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A/E Firms Report Strong Financials - Despite Tough Economy

Focusing on growing and high-profit firm in particular, the 2010-11 Successful Firm Survey of Architecture, Engineering & Environmental Consulting Firms finds that these segments report significantly higher medians in pre-tax, pre-bonus profit/loss per technical and professional staff than the overall sample of firms responding to the survey.

“The successful firms profiled here are financially strong firms,” says. Christine Brack, PMP, Principal, ZweigWhite Strategic Advisory Services, who provides an in-depth foreword to the 2010-11 Successful Firms Survey. “In 2009, they realized net pre-tax, pre-bonus profits on net service revenue around 13.9%. When analyzed on a per-employee basis, net service revenue runs about $151,000 for technical and professional staff.”

Furthermore, according to the 2010-11 Successful Firm Survey, growing firms report a median pre-tax, pre-bonus profit/loss per technical and professional staff of $19,279, while for high-profit firms, the median reaches a high of $22,212. In comparison, the median for the overall firm sample is $12,101.

ZweigWhite’s Successful Firm Survey of Architecture, Engineering & Environmental Consulting Firms is a compilation of information from several ZweigWhite management surveys. Data from growing firms (average annual revenue and staff growth of 1% or more for the past three years) and high-profit firms (average annual net pre-tax, pre-bonus profit on net service revenue of 10% or more for the past three years) are shown throughout the report and compared to all firms surveyed. A comprehensive report of management issues ranging from marketing, project management, and information technology to compensation, policies, financial performance, and more, the survey provides leaders in architecture, engineering, and environmental consulting firms the opportunity to compare themselves to a higher standard than the “norm.”

An electronic report or printed book is available for purchase from ZweigWhite at http://www.zweigwhite.com/p-983-successful-firms-survey-2010-2011.aspx

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