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8126.0 - Information Technology, Australia, 2000-01  
Previous ISSUE Released at 11:30 AM (CANBERRA TIME) 19/09/2002   
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SUMMARY OF FINDINGS


INTRODUCTION

This publication presents final results, in respect of the 2000-01 financial year, from an Australian Bureau of Statistics (ABS) survey on the production and distribution of information technology and telecommunications (IT&T) goods and services by businesses in Australia. The publication predominantly presents statistics for IT&T specialist businesses. IT&T specialist businesses are defined as businesses which derive 50% or more of their total income from IT&T goods and services. The exception to this rule is employing businesses who fall into certain classes of the Australian and New Zealand Standard Industrial Classification (ANZSIC). Businesses who fall into these classes are regarded as IT&T specialists regardless of their income. Further information on these classes are available in the glossary. Table 1.1 contains summary information from the survey.

Note that financial data are presented in current price terms.

Businesses

At the end of June 2001, there were 22,475 IT&T specialist businesses in the industries surveyed. Of these IT&T specialist businesses, 17,386 (77%) were in the computer consultancy services industry, 2,320 (10%) in the computer wholesaling industry and 814 (4%) in the telecommunication services industry. The remaining 1,955 (9%) were spread across the other industries surveyed.

Employment

There were 238,521 persons working in IT&T specialist businesses at the end of June 2001.

Profitability

During 2000-01, IT&T specialist businesses generated a total operating profit before tax of $4,925m, a 35% decrease ($2,595m) from the level recorded for 1998-99. The main contributors to this decline in profitability were the following IT&T industry groupings: wholesale trade (decrease of $1,349m), computer services (decrease of $641m) and telecommunication services (decrease of $612m).

Overall, the operating profit margin in 2000-01 was 6.5%, which was a decrease on the operating profit margin of 12.2% recorded in 1998-99. Operating profit margins declined for each of the IT&T industry groupings, with computer services showing the greatest fall (from 8.1% in 1998-99 to 1.4% in 2000-01), followed by wholesale trade (from 4.5% to -1.4%) and telecommunication services (from 21.2% to 16.2%).


PROFITABILITY MEASURES, IT&T Specialists


IT&T industry sector
Operating profit before tax
Operating profit margin
1998-99
2000-01
1998-99
2000-01
$m
$m
%
%

Manufacturing
r148.1
154.8
4.4
3.8
Wholesale trade
r961.0
-388.2
4.5
-1.4
Telecommunication services
r5,565.5
4,953.9
21.2
16.2
Computer services
r845.4
**204.3
8.1
1.4
Total
r7,520.0
4,924.9
12.2
6.5

r revised
** estimate has a relative standard error greater than 50% and is considered too unreliable for general use
Copyright Australian Bureau of Statistics, 2002


Income

During 2000-01, the total income for IT&T specialist businesses was $77,518m, an increase of $14,920m (or 24%) since 1998-99.


INCOME, IT&T industries, 2000-01

Business type
IT&T income
Other income
Total income
$m
$m
$m

IT&T specialists
73,767.1
3,751.1
77,518.2
Other businesses
744.5
11,529.6
12,274.0
All businesses
74,511.6
15,280.7
89,792.3

Copyright Australian Bureau of Statistics, 2002


IT&T specialist businesses had IT&T income of $73,767m which represented 95% of their total income. The largest contributors to IT&T income were businesses classified to the telecommunication services industry ($29,827m), which accounted for 40% of the total. The computer wholesaling industry contributed $20,271m (27%) and the computer consultancy services industry contributed $12,412m (17%).

Industry value added

During 2000-01, the total industry value added for IT&T specialists was $28,211m. The industries making the greatest contribution to industry value added were telecommunication services ($15,478m), which accounted for 55% of the total. Computer consultancy services contributed $6,762m (24%) and computer wholesaling contributed $3,058m (11%).


