Profit Powerhouses

While taking a closer look into the top earning industries in America, you will see the construction sector at the top. Over the past year, 60% of the top annual earning industries are closely related to the construction sector. These industries include wholesalers of lumber, hardware, plumbing, heating, residential builders, and real estate agencies. Today, construction company revenues are growing by 13.1% on average. After experiencing a significant low in business during the recession, many of the top revenue based industries have improved their sales significantly for several years in a row. In the last year, private companies had a net profit growth of 19%. Sagework, a financial information company, expressed that profits in accordance to private companies are all the more important. This is because the owners put the left over money after adjusting expenses in good use to ultimately put food on the table. They also stated that private companies’ role in the U.S. economy are vital. Of more than 27 million U.S. based businesses, publicly traded firms make up of less than 1% of overall job creation while private companies make up 65% of the job creation. Ending on a good note, according to Sageworks’ most recent data, companies had an average sales growth rate of 8.6% and experienced net profit margins of nearly 7%. Over the last year, it is safe to say privately owned businesses have a strong influence over the economic climate in the United States.

Link: http://www.forbes.com/sites/sageworks/2014/10/05/profit-powerhouses-industries-with-strongest-earnings-growth/