an independent third party were operating it in its current form. Add back any items that understate the profit, such as: Owners cars, phone bills, salaries to non working spouses, etc.

Principal salary Principal superannuation Abnormal or private expenses Interest paid Other: Other: Other: Subtotal: $0 $0 $0

Subtract Profit Adjustments:

The accounts of the business need to be normalised to reflect the operations of the business. The overriding principal is to identify the profitability of the business that could be achieved if an independent third party were operating it in its current form. Subtract any items that overstate the profit, such as: Reasonable market salary for working owners.

Principal notional salary Principal superannuation Interest received Other: Other: Other: Subtotal: $0 0 $0 Adjusted EBIT: $0 $0 $0 Select Weighting: Weighted EBIT: 0 0 0

Balance Sheet Current Financial Year Last Financial Year Fin Year Before Last WIP / Stock / Inventory Debtors


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Ratio Definitions

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Ratio Definitions


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Ratio Definitions

Total Income is all contract earnings, sales, rebates, discounts, commission received, plus any other trading income. It is expressed in dollars.

Materials Used as % of total income

Sub-contractors is all payments made to independent contractors. This figure excludes any payments to 'employees' who are being paid on contract.

Gross Profit as % of total income

Aim for a higher Gross Profit margin - it reflects better overall purchasing and pricing policies, and better control over materials. A high gross profit can also result from low outlays on 'materials' and high 'labour' input.

Overheads as %s of total income

Lower results are generally better here. However, the real issue is to maximise the value from each expense item. Any payments to or for the owners (eg, wages, superannuation, FBT, etc) have been omitted from this list - they have been treated as part of the profit figure below.

Net Profit as % of total income

A higher Net Profit will normally reflect a more efficient or profitable operation. It will also be influenced, however, by structural considerations such as the number of employees (whose salaries are included as part of the overhead structure) as opposed to active owners (whose salaries are included as part of 'Net Profit' rather than 'Salaries'). Note that owner wages have been excluded from Overheads to reflect a total Net Profit available to the owners.

Net Profit per Working Owner

This ratio is calculated by dividing the Net Profit by the number of owners actively working in the business. Owners are expressed in terms of Full Time Equivalents - see Personnel for the definition of the term. Higher figures are generally


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considered to be better.

Net Profit per Owner Work-hour

Higher results are better here. This figure represents your effective 'hourly earning rate' from the business, pre-tax.

Total Income per $ of Wages and Contractor Payments

# the notional owner wages is calculated here and elsewhere by multiplying the hours worked by the owners in the year by a notional hourly rate of $50. Aim for a higher result.

Gross Profit per Person

Higher results are better here.

Gross Profit per $ of Wages and Contractor Payments

A higher result is preferred for this indicator.

Non-Personnel-Related Overheads per Person, and per $ of Wages and Contractor Payments

Again the calculation is similar to those preceding it, but the top line of the calculation is made up by adding together all the non-personnel overheads. Essentially this is all the overheads except wages and staff on-costs. Aim for lower results here.

Personnel

Personnel are calculated in terms of Full Time Equivalents (FTEs). This means that if an employee or owner works in the business, say 2 days per 5-day week, this person has a FTE of 0.4. Similarly if a full time position started half way through the year, the person in it would have an FTE of 0.5. Contract employees are included in the business's personnel, but independent sub-contractors are not included in this figure.

Hours Worked per Owner per Year

This is the total hours worked in the business by all owners within the financial year, divided by the number of working owners (in FTEs).

Owners' Equity as % of total assets is the proportion of assets which are funded by the owners.


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When arriving at Total Assets and Total Liabilities (here and elsewhere in the figures), loans to and from owners and related companies are excluded. We treat them as drawings (reduces equity) or contributed capital (increases equity) respectively.

Asset Turnover is calculated by dividing Total Income by Total Assets. Aim for higher results here - it indicates that you are earning more revenue from each dollar of assets.

Days' Debtors represents the average number of days your debtors take to pay their account

Cash flow problems may arise if this figure is too high.

% Revenue drops before Losses Start ('Margin of safety')

This ratio shows the extent to which your income can fall before the business starts to incur losses. A higher result consequently reflects greater capacity to withstand a sudden fall in contracts.

Growth Capacity

This is a ratio which shows whether the firm can afford to fund its growth. If the result here is a large positive number, then 'growth' should be reasonably easy to fund; if the result is negative, then growing the business will demand more working capital than the additional profit which is generated. A negative (or even a low positive result) is therefore a warning sign. To improve this ratio, either work to increase the 'profit' aspect of the equation, or work to reduce the working capital requirements of the business. Your accountant can help you with advice tailored to your own specific situation, if required.


