Industry insights and figures Administrative and support service activities

Operating margin
16.4 %
▼ -0.2pp
2022
Companies
175937
2023

Key insights Administrative and support service activities

Actionable signals from current data
IT
Average operating result: 16.4% of revenue (2022).
Personnel costs: 32.6% of revenue (2022).
Number of companies: 175,937 (2023).

Sector outlook Administrative and support service activities

Automated analytical commentary based on the most recent Eurostat figures

Industry overview

The Administrative and support service activities sector across Italy comprises approximately 170,423 enterprises employing about 1,371,967 people and generating €116.2 bn in net turnover in 2022. The average enterprise size is 9 employees per firm. This is a useful yardstick when assessing whether your own operation sits within the typical scale band of the sector.

Profitability

With a robust operating margin of 16.4% of revenue in 2022, the sector reports €19.0 bn of gross operating surplus (Eurostat's EBITDA-equivalent, before depreciation). This figure provides the headline benchmark against which an individual operator can sanity-check their own bottom line, values significantly below indicate cost or pricing pressure, those above suggest competitive advantage worth defending.

Cost structure

The Administrative and support service activities cost mix is reasonably balanced: cost of revenue at 53.5%, personnel at 32.6% and energy at – of turnover. Without a single dominant cost driver, margin management requires attention across the full operating envelope rather than focus on any one line.

Productivity & human capital

Each employee in the Administrative and support service activities sector generates approximately €76,000 of net turnover against a labour cost of €18,000, yielding a productivity-to-cost ratio of 4.2. Value added per employee stands at €41,000 This is a headline figure to compare against individual firm performance when judging whether headcount is creating proportional value.

Trend & trajectory

Over the period 2008 to 2022 the operating margin moved from 11.1% to 16.4% (+5.3 percentage points), an encouraging upward trajectory. Sectors with stable or improving margins tend to reflect successful pass-through of input costs and disciplined capacity management; declining margins typically point to either over-supply or a structural cost squeeze that warrants strategic review.

Costs by category Administrative and support service activities

Sector average % of revenue
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Cost structure for Administrative and support service activities in IT, 2008 to 2022, expressed as percentage of revenue.
Revenue / costs 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2024
Total revenue 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
Personnel costs (total) 27.9% 27.1% 27.4% 28.1% 26.4% 28.1% 28.4% 29.1% 30.6% 32.1% 32.7% 31.9% 35.4% 35.6% 32.6%
Gross wages 20.4% 19.8% 20.0% 20.4% 19.3% 20.5% 20.5% 21.3% 22.5% 23.5% 23.7% 23.2% 25.6% 25.9% 23.7%
Social and pension contributions 7.5% 7.3% 7.4% 7.6% 7.1% 7.6% 7.9% 7.9% 8.1% 8.7% 9.0% 8.7% 9.8% 9.7% 8.9%
Other costs 61.0% 63.1% 60.6% 59.2% 62.1% 60.6% 59.6% 58.6% 56.6% 55.3% 53.9% 54.7% 49.9% 47.7% 51.0%
Gross operating surplus (EBITDA) 11.1% 9.8% 12.0% 12.8% 11.5% 11.2% 12.1% 12.3% 12.8% 12.6% 13.4% 13.4% 14.6% 16.6% 16.4%
Depreciation 8.9% 9.2% 8.9% 8.3% 8.1% 8.2% 7.9% 7.7% 7.6% 7.5% 7.1% 7.2% 8.9% 8.1% 7.4%
Operating result (EBIT) 2.2% 0.6% 3.1% 4.5% 3.5% 3.1% 4.1% 4.6% 5.1% 5.1% 6.3% 6.1% 5.7% 8.5% 9.0%

Source: Eurostat Structural Business Statistics (latest available year).

Per-employee benchmarks and capital intensity Administrative and support service activities

Revenue per employee
76€k
Labour cost per employee
18€k
Value added per employee
41€k
Labour productivity
37€k
Employees per firm
9
Investment rate
18.0%
Labour cost / value added
48.0%
Wage-adjusted productivity
134.0%

Average sector figures sourced from Eurostat. Use as a yardstick. Note your own ratios may differ by scale, mix and legal form.

Operating result over 15 years

Sector average % of revenue
Average
12.8%
Peak
16.62%
2021
Low
9.77%
2009
Latest
16.38%
2022

Cost mix evolution

How costs have shifted as a share of revenue

Cost distribution as % of revenue Administrative and support service activities (2022)

Recommended next steps

Based on the latest available data for Administrative and support service activities