Profits up 9% at Canadian companies
CBC News
Posted: Feb 23, 2012 1:05 PM ET
Last Updated: Feb 23, 2012 1:03 PM ET
Operating profits at Canadian corporations increased nine per cent to $71.4 billion at the end of 2011, Statistics Canada reported Thursday. (Kevin Frayer/Canadian Press)
Operating profits at Canadian corporations increased nine per cent to $71.4 billion at the end of 2011, Statistics Canada reported Thursday.
Canada's data agency said Canadian companies made more money during the last three months of 2011 than they did during the three that preceded it. Although profitability is now at the highest level it has been since the end of 2008 when the recession was beginning in Canada, it's still $6.1 billion below the level it was at earlier in the year, the previous all-time high.
Fifteen of 22 industries reported higher profits in the fourth quarter.
Comparatively, the financial sector performed better, with profits at financial firms increasing 21.8 per cent to $17.9 billion. That came after a 10.9 per cent decline in the third quarter, and the rebound was led by insurance companies, where profits increased by $2.3 billion to just over $1.9 billion. This reversed a $325-million loss recorded in the third quarter, Statistics Canada said.
In the non-financial sector, operating profits in the fourth quarter increased 5.3 per cent to $53.5 billion, following a 3.2 per cent gain in the previous quarter. Much of this growth came from the manufacturing industry, where profits increased 19.9 per cent to $14.2 billion.
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