Revenue per employee

From ACT Wiki
Revision as of 11:50, 6 February 2019 by Doug Williamson (Talk | contribs) (Make division sign bold.)

(diff) ← Older revision | Latest revision (diff) | Newer revision → (diff)
Jump to: navigation, search

Financial ratio analysis.

Revenue per employee is a management efficiency ratio.

It measures the annual revenue generated per full time equivalent employee (taking account of any part time working).

It is calculated as:

Revenue ÷ number of full time equivalent employees


The greater the revenue per employee, the greater the efficiency with which employees are being used to generate sales, though not necessarily profits.


See also