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Statistic Industries: Tech Services

Quote + Statistics By Industry

  • Biotech
  • Devices & Products
  • SaaS + Software
  • Tech Services

Revenue per employee has been steadily increasing in SAAS companies. It serves as a great longitudinal measuring stick to understand the increasing or decreasing efficiency of the business

Quote / Stat

The median TTM revenue growth rate + adj. EBITDA margin for publicly traded SaaS companies was ~37%, implying that just under one half met or exceed “The Rule of 40%”

Quote / Stat

Increases in revenue growth rates drive twice as much market-capitalisation gain as margin improvements for companies with less than $4 billion in revenues

Quote / Stat

26% of SAAS companies with at least $15MM in 2015 GAAP revenue had a revenue growth rate + EBITDA margin of 40% or higher

Quote / Stat

The 2015 median revenue growth rate was 44%, while the median projected growth rate for 2016 is 48%

Quote / Stat

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  • The median average contract length is 1.3 years and the average billing term is seven months in advance in 2016. Comparable to 2015, with average contract length shortening from 1.5 to 1.3 years and average billing period increasing by one month from 2015 to 7 months
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