Retail, wholesale bright spots as corporate profits slip in Q3

Operating profits for Canadian corporations edged down 0.5 per cent in the third quarter to $64 billion.

OTTAWA — Operating profits for Canadian corporations edged down 0.5 per cent in the third quarter to $64 billion.

Statistics Canada reports declines in the financial sector were largely offset by gains in the non-financial sector as 14 of 22 industries reported higher profits. In the non-financial sector, operating profits increased 3.1 per cent to $49.4 billion, led by retail and wholesale trade, as well as mining.

The agency says manufacturing profits remained virtually unchanged while oil-and-gas profits declined. In the financial sector, operating profits dropped 11 per cent to $14.6 billion, its second straight quarterly decline, largely due to a drop in the insurance industry.

On a year-over-year basis, operating profits for Canadian corporations were 9.1 per cent higher in the third quarter than in the same quarter of 2010.

Profits increased over the year previous by 10.2 per cent in the non-financial sector and rose 5.3 per cent in the financial sector.