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Sample Industry


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Average Results for businesses grouped as indicated

All Turnover: Turnover: Turnover: Turnover: Firms Less than $500,000 to $1,000,000 to $2,000,000 Average $500,000 $999,999 $1,999,999 or more

Income

Total Income $3,031,627 $296,694 $719,217 $1,476,292 $6,255,499 Less Materials Used 36.85% 28.35% 38.23% 40.74% 37.87% Less Sub Contractors 23.36% 8.86% 19.99% 26.25% 29.91% Equals Gross Profit 39.79% 62.79% 41.78% 33.01% 32.23%


Advertising & Promotion 0.58% 0.98% 0.75% 0.38% 0.44% Accounting & Legal Fees 0.53% 0.80% 0.78% 0.44% 0.33% All Insurance 1.08% 1.41% 1.32% 0.99% 0.86% Interest Bank Charges etc 0.47% 0.48% 0.57% 0.40% 0.47% Licences, Permits and Subscriptions 0.26% 0.40% 0.27% 0.17% 0.24% All Occupancy Costs 0.87% 0.93% 0.84% 0.71% 0.95% Other Depreciation, Lease and HP 1.11% 1.21% 1.59% 1.17% 0.81% Repairs & Maintenance 0.55% 0.74% 0.92% 0.48% 0.34% Staff On Costs 1.53% 1.35% 1.66% 2.02% 1.27% Telephone & Fax 0.42% 0.92% 0.61% 0.25% 0.20% Employees' Wages & Salaries 10.55% 10.67% 15.78% 10.93% 7.86% Internal Sub Contractors 3.85% 5.07% 1.52% 2.45% 5.17% Vehicle Operating Costs 2.33% 5.43% 3.28% 1.38% 1.03% All Other Expenses 2.41% 2.45% 2.16% 1.88% 2.83% Total Overheads 26.54% 32.85% 32.06% 23.63% 22.80% Net Profit (bos*) 13.25% 29.94% 9.72% 9.38% 9.43%


Working Owner $165,914 $52,523 $59,839 $110,726 $298,878 Owner Workhour $83.12 $71.16 $30.73 $53.12 $130.13


$ of Wages # & Contractor Payments $3.08 $5.69 $2.23 $1.42 $3.23


Person $139,457 $62,336 $94,553 $161,997 $182,516 $ of Wages # & Contractor Payments $1.36 $3.65 $0.89 $0.62 $0.96




Working Owners 1.22 0.70 1.11 1.32 1.44 Qualified Trades Staff 2.56 0.57 1.26 2.01 4.40 Labourers, Apprentices and any Other Staff 2.26 0.77 1.81 1.52 3.58 Total Personnel 6.04 2.03 4.17 4.85 9.42 Hours Worked per Owner per Year 1,589 1,055 1,829 1,762 1,623

Other Information

Owners' Equity as % of Total Assets 9.05% 23.91% -37.67% 16.53% 19.37% Asset Turnover $6.22 $6.04 $7.49 $7.54 $4.95 Days' Debtors 19 21 20 17 18 % Revenue drops before Losses Start 34.54% 45.23% 23.88% 33.40% 35.19% Growth Capacity 9.21% 25.64% 13.20% 4.52% 2.53% Current ratio 1.89 2.55 0.83 2.04 1.98 Acid test 1.52 1.99 1.35 1.75 1.24 Stock and WIP turnover 5.93 0.04 0.88 11.03 8.01 Liability turnover $8.92 $8.26 $5.43 $13.39 $8.24 Interest cover: business 218.90 185.75 241.24 125.59 278.01 Average Indicative Hourly Charge Rate (inc GST) $27 $19 $33 $21 $31

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All Net Profit per Net Profit per Net Profit per Firms Owner: Owner: Owner: Average Less than $50,000 to $100,000 $50,000 $99,999 or more

Income

Total Income $3,031,627 $1,364,146 $1,029,268 $4,483,007 Less Materials Used 36.85% 39.77% 39.24% 36.16% Less Sub Contractors 23.36% 21.28% 25.68% 25.92% Equals Gross Profit 39.79% 38.96% 35.07% 37.93%


Advertising & Promotion 0.58% 0.99% 0.52% 0.46% Accounting & Legal Fees 0.53% 0.75% 0.55% 0.36% All Insurance 1.08% 1.50% 1.17% 0.91% Interest Bank Charges etc 0.47% 0.71% 0.42% 0.34% Licences, Permits and Subscriptions 0.26% 0.26% 0.19% 0.26% All Occupancy Costs 0.87% 1.13% 0.67% 0.79% Other Depreciation, Lease and HP 1.11% 1.57% 1.38% 0.81% Repairs & Maintenance 0.55% 0.74% 0.74% 0.45% Staff On Costs 1.53% 2.08% 1.27% 1.15% Telephone & Fax 0.42% 0.58% 0.39% 0.30% Employees' Wages & Salaries 10.55% 14.73% 10.40% 7.59% Internal Sub Contractors 3.85% 4.09% 0.19% 3.40% Vehicle Operating Costs 2.33% 3.44% 1.99% 1.70% All Other Expenses 2.41% 2.65% 2.27% 2.41% Total Overheads 26.54% 35.24% 22.16% 20.94% Net Profit (bos*) 13.25% 3.72% 12.91% 16.98%


