Automotive Exhaust System Repair Revenue Benchmarks

The average automotive exhaust system repair business in the United States generates $351K in annual revenue, according to the U.S. Census Bureau Statistics of U.S. Businesses (SUSB 2021). There are 1,450 automotive exhaust system repair businesses in the U.S., employing 4,738 workers with an average profit margin of 8.0%.

What Does a Automotive Exhaust System Repair Business Actually Do?

Specialty auto repair focused on mufflers, catalytic converters, and exhaust systems. Chains (Midas, Meineke) plus independents.

Who buys: Vehicle owners with failed emissions, worn mufflers, or catalytic converter theft/damage.

Average Revenue

$351K

per year

Profit Margin

8.0%

industry average

Revenue / Employee

$107K

per year

Total Businesses

1,450

in the US

Est. Owner Income

$28K

small business avg

Labor Cost

38.0%

of revenue

Avg Employee Wage

N/A

per year (BLS)

Market Saturation

0.4

firms per 100K people

How Much Do Automotive Exhaust System Repair Charge?

Muffler / exhaust shops price per component with catalytic converters as the big-ticket item.

ServiceTypical range
Muffler replacement
$150–450
Complete exhaust replacement
$400–1,200
Catalytic converter replacement
$800–2,500
Hourly labor rate
$80–130/hour

Ranges based on industry rate surveys and typical published pricing. Actual quotes vary by city, business size, and job complexity.

Complete automotive exhaust system repair business plan

A 12-section data-backed business plan for a automotive exhaust system repair business — executive summary, market analysis, competitive landscape, revenue model, 3-year financial projections, operations, marketing, staffing, funding request. Pre-populated with real Census, IRS, and BLS data on this industry. Free to view.

View the plan

Cost Structure — Where Every $100 in Revenue Goes

Approximate P&L breakdown for the automotive exhaust system repair industry. Labor share and net profit are grounded in Census SUSB and IRS SOI data. Other lines are split using sector-typical ratios.

16%
38%
11%
22%
8%
CategoryPer $100 revenue
Supplies & materials
$16
Wages & benefits
$38
Rent & facilities
$11
Marketing & advertising
$5
Other operating costs
$22
Net profit
$8

Directionally accurate for a typical business in the industry. Individual businesses vary widely — a franchise may run a very different cost mix from an independent, and older established businesses often have lower labor share than newer ones.

Average Revenue by Business Size

1-4 employees
$192K
5-9 employees
$667K
10-19 employees
$1.7M
20-99 employees
$3.1M

Industry Dynamics (Census BDS 2023)

New Business Rate

10.42%

openings/year

Closure Rate

9.1%

closings/year

Net Job Growth

+3.4%

annual

Businesses Closed

12,052

in 2023

Firm Count Trend

19
20
21
22
23
134,590 firms135,684 firms

Should You Start a Automotive Exhaust System Repair Business?

Startup Cost

$30K$150K

Break-Even

38 months

5-Year Survival Rate

50.0%

Frequently Asked Questions

What does a automotive exhaust system repair business do?
Specialty auto repair focused on mufflers, catalytic converters, and exhaust systems. Chains (Midas, Meineke) plus independents. Vehicle owners with failed emissions, worn mufflers, or catalytic converter theft/damage.
How much do automotive exhaust system repair charge?
Muffler / exhaust shops price per component with catalytic converters as the big-ticket item. See the pricing table above for typical rates by service type.
How much does the average automotive exhaust system repair make per year?
The average automotive exhaust system repair business generates $351K in annual revenue, based on U.S. Census Bureau data (SUSB 2021). After expenses, the estimated owner profit is $28K per year at a 8.0% profit margin.
How many automotive exhaust system repair businesses are there in the US?
There are 1,450 automotive exhaust system repair businesses operating in the United States, employing a total of 4,738 workers.
How much does it cost to start a automotive exhaust system repair business?
Startup costs for a automotive exhaust system repair business typically range from $30K to $150K, with a 5-year survival rate of 50.0%.

Industry Growth & Survival

62%
Est. 5-year survival rate
+3.4%
Net job growth rate
135,684
Total firms (2023)

The automotive exhaust system repair industry is actively growing — adding jobs at a net rate of 3.4% per year. New establishments are opening faster than existing ones close (10.4% entry vs 9.1% exit), indicating healthy demand.

Approximately 62% of automotive exhaust system repair businesses survive their first 5 years. This is above the national average (~50%), making it a relatively safe industry to enter. In 2023, 12,052 firms in this industry closed permanently.

Industry Trend (2000–2023)

120K128K137K145K154K20002005201020152020Number of Firms

The automotive exhaust system repair industry has declined 2% since 2000 (from 138,176 to 135,684 firms).

See full historical statistics →

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