Canadian engineering firms’ profits rose in 2011
Statistics Canada has released its 2011 report on Engineering Services, summarizing the industry's revenues, expenses and operating profit margins across the country.
Statistics Canada has released its 2011 report on Engineering Services, summarizing the industry’s revenues, expenses and operating profit margins across the country.
Among the highlights, the survey found that operating revenues among engineering firms had risen 14.2% in 2011 compared to 2010. The figure for 2011 was $25.8 billion.
Profit margins in 2011 were 12.5%, up from 11.8% in 2010.
Firms in Alberta accounted for the largest share of operating revenue earned by the industry, at 32.6%. Ontario was next with 26.1%, then Quebec with 19.9% and B.C. with 13%.
Industrial and manufacturing projects represented 39% of sales. Next came transportation projects which generated 8.6% of sales; power generation, transmission and distribution yielded 6.9%, and municipal utility projects accounted for 5.8%. The remaining sales came from building projects, industrial waste projects and other related services.
Private business generated the majority of the revenue at 66.1% and government clients generated 19.9%. International business accounted for 12.3% of revenues.
Operating profit margins were highest in Manitoba and Saskatchewan at 16.6% and 15.4% respectively. Lowest profit margins were in New Brunswick (7.0%), Northwest Territories (7.2%), and Nova Scotia (9.1%). Newfoundland was the Maritimes exception with profit margins at 14.7%.