Micro, small and medium enterprises (SMEs) were mostly dominant in the Construction domain, accounting for 91.1 per cent of the combined Gross operating surplus and Employee benefits expense of this domain. They were the least dominant in the Technological solutions, professional, business support services and gaming activities domain with 46.5 per cent, the National Statistics Office said.
In 2021, the non-financial business economy in Malta incorporating Industry, Construction, Wholesale and retail trade, Mobility, logistics and hospitality service activities, Technological solutions, professional, business support services and gaming activities and Community well-being service activities generated €5,845.1 million in Gross operating surplus (or profits) and paid out €4,264.1 million in Employee benefits expenses.
SMEs registered an increase of 13.9 per cent in Gross operating surplus and an increase of 8.6 per cent in Employee benefits expense, when compared to 2020. When comparing SMEs, the largest increase in the combined Gross operating surplus and Employee benefits expense was observed in small sized enterprises.
The Technological solutions, professional, business support services and gaming activities domain was responsible for the largest growth in Net turnover, Value of output and Gross operating surplus with increases of €2,175.3, €2,374.8 and €372.6 million respectively. This domain experienced the largest growth with the addition of 1,708 new units and 3,401 new engagements in the number of Persons employed. This led to an increase in Employee benefits expense of €155.8 million. Gross investments in tangible non-current assets decreased in all domains except for the Construction domain, which increased by €12.9 million or 39.1 per cent over 2020.
Performance of large enterprises
Large enterprises increased by seven units in 2021 when compared to 2020. For the same period, the number of Persons employed decreased by 1.6 per cent while the Employee benefits expense increased by 7.2 per cent. Gross investment in tangible non-current assets for the same category, dropped by 27.5 per cent, from €236.8 million to €171.7 million.
Key indicators across activity domains
During 2021, amongst the four levels of size class classification, the largest number of active enterprises were micro enterprises in the Technological solutions, professional, business support services and gaming activities followed by the Mobility, logistics and hospitality service activities and Wholesale and retail trade domains respectively. Net turnover was mostly invoiced by large enterprises in the Technological solutions, professional, business support services and gaming activities domain, which also led to the largest amounts of Value of output and Gross operating surplus generated. Large enterprises in the Industry domain recorded the largest amount of Gross investment in tangible non-current assets amounting to €85.4 million. With 20,714 Persons employed, large enterprises in the Technological solutions, professional, business support services and gaming activities domain, engaged the largest number of persons, followed by micro enterprises in the same domain and micro enterprises in the Wholesale and retail trade domain at 17,758 and 17,251 respectively. This domain paid out €1,860.7 million in Employee benefits expense, or 43.6 per cent of the total. The Construction and the Technological solutions, professional, business support services and gaming activities domains had the larger share of Gross operating surplus from the combined Gross operating surplus and Employee benefits expense.
SMEs generated the largest share of Gross operating surplus in all domains except for the Industry and the Technological solutions, professional, business support services and gaming activities domains, where large enterprises contributed to the largest share. SMEs were mostly dominant in the Construction domain, accounting for 91.1 per cent of the combined Gross operating surplus and Employee benefits expense of this domain. They were least dominant in the Technological solutions, professional, business support services and gaming activities domain with 46.5 per cent. The share of Gross operating surplus from the combined Gross operating surplus and Employee benefits expense was higher for large and micro enterprises, while the share of Employee benefits expenses was larger in medium and small enterprises.
Limited liability companies generated 84.9 per cent of the Gross operating surplus and 86.0 per cent of the Employee benefits expense, for activities forming part of the non-financial business economy in 2021.
Main variables by locality
Enterprises with a registered address in Birkirkara, St Julian’s and Sliema generated the largest aggregated amounts of income (combined Gross operating surplus and Employee benefits expense) in the Maltese non-financial economy during 2021. The largest growths in income were recorded by enterprises registered in Pietà, Birkirkara and Sliema. Gross investments in tangible non-current assets were the highest in Birkirkara, -Marsa and Birżebbuġa.
Tourism related industries
In 2021, a general increase was observed in the main variables of tourism related industries, which suggests a partial recovery following the Covid-19 pandemic. Turnover, Gross operating surplus and Employee benefits expenses increased by €927.5 million, €225.5 million and €12.3 million respectively.