Least Risky Industries in Canada in 2020

1. Cannabis Production in Canada

2020 Overall Risk Score: 2.56

The Cannabis Production industry in Canada has blossomed over the five years to 2019 as a massive market was introduced into the industry, driving up revenue late during the period. Since Health Canada opened up medicinal cannabis production to more players in 2013, the industry has grown continuously as operators invest in production capabilities to produce quality products. However, the legalization of recreational cannabis in 2018 has been the primary driver of the industry boom during the period. As consumers shifted from illegal cannabis purchases to the licensed recreational market, the industry grew significantly and is expected to grow 68.3%... Learn More

2. Hospitals in Canada

2020 Overall Risk Score: 3.19

The Hospitals industry in Canada, which includes medical and surgical hospitals, has exhibited stable growth over the five years to 2020. Canada's healthcare system is predominately public, with 70.5% of funding coming from the public sector and the remainder from the private sector, according to the “National Health Expenditure Trends, 1975 to 2019” report by the Canadian Institute for Health Information (CIHI). Therefore, the industry is heavily dependent on both federal and provincial funding, which is mostly allocated via global budgets systems, where a fixed payment amount is allocated to a provider to cover operating expenses for a period of... Learn More

3. Primary Care Doctors in Canada

2020 Overall Risk Score: 3.41

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

4. Chicken & Turkey Meat Production in Canada

2020 Overall Risk Score: 3.66

As with most other industries under the supply management system, the Chicken and Turkey Meat Production industry in Canada exhibits a low degree of volatility. Fortunately for farmers, effective supply management has helped offset dips in revenue. The industry's revenue growth is expected to be relatively steady over the five years to 2020, with profit rising steadily. Overall, industry revenue is estimated to rise at an annualized rate of 1.1% to $3.2 billion over the five years to 2020. Due in large part to the high margin enforced by the supply management system, industry profit, defined as earnings before interest... Learn More

5. Public Transportation in Canada

2020 Overall Risk Score: 3.90

Operators in the Public Transportation industry in Canada operate passenger transit systems over fixed routes and regular schedules within a metropolitan area. Transportation systems involve multiple modes of transportation, including subways, streetcars and buses. Most routes transport individuals over short distances for relatively inexpensive fares. Due to the high capital costs associated with running a large public transportation system, most industry operators rely on government subsidies. As a result, government funding is a key driver of industry revenue. Government stimulus programs, such as the Building Canada Plan and the Infrastructure Stimulus Fund, fuelled industry revenue growth over the five years... Learn More

6. Electric Power Transmission in Canada

2020 Overall Risk Score: 3.93

The Electric Power Transmission industry in Canada is responsible for storing and distributing electricity from Canada's upstream generation facilities. Industry operators manage transmission and distribution networks that total more than 160,000 kilometres to serve residential, industrial and commercial customers. Industry performance is dependent on electricity prices within provinces, although the inelasticity of energy demand and the high degree of regulation insulates operators from any significant revenue declines. Industry performance is also closely tied to demand from major industrial, residential and commercial markets. While residential market demand is somewhat inelastic, industrial and commercial output and demand are much more variable, so... Learn More

7. Movie, TV & Video Production in Canada

2020 Overall Risk Score: 3.96

Operators in the Movie, TV and Video Production industry in Canada market and circulate video content to downstream exhibitors, including movie theatres, TV networks and retailers of physical media. Over the five years to 2020, the transition to digital content has diminished the relevance of content distributors as studios have increasingly undertaken distribution activities in-house. Many distributors have instead turned to acquiring content from production houses. Moreover, federal support for video production has been robust, especially with the late 2017 implementation of the Creative Canada initiatives, which increased funding for industry operators. As a result, industry revenue is expected to... Learn More

8. Medical Instrument & Supply Manufacturing in Canada

2020 Overall Risk Score: 3.96

The Medical Instrument and Supply Manufacturing industry in Canada produces a variety of nonelectric medical, dental and veterinary products for personal and professional use. The industry's broad range of medically necessary products largely shields revenue from sharp fluctuations based on changes in specific downstream demand environments. However, pressure from imports is an omnipresent threat that has encouraged operators to embrace product innovation over standardized manufacturing. As a result, over the five years to 2020, IBISWorld expects industry revenue to increase an annualized 4.9% to total $4.6 billion, including an anticipated increase of 1.7% in 2020 alone.

Several large demographic and economic... Learn More

9. Sewage Treatment Facilities in Canada

2020 Overall Risk Score: 4.00

The Sewage Treatment Facilities industry in Canada includes facilities that collect, treat and dispose of wastewater generated by homes, businesses and stormwater runoff. The majority of its funding emanates from municipalities, which serves to minimize revenue volatility. These municipal services are funded through water rates, property taxes, development charges and government contributions. Over the five years to 2020, the industry has benefited from a growing population alongside expanded economic output, stimulating demand for industry services. Further, continued investment into facilities to meet new regulatory requirements helped expand industry activity. IBISWorld estimates revenue has increased an annualized 1.3% to $6.7 billion... Learn More

10. Home Care Providers in Canada

2020 Overall Risk Score: 4.02

The Home Care Providers industry in Canada is a growing industry, with a multitude of diverse companies offering services to growing healthcare markets. Industry providers cater largely to the elderly population, which is growing at a rate exceeding the national population growth rate in Canada, as well as to individuals suffering from chronic illnesses and disabilities. As industry operators have expanded their service offerings in recent years, they have become an attractive alternative to institutionalized healthcare settings, such as hospitals and rehabilitative centres, which are generally less personal and more expensive. Consequently, industry revenue is projected to increase an annualized... Learn More