Private radio broadcasting

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Private radio broadcasters' operating revenue declined 5.2% compared with 2008 to $1.5 billion (current dollars) in 2009. This was the first time since 1993 that revenue has fallen from one year to the next.

Almost all of private radio broadcasting operating revenue (97.5%) is generated from advertising revenue. In 2009, there was a significant 5.5% drop in private radio broadcasters' advertising revenue.

The general economic downturn in 2009 affected the profitability of the commercial radio industry. In 2009, private radio broadcasters earned 17.9 cents of profits before interest and taxes per dollar of revenue. This was the worst performance since 2002. These results contrast with the industry's steady increase in profitability over the previous 10 years.

Radio broadcasters' performance varied from region to region in 2009. On an annual basis, operating revenue increased in Saskatchewan (+6.7%) and Quebec (+1.1%) and declined in all other regions.

With respect to profitability, Ontario radio broadcasters' profits before interest and taxes were down in 2009, and it was in that province that radio broadcasters were the most profitable in 2009, with 21.7 cents of profits before interest and taxes per dollar of revenue. Alberta radio broadcasters, who had posted the best profitability in recent years, registered the worst result for that province since 1998, with profits before interest and taxes of 19.5 cents per dollar of revenue.

With regard to the broadcasting language, Francophone radio stations in 2009 posted increased operating revenue (+1.7%), compared with declines for Anglophone (-6.6%) and ethnic stations (-1.1%). This was a reversal from the three previous years, when Anglophone stations posted strong annual growth in their operating revenue.

Available on CANSIM: tables 357-0002 and 357-0003.

Definitions, data sources and methods: survey number 2724.

The publication Radio Broadcasting Industry, 2009 (56-208-X, free), is now available from the Key resource module of our website under Publications.

For further information or to enquire about the concepts, methods or data quality of this release, contact Sylvain Ouellet (613-951-2779; sylvain.ouellet@statcan.gc.ca), Business Special Surveys and Technology Statistics Division.