18 / 204
2013 Best
Practices Study
Agencies
with
Revenues
Under
$1,250,000
18
Analysis of Agencies with Revenues Under $1,250,000
Key Benchmarks
Mgmt. Perspectives
Profile
Revenues
Expenses
Profitability
Employee Overview
Producer Info
Service Staff Info
Technology
Insurance Carriers
Appendix
5%
10%
15%
20%
25%
30%
0%
2008
EBITDA Margin
Operating Margin
26.2%
16.5%
21.4%
6.6%
18.5%
5.0%
23.9%
9.9%
22.8%
10.8% 11.0%
25.8%
17.4%
2010
2007
2009
2011
2012
2013
22.8%
Profitability
About EBITDA Margin and Operating Margin
EBITDA Margin is calculated by dividing a firm’s EBITDA (Earnings Before Interest, Taxes, Depreciation and
Amortization) by the firm’s net revenues.
Operating margin is calculated as EBITDA less contingent income divided by net revenues less contingent income.
Historical EBITDA Margin & Operating Margin (for Average Group)