A new reports says private radio broadcasters reported more revenues and higher profit margins last year.
Statistics Canada said the industry’s operating revenues reached $1.6 billion in 2010, up 3.2% from 2009.
Profit margins in private radio rose to 19.1% before interest and taxes, up from 17.9% in 2009.
The agency said the industry’s profit margins have consistently exceeded 15% since the late 1990s.
StatsCan says 97.6% of private radio revenues came from advertising.
It says 2009 marked the first year-over-year drop in revenues since 1993 and, even with last year’s gains, revenues have yet to surpass 2008 revenues before the general economic downturn.
Ontario radio broadcasters were the most profitable for the second straight year, with 22.9 cents of profit before interest and taxes per dollar of revenue.
The region with the lowest profit margin was Saskatchewan, with 11 cents of profit before interest and taxes per dollar of revenue.
However, profit margins exceeded 10% in all regions of Canada for the first time since 1976.
For a second straight year, francophone radio stations (up 6.0%) recorded stronger growth in their operating revenues than anglophone stations (up 2.6%) and ethnic stations (up 4.5%).
