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How profitable was FY18 for Australian recruitment agencies?

Posted by Nigel Harse FRCSA on 25 September 2018
How profitable was FY18 for Australian recruitment agencies?
We all like to think we run a good recruitment agency and for many of you, the ultimate measure of our performance tends to be with a sharp focus on annual profit growth.

Now, with the Australian financial year well and truly behind us, it's time to take a look back at last year's profitability results, but with a different perspective on performance.

When it comes to better understanding your business performance, consider reviewing your profit (EBIT) then divide it by the number of staff employed (average number full time equivalents for the year).

Profit per Person is the ultimate benchmark measure of productivity and efficiency in a business; if you achieved $20,000 to $50,000 profit per person last year you may well be happy and with fair reason, that's where many of your peer results sit for last year sit too.

However, if you want to think BIGGER, then consider this, the TOP performing recruitment agencies in Australia achieved at least twice the national average, with annual profit per person in excess of $98,000 in FY18. So, if you are one of the few that achieved profit per person anything north of $90,000 you deserve to know how magnificent a performance that is. Well done, bravo! We know you can't shout out about it but we take our hats off to you in recognition of a job well done!

If you are keen to improve your results watch this quick video

Australian Recruitment Agency profit per person in FY18

Interested in seeing how the smaller recruitment agencies performed? Click THIS LINK to read our latest APositive Insights Blog

 

Author: Nigel Harse FRCSA
About: Highly regarded and widely sought after for his knowledge, unwavering passion and innovation, Nigel is a 40-year veteran of the recruitment industry.
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Tags: Return On Investment Business Profitability Insights Blog Recruitment Agency Profit

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