Computer services profitable
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The operating revenues of Canada's software development and computer services firms rose 6.8% in 2008 to $39.6 billion—the highest revenues ever. From 1998 to 2008, their revenues grew by $22.3 billion.
Computer systems design—the largest of the three industries in software development and computer services—reached operating revenues of $29.0 billion in 2008, up 7.1% from 2007. However, the industry's operating profit margin declined slightly from 8.8% in 2007 to 8.4% in 2009.
Software publishing posted operating revenues of $7.1 billion in 2008, edging up 0.9% from 2007. Their profit margin was 6.3%, up from 5.9% in 2007.
The data processing industry's operating revenues climbed 17.8%—the fastest growth in computer services—to $3.6 billion on a profit margin of 15.5%, which was up from 9.1% in 2007.
For computer systems designers, business clients accounted for 59.0% of sales, governments and public institutions, 21.0% and clients outside Canada, 19.8%. For software publishers, exports comprised 52.1% of sales and businesses comprised 44.1%. In the data-processing industry, 73.7% of sales were to businesses and 12.1% to clients outside Canada.
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