Canuck TV revs rise

Ad revs grew 9.2% to $3.34 billion last

Total operating revenues in Canada’s TV sector hit C$7.1 billion ($7 billion) in 2010, up 8% from 2009.

This is the largest annual increase since 2003, according to a report released Tuesday by federal government agency Statistics Canada.

Overall, TV advertising revenues grew 9.2% to $3.34 billion last year; in 2009 the total was $3.05 billion, 8.3% down on 2008, the first decrease in 15 years.

Ten years ago, ad revs accounted for almost 60% of the TV sector’s total operating revenues. In 2010, that proportion stood at 48.2%, a slight upswing from 47.7% in 2009.

Total operating revs for commercial free-to-air TV rose 8.8% to $2.12 billion in 2010, well below the 2007 peak.

The segment posted a profit margin, before interest and taxes, of $5.31 million in 2010. This reverses a $111.6 million loss in 2009, the first loss in 30 years.

Cable and pay TV continued to grow in 2010 with an 11.1% hike in operating revs to $3.44 billion. While subscription revs remain an important base for cablers, their share of the TV ad market was 32.6% in 2010, a major shift from the 17.1% in 2001.

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