Industries with the Biggest Increase in Profit Margin in Canada in 2025

• 1. Scientific Research & Development in Canada

  Percentage Point Increase for 2025: 4.4pp

  Scientific R&D companies have benefited from consistent growth in national R&D expenditures, heightened spending on military equipment and a positive incline in institutional involvement within the research space. Government funding for R&D has grown as the federal government made investment in Canadian research a priority, focusing primarily on life sciences and engineering research initiatives. Strong growth in corporate profit, which spiked 6.5% over the past five years, provid...

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• 2. Chocolate Production in Canada

  Percentage Point Increase for 2025: 4.3pp

  The chocolate production industry in Canada has shown resilience and adaptability in the face of evolving consumer preferences and market dynamics. Recent years have highlighted a growing demand for premium, artisanal and sustainably sourced chocolate products, which has driven growth in this sector. Despite facing challenges like rising ingredient costs and supply chain disruptions, the industry has maintained its performance, with producers innovating to meet the diverse tastes of Canadian ...

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• 3. Gold & Silver Ore Mining in Canada

  Percentage Point Increase for 2025: 3.8pp

  Gold and silver ore mining continues to thrive as production levels remain elevated, driven largely by Canada's significant gold deposits, which account for over 98.0% of revenue garnered from gold product sales. Early in the current period, in 2021 and 2022, industry returns fell from pandemic-era highs; during the pandemic, escalating gold prices attracted investor attention because of gold's unique properties as a countercyclical asset, offering a hedge against inflation and market volatil...

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• 4. Nonferrous Metal Rolling & Alloying in Canada

  Percentage Point Increase for 2025: 3.3pp

  The nonferrous metal rolling and alloying industry is heavily influenced by key downstream sectors. The aerospace sector significantly influences the nonferrous metal industry, especially with demand for materials like titanium due to its strength-to-weight ratio, essential for aircraft manufacturing. The pandemic initially reduced demand due to travel restrictions, but recovery has driven production of new aircraft. The energy sector's demand for nonferrous metals has fluctuated, affected by...

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• 5. Chicken & Turkey Meat Production in Canada

  Percentage Point Increase for 2025: 3.1pp

  As with most other industries under the supply management system, Canada's Chicken and Turkey Meat Production industry exhibits low to moderate volatility. Fortunately for farmers, effective supply management has helped offset dips in revenue. Industry revenue is expected to grow at a CAGR of 3.6% to $4.6 billion over the five years to 2023 as a result of increased poultry consumption among consumers. However, in 2024, industry revenue is expected to decrease by 0.6% due to a forecast drop in...

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• 6. Iron & Steel Manufacturing in Canada

  Percentage Point Increase for 2025: 2.6pp

  The Canadian steel industry is currently facing a challenging period marked by a projected 12.4% contraction in 2025, with total revenues falling to $15.2 billion. Although the industry posted a 2.5% CAGR over the current period, this figure is largely due to strong gains in 2021, followed by subsequent declines. This downturn is primarily driven by the imposition of a 25% US tariff on Canadian steel imports, which has sharply reduced export volumes and reduced the profit margin, leading to l...

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• 7. Corporate Wellness Services in Canada

  Percentage Point Increase for 2025: 2.6pp

  Rising health consciousness in Canada has driven greater investment in corporate wellness services in the country, as more individuals focus on fitness, nutrition and overall well-being. This trend has increased demand for services such as fitness programs, health screenings and mental health support, prompting businesses to offer wellness perks to attract and retain talent. For this reason, revenue growth for providers has soared in recent years, although volatility in corporate profit has l...

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• 8. Cigarette & Tobacco Manufacturing in Canada

  Percentage Point Increase for 2025: 2.2pp

  Cigarette and tobacco manufacturers in Canada have endured a turbulent five years as smoking rates reach new all-time lows and regulatory scrutiny intensifies. Industry revenue is estimated to have fallen at a CAGR of 4.9% to $2.7 billion over the five years to 2025, including a decline of 0.7% in 2025 alone. Health Canada’s push for plain packaging, graphic on-stick warnings, flavor bans and stricter retail controls has driven rapid market change while repeated excise tax hikes have accelera...

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• 9. Ski & Snowboard Resorts in Canada

  Percentage Point Increase for 2025: 2.1pp

  Ski and snowboard resorts in Canada have faced significant challenges and changes in recent years, mainly because of the impacts of climate change. Warmer winters and erratic snowfall have forced resorts to become more innovative in maintaining operations and ensuring visitor satisfaction. Committed to enhancing skiing and snowboarding experiences, the Canadian government has also invested in infrastructure improvements under the Investing in Canada plan. Despite these positive steps, the ong...

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• 10. Textile Mills in Canada

  Percentage Point Increase for 2025: 2.0pp

  Widespread offshoring of apparel manufacturing has been detrimental to Canadian textile mills, as distant apparel manufacturers are unlikely to source their textiles from domestic mills. A shrinking downstream apparel market and a dip in exports have caused revenue to creep downward during the period despite strong levels of consumer spending. Even so, more home furnishing textiles and a shift toward producing protective equipment during the pandemic provided a safety net for textile mills, p...

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