Hacker News Reader

It's probably a result of rapid expansion. eg, they did $3M revenue over the last financial year, but only started that year with 20 or whatever employees. So you should probably be dividing by something like an average of 26 employees and not 34, which gives $115K per person and seems more in line with reality.

View on HN

Usually a revenue run rate means "we extrapolated our previous short term over the next year." It's useful for rapidly-growing companies where your next three quarters are much more likely to look like your current one than the previous three.

So that would mean they're still being very economical with per-employee expenses. My guess is that a lot of those employees aren't developers, they're in other roles where the average pay is lower (support, film and video editing, administration, even some sales roles).

This

^#theman

Reply on news.ycombinator.com