Industries with the Highest Profit Margin in Canada in 2020

1. Primary Care Doctors in Canada

Profit Margin 2020: 54.5%

The Primary Care Doctors industry in Canada, which encompasses general practitioners who provide a comprehensive first point of contact and continued care to patients, has exhibited moderate and largely steady growth over the five years to 2020. Demand for primary care services has grown organically due to demographic changes, such as the aging of the population. Due to the significant uptick in birth rates between 1946 and 1965, as well as medical advancements that have boosted life expectancy, the number of seniors has increased in recent years. With the incidence of degenerative medical conditions increasing with age, the older population... Learn More

2. Wireless Telecommunications Carriers in Canada

Profit Margin 2020: 43.3%

The Wireless Telecommunications Carriers industry in Canada has performed well over the five years to 2020 as wireless coverage expanded and a greater number of Canadians adopted smartphones and tablets, thus boosting demand for high-margin mobile broadband services. The number of mobile telephone subscriptions is expected to rise an annualized 4.0% over the five years to 2020, and the number of fixed broadband connections is expected to rise an annualized 2.7% during the same period. Consequently, industry revenue is expected to increase an annualized 3.9% to $31.1 billion during the current period. Revenue is expected to grow an additional 2.4%... Learn More

3. Apartment Rental in Canada

Profit Margin 2020: 35.7%

The Apartment Rental industry in Canada has grown over the five years to 2020. Industry operators collect rent income from properties they lease, where the rates they charge are largely determined by market forces. The supply of apartment rentals has grown at a slower pace than demand, which has elevated rental rates to the benefit of the industry. Favourable economic conditions and demographic trends during the majority of the period have driven this growth in demand, leading to low vacancy rates. These factors, in an environment of rising real estate values and sterner mortgage restrictions, have fuelled revenue growth. As... Learn More

4. Real Estate Investment Trusts in Canada

Profit Margin 2020: 35.6%

The Real Estate Investment Trusts (REIT) industry in Canada has grown consistently over the five years to 2020, as solid operational efficiency and a low interest rate environment laid the foundation for growth. The industry benefited from a low level of revenue volatility that is backed by a steady stream of income from rentals amid stable economic growth. Long-term rent contracts in the commercial segments and the rise of rental rates in the residential segment have enabled the industry to maintain stable growth rates year-over-year during the period, even amid an economic slowdown in 2015 and 2016. Overall, the industry... Learn More

5. Snack Food Production in Canada

Profit Margin 2020: 35.3%

The Snack Food Production industry in Canada produces goods such as potato and corn chips, pretzels, roasted and salted nuts, peanut butter, popcorn and other similar snacks. This industry benefited from increased demand over the five years to 2020 as discretionary income levels increased. In turn, renewed consumer spending has boosted sales of potato and tortilla chips, along with nuts and seeds. Buyers also tend to purchase more expensive and healthier products as they have more to spend on snack foods, keeping industry profit high. While many industry products are unhealthy and demand for such goods has slowed, many operators... Learn More

6. Plastic & Resin Manufacturing in Canada

Profit Margin 2020: 33.6%

Operators in the Plastic and Resin Manufacturing industry in Canada primarily convert petrochemicals, such as ethylene and propylene, into resins, which are used to produce downstream plastics and adhesives with a wide variety of applications, including in automobiles and in single-use plastic bags. The industry is highly globalized and has benefited from steady growth in downstream industries, both domestically and in the United States, over the five years to 2020. However, price volatility in key inputs, such as crude oil and natural gas, has caused complicated operating conditions and has put downward pressure on prices, resulting in declines. IBISWorld forecasts... Learn More

7. Payroll & Bookkeeping Services in Canada

Profit Margin 2020: 33.6%

The Payroll and Bookkeeping Services industry in Canada is expected to experience moderate expansion over the five years to 2020. This industry includes companies that focus on the provision of payroll processing and bookkeeping transactions for other businesses. This enables time-scarce managers and businesses to focus on their core functions rather than minor administrative tasks such as payroll processing. The act of outsourcing business functions has become increasingly common over the past five years, which has increased demand for the industry's services. Additionally, favourable macroeconomic trends have spurred demand and supported revenue growth. As a result, industry revenue is expected... Learn More

8. Soybean Farming in Canada

Profit Margin 2020: 32.7%

The Soybean Farming industry in Canada has declined over the five years to 2020 as a result of the spillover from trade war between China and the United States. China had traditionally been the largest export market for industry products, consistently accounting for over 50.0% of industry exports. However, geopolitical tension between China and Canada, which developed toward the end of the five-year period, caused a dramatic decline in the trade of industry products between the two countries. This, combined with lower prices and increased competition from US soybeans, are expected to result in the industry declining at an annualized... Learn More

9. Commercial Banking in Canada

Profit Margin 2020: 31.5%

Despite low interest rates and some hiccups in economic growth, the Commercial Banking industry in Canada has expanded over the five years to 2020. Banks have done an exceptional job of diversifying revenue streams and overcoming limits imposed by low interest rates and increasing regulations. The industry primarily generates revenue through interest income sources, such as business loans and mortgages, but it also generates income through noninterest sources, which include fees on a variety of services and commissions. Consequently, industry revenue is expected to grow an annualized 9.4% to $240.2 billion over the five years to 2020, with an increase... Learn More

10. Dentists in Canada

Profit Margin 2020: 31.5%

Over the five years to 2020, the Dentists industry in Canada has exhibited growth due to an uptick in the use of dental services and increased expenditure on dental services. Household spending for dental services has risen at an annualized rate of 7.1% over the three years to 2017 to reach $430.00, up from $350.00 in 2014. At the same time, dental care spending accounts for the second-largest share of private sector medical spending.

With per capita disposable income growing for the majority of the five-year period, dental practices have had to secure fewer reimbursements from health insurance providers compared with... Learn More