TABLE 1.1 SUMMARY OF OPERATIONS

Businesses
at end June
Employment
at end June
IT&T
income
Total
income
Wages and
salaries
Industry
value added
no.
no.
$m
$m
$m
$m

IT&T SPECIALISTS

Manufacturing
Computer and business machines
282
3,398
1,311.3
1,342.7
137.6
227.9
Telecommunication, broadcasting and transceiving equipment
188
8,373
1,914.0
2,340.5
555.8
815.3
Electronic equipment n.e.c.
-
-
-
-
-
-
Electric cable and wire
*28
928
430.2
469.7
55.6
139.9
Total
497
12,699
3,655.4
4,152.9
749.0
1,183.0
Wholesale trade
Computers
2,320
38,656
20,271.2
20,618.3
2,148.2
3,057.6
Business machines and electrical and electronic equipment n.e.c.
483
12,327
6,072.5
6,704.4
902.2
1,056.3
Total
2,803
50,983
26,343.7
27,322.7
3,050.4
4,113.9
Telecommunication services
814
77,275
29,827.1
31,504.8
4,651.3
15,478.4
Computer services
Data processing
485
3,718
*443.2
*477.3
154.3
*263.1
Information storage and retrieval
33
1,174
141.7
150.0
49.0
73.6
Computer maintenance
457
4,451
944.4
983.2
252.6
337.9
Computer consultancy
17,386
88,222
12,411.6
12,927.3
5,154.6
6,761.5
Total
18,361
97,565
13,940.9
14,537.8
5,610.5
7,436.0
Total
22,475
238,521
73,767.1
77,518.2
14,061.1
28,211.3

OTHER BUSINESSES

Manufacturing
Computer and business machines
16
808
np
212.4
45.4
262.1
Telecommunication, broadcasting and transceiving equipment
-
-
-
-
-
-
Electronic equipment n.e.c.
301
8,027
31.1
1,948.4
361.1
558.1
Electric cable and wire
33
2,461
np
939.2
134.9
241.8
Total
351
11,296
109.5
3,099.9
541.4
1,062.0
Wholesale trade
Computers
-
-
-
-
-
-
Business machines and electrical and electronic equipment n.e.c.
1,914
26,744
634.9
9,174.2
1,088.7
1,660.4
Total
1,914
26,744
634.9
9,174.2
1,088.7
1,660.4
Telecommunication services
-
-
-
-
-
-
Computer services
-
-
-
-
-
-
Total
2,264
38,040
744.5
12,274.0
1,630.1
2,722.3

ALL BUSINESSES

Manufacturing
Computer and business machines
298
4,206
np
1,555.1
183.0
489.9
Telecommunication, broadcasting and transceiving equipment
188
8,373
1,914.0
2,340.5
555.8
815.3
Electronic equipment n.e.c.
301
8,027
31.1
1,948.4
361.1
558.1
Electric cable and wire
61
3,389
np
1,408.9
190.5
381.7
Total
848
23,995
3,765.0
7,252.8
1,290.3
2,245.0
Wholesale trade
Computers
2,320
38,656
20,271.2
20,618.3
2,148.2
3,057.6
Business machines and electrical and electronic equipment n.e.c.
2,396
39,070
6,707.4
15,878.6
1,990.9
2,716.6
Total
4,716
77,726
26,978.6
36,496.9
4,139.1
5,774.2
Telecommunication services
814
77,275
29,827.1
31,504.8
4,651.3
15,478.4
Computer services
Data processing
485
3,718
*443.2
*477.3
154.3
*263.1
Information storage and retrieval
33
1,174
141.7
150.0
49.0
73.6
Computer maintenance
457
4,451
944.4
983.2
252.6
337.9
Computer consultancy
17,386
88,222
12,411.6
12,927.3
5,154.6
6,761.5
Total
18,361
97,565
13,940.9
14,537.8
5,610.5
7,436.0
Total
24,739
276,561
74,511.6
89,792.3
15,691.2
30,933.7

- nil or rounded to zero (including null cells)
* estimate has a relative standard error of between 25% and 50% and should be used with caution
np not available for publication but included in totals where applicable, unless otherwise indicated
Copyright Australian Bureau of Statistics, 2002



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