Indianapolis – Median annual gross revenues among home-technology installers rose 22 percent to $1.23 million in 2013, surpassing 2012’s 10 percent growth, CEDIA found in its annual survey.
Installers expect continued revenue growth in 2014, with respondents’ forecasts pointing to 10 percent growth in integrators’ median annual revenues.
The survey also found that median operating profit margin increased from 3.5 percent in 2012 to 6 percent in 2013.
For the survey, CEDIA contacted members and nonmembers.
Also in 2013, the number of projects and their sizes went up, CEDIA found. The median number of projects grew from 57 in 2012 to 69 in 2013, and the median project size increased from $10,168 in 2012 to $11,892 in 2013.
The survey also found that the percentage of companies offering recurring-revenue services increased from 37.5 percent in 2012 to 43.5 percent in 2013. Among companies offering such services, the median number of agreements sold rose from 20 in 2012 to 40 in 2013.
Margins got a boost in part from increased productivity. In 2013, revenue/employee increased to $166,675, from $145,950 in 2012, CEDIA found.
“We are seeing that 2013 ended on an incredibly positive note with great growth in projects, revenue, and most importantly operating profits,” said Erica Shonkwiler, CEDIA’s senior director of research.