Revenues for specialty, pay, and PPV services exceed $2 billion


OTTAWA-GATINEAU, - The CRTC has released the financial results for specialty, pay and pay-per-view television in Canada for the years 2000 to 2004. This sector has experienced significant growth in terms of both revenues and profits. Revenues for the 115 Canadian services grew by close to $170 million, or 9%, between 2003 and 2004, going from $1.88 to 2.05 billion.

Earnings before interest and taxes rose from $284.8 to 418.1 million, an increase of 46.8%. The operating margin reached 22.04, while the EBIT margin rose to 20.39 in 2004.

2004 revenues from cable distribution services rose by 7.6% over 2003, increasing from $829.3 to 892.2 million, while those for direct-to-home satellite distribution (DTH) services grew by 2.5%, reaching $428.3 million in 2004. Revenues from national advertising increased by 16.8% to $691.2 million, while local advertising brought in close to $16 million. In five years, increased by $780.1 million, or 61.4%, and EBIT increased by $196.6 million, or 88.7%. The number of services has increased over the past five years from 59 in 2000 to 115 in 2004.

In 2004, expenditures on Canadian programming increased by 8.8% over the previous year, rising from $695.3 to $756.8 million. This represents 36.9% of the revenues of specialty, pay and pay-per-view television undertakings. These companies employed 4,805 people in 2004, and paid out $317.6 million in salaries.

In 2004, there were 16 Category 1 and 36 Category 2 digital specialty television services. Category 1 digital services had revenues of $47.7 million, while revenues for Category 2 services hit $70.1 million. The eight Canadian ethnic specialty services earned $49.8 million, which was 6.8 million-or 15.9%-more than in 2003.


The data in this report were drawn from the annual reports of specialty, pay and pay-per-view television licensees and combined with the data found in the financial statements of those same companies. The CRTC publishes a number of similar reports every year, providing a variety of information on the
Canadian broadcasting industry.

Reference document: Pay and specialty programming television services -
Statistical and financial summaries 2000 - 2004

Back to headlines  |  Email this article to a friend  |  Comment on this article