How Much Profit Do They Make Per Employee: One Tech Giant Is At The Top And Its Not Even Close

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How Much Profit Do They Make Per Employee: One Tech Giant Is At The Top And Its Not Even Close

The World Biggest Tech Companies: How Much Profit Do They Make Per Employee

Employees keep some of the busiest and most successful corporations in the world afloat, and without employees, a company is likely to be unable to execute plans and generate sales.

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Employees keep the wheels of industry turning and have the ability to send a very small SME to the top – look at Facebook, for example, once a two-man-band headed up by Mark Zuckerberg, it is now a multi billion company that is known for being one of most innovative globally in changing the way that we communicate.

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In 2017, Facebook was reported to have 25,105 employees across the globe - a figure and that will only increase if their profits maintain their steady progression.

With that said, if employees are the backbone of a company,, how much profit do the world’s most successful tech companies make per employee?

Research by PostBeyond shows how the tech companies listed in the Fortune 500 compare for profit made per employee.

Companies with the highest profit per employee:

  1. Facebook - $634,694
  2. Apple - $393,097
  3. Microsoft - $171,000
  4. Alphabet - $158,057
  5. Cisco - $131,81
  6. Netflix - $109,588
  7. Booking holdings - $102,218
  8. Adobe - $94,252
  9. Oracle - $67,645
  10. HP - $51,551

Despite Facebook’s big lawsuit this year in regard to user privacy, they still have a total profit margin of $15,934 million - a 5.9% increase from the previous year. Although Apple have a total profit of $48,351 million in 2017, their profit per employee averages out at just $393,097 and is down -0.19% since last year - a figure which is likely to surprise some!

Microsoft is one of the longest standing tech companies, and  has a total profit of $21,204 million (less than half of Apple’s) and it’s profit per employee stands at $171,000. Despite ranking below Facebook and Apple, it’s percentage change from the previous year is 16.05%.

The companies who have had the biggest percentage growth change from their previous year are NetApp (170.81%), Netflix (125.99%) and Amphenol (109.88%) - all of which combined have a total profit per employee of $169,277 million, just under Microsoft’s profit per employee total.

Not all companies saw an increase in profit per employee, with some on the list making less per employee; Xerox (-264.42%), eBay (-104.46%) and Motorola Solutions (-89.01%) have been hit the hardest.

Data on PostBeyond’s interactive piece here also shows that Dell, eBay and Motorola Solutions are also within the bottom Fortune 500 companies by having the lowest profit: Dell losing $-3,728 million, eBay losing $1,016 million and Motorola Solutions losing $-155 million.

What is the worth of each employee in the industry you work in?

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Jacob Wolinsky is the founder of ValueWalk.com, a popular value investing and hedge fund focused investment website. Jacob worked as an equity analyst first at a micro-cap focused private equity firm, followed by a stint at a smid cap focused research shop. Jacob lives with his wife and four kids in Passaic NJ. - Email: jacob(at)valuewalk.com - Twitter username: JacobWolinsky - Full Disclosure: I do not purchase any equities anymore to avoid even the appearance of a conflict of interest and because at times I may receive grey areas of insider information. I have a few existing holdings from years ago, but I have sold off most of the equities and now only purchase mutual funds and some ETFs. I also own a few grams of Gold and Silver

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