Highlights

View the most recent version.

1. In 2009, the television broadcasting sector’s operating revenues totalled $6.5 billion, up slightly (0.6%) compared to 2008. This is the lowest year-over-year increase since 1997, when a decrease in revenues had been reported. However, the financial situation differs greatly from one segment of the industry to another.
2. The revenues of public and private conventional television declined 3.9% in 2009 to $3.4 billion. This was the largest decline in ten years.
3. The year was especially difficult for private conventional television, with its operating revenues falling 7.7%. This was the largest annual drop in revenues for this segment in more than 30 years.
4. In the meantime, the specialty television and pay television segments experienced operating revenue gains of 3.3% and 16.6% respectively between 2008 and 2009. Their combined year-over-year revenue increases have nevertheless been declining for the past few years, in both absolute and percentage terms.
5. Canadian television broadcasters’ advertising revenues fell 8.4% to $3.1 billion in 2009, the first drop in 15 years.
6. The weak growth experienced in 2009 in operating revenues for television in general was largely attributable to television broadcasters’ decreased advertising revenues, since other income sources did increase.
7. Advertising revenues have long been the largest source of income for the television sector. However, for the first time in a number of years, advertising revenues represented less than half (47.8%) of the sector’s total revenues. Ten years ago, these revenues accounted for nearly 60% of the sector’s total revenues.
8. Private conventional television faced a myriad of financial challenges for the past several years, especially with respect to profits. Although the profit margin before interest and taxes of this sector was 11.2% in 2005, it obtained a negative result (-5.7%) in 2009. The profits before interest and taxes reached $4.8 million in 2008, the losses amounted to $113.4 million in 2009. This was the first time in 30 years that profits have been negative.
9. On the other hand, pay and specialty channels generated a profit margin in excess of 20% for the fifth consecutive year. In one year, that margin went from 22.1% in 2008 to 23.5% in 2009, while operating profits rose from $648.2 million to $728.7 million.