Working Owner $165,914 $-1,771 $74,459 $319,150 Owner Workhour $83.12 $-1.03 $38.21 $159.39


$ of Wages # & Contractor Payments $3.08 $2.22 $1.95 $2.65


Person $139,457 $130,404 $93,276 $196,394 $ of Wages # & Contractor Payments $1.36 $0.76 $0.67 $1.12


Person $37,328 $43,127 $29,326 $47,242 $ of Wages # & Contractor Payments $0.43 $0.33 $0.20 $0.28


Working Owners 1.22 1.33 1.34 1.44 Qualified Trades Staff 2.56 1.77 1.95 3.64 Labourers, Apprentices and any Other Staff 2.26 2.38 1.99 2.76 Total Personnel 6.04 5.48 5.28 7.84 Hours Worked per Owner per Year 1,589 1,574 1,886 1,910

Other Information

Owners' Equity as % of Total Assets 9.05% -20.93% -7.59% 19.69% Asset Turnover $6.22 $5.21 $9.14 $5.54 Days' Debtors 19 13 12 21 % Revenue drops before Losses Start 34.54% 6.84% 41.58% 45.83% Growth Capacity 9.21% 5.63% 12.05% 8.76% Current ratio 1.89 0.90 1.27 2.74 Acid test 1.52 1.28 1.15 1.86 Stock and WIP turnover 5.93 1.50 1.29 6.96 Liability turnover $8.92 $5.43 $8.10 $11.99 Interest cover: business 218.90 42.35 243.15 277.62 Average Indicative Hourly Charge Rate (inc GST) $27 $23 $29 $34




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Location: Location: Location: Other: Other: Capital City Large Small Primarily High Use and Regional Regional Owner of Subbies Suburbs Centres Centres Labour

Income

Total Income $2,832,532 $4,023,736 $1,431,784 $3,153,508 $3,908,836 Less Materials Used 32.51% 40.54% 45.18% 33.72% 31.83% Less Sub Contractors 25.29% 23.81% 21.82% 27.59% 41.46% Equals Gross Profit 42.20% 35.65% 33.00% 38.69% 26.71%


Advertising & Promotion 0.70% 0.50% 0.27% 0.50% 0.43% Accounting & Legal Fees 0.55% 0.49% 0.58% 0.51% 0.38% All Insurance 1.08% 1.20% 0.68% 1.11% 0.97% Interest Bank Charges etc 0.45% 0.53% 0.41% 0.52% 0.31% Licences, Permits and Subscriptions 0.17% 0.39% 0.22% 0.26% 0.25% All Occupancy Costs 0.93% 0.65% 0.48% 0.78% 0.65% Other Depreciation, Lease and HP 0.94% 1.33% 1.24% 1.22% 0.68% Repairs & Maintenance 0.42% 0.66% 0.79% 0.60% 0.54% Staff On Costs 1.61% 1.29% 1.55% 1.71% 1.14% Telephone & Fax 0.39% 0.45% 0.43% 0.39% 0.27% Employees' Wages & Salaries 10.91% 9.94% 9.91% 11.89% 7.61% Internal Sub Contractors 5.94% 1.74% 1.07% 4.52% 2.01% Vehicle Operating Costs 2.15% 2.22% 3.44% 2.07% 1.41% All Other Expenses 2.39% 2.15% 1.77% 2.43% 2.53% Total Overheads 28.62% 23.54% 22.82% 28.50% 19.18% Net Profit (bos*) 13.59% 12.12% 10.18% 10.19% 7.53%


Working Owner $147,337 $196,222 $111,478 $160,819 $173,841 Owner Workhour $81.93 $80.79 $48.43 $64.80 $58.73


$ of Wages # & Contractor Payments $3.66 $2.82 $2.31 $2.06 $1.81






Working Owners 1.19 1.34 1.23 1.25 1.31 Qualified Trades Staff 2.18 2.87 1.18 2.55 2.28 Labourers, Apprentices and any Other Staff 2.09 2.54 1.82 2.32 2.15 Total Personnel 5.47 6.75 4.23 6.11 5.74 Hours Worked per Owner per Year 1,448 1,869 2,073 1,641 1,704

Other Information

Owners' Equity as % of Total Assets 5.56% 18.56% -37.11% 5.46% 15.45% Asset Turnover $6.17 $6.10 $5.21 $5.67 $6.73 Days' Debtors 21 17 6 19 20 % Revenue drops before Losses Start 35.27% 33.39% 29.77% 29.57% 31.94% Growth Capacity 10.60% 4.59% 17.63% 6.53% 3.39% Current ratio 1.29 2.89 0.80 1.75 1.85 Acid test 1.17 2.08 0.74 1.48 1.59 Stock and WIP turnover 9.29 3.00 1.81 6.85 10.50 Liability turnover $7.47 $11.10 $4.67 $8.24 $9.92 Interest cover: business 234.76 204.15 71.20 194.00 190.90 Average Indicative Hourly Charge Rate (inc GST) $29 $29 $29 $30 $27



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