2022 Best Practices Study

EBITDA

43.6%

41.1%

38.8%

38.4%

34.9%

30.3%

29.5%

25.6%

25.3%

23.8%

22.0%

21.1%

< $1.25M

$1.25-$2.5M

$2.5-$5M

$5-$10M

$10-$25M

> $25M

Average Top Quartile

Pro Forma EBITDA

44.4%

43.3%

38.8%

37.7%

37.2%

32.7%

32.0%

27.8%

27.0%

24.7%

23.9%

23.0%

< $1.25M

$1.25-$2.5M

$2.5-$5M

$5-$10M

$10-$25M

> $25M

Average Top Quartile

Note : Pro Forma EBITDA excludes all administrative expenses (depreciation, amortization of intangibles, officer life, interest and other.)

AGENCIES WITH REVENUES OF:

AVERAGE

<$1.25M $1.25-$2.5M $2.5-$5M $5-$10M $10-$25M >$25M

Pre-Tax Profit

28.1% 31.9% 23.7% 16.3% 23.8% 23.9%

29.1% 35.3% 21.6% 23.1% 29.5% 32.7%

24.6% 28.7% 17.4% 18.9% 25.6% 27.8%

23.5% 27.8% 16.2% 20.0% 25.3% 27.0%

18.7% 24.1% 10.6% 16.5% 22.0% 24.7%

16.6% 22.1%

Pro Forma Pre-Tax Profit

Operating Profit 1

8.9%

Pro Forma Operating Profit

14.9%

EBITDA

21.1% 23.0%

Pro Forma EBITDA 2

AGENCIES WITH REVENUES OF:

TOP QUARTILE

<$1.25M $1.25-$2.5M $2.5-$5M $5-$10M $10-$25M >$25M

Pre-Tax Profit

59.4% 60.2% 56.8% 30.1% 38.4% 38.8%

48.7% 53.7% 42.0% 36.1% 43.6% 44.4%

45.1% 46.9% 39.4% 34.5% 41.1% 43.3%

38.4% 40.7% 31.0% 31.8% 38.8% 37.7%

31.9% 36.6% 25.5% 30.0% 34.9% 37.2%

27.5% 31.5% 20.6% 24.2% 30.3% 32.0%

Pro Forma Pre-Tax Profit

Operating Profit 1

Pro Forma Operating Profit

EBITDA

Pro Forma EBITDA 2

1 Operating profit is pre-tax profit less contingent income and less bonus/override income. 2 Pro Forma EBITDA excludes all administrative expenses (depreciation, amortization of intangibles, officer life, interest and other).

Cross Category Comparison

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