The third quarter marked a gradual resumption of economic activity across the country with Canadian corporations reporting a 44.9 per cent increase in net income before taxes, an increase of $25.1 billion to $81.0 billion, reported Statistics Canada on Friday.
The federal agency said operating revenue rose 10.2 per cent to $1,058.8 billion during the quarter.
“As health restrictions began lifting during the quarter, many non-financial sectors witnessed a resurgence of activity. Net income before taxes in the non-financial sector increased 64.0 per cent (or $18.6 billion) to $47.6 billion, after declines in the previous quarter associated with COVID-19-related restrictions,” said StatsCan.
“Net income before taxes in the manufacturing industry led the overall increase for the non-financial industries, with net income before taxes increasing by 205.9 per cent (or $7.9 billion) to reach $11.8 billion, buoyed by strong growth in several industries during the quarter.”
Statistics Canada said net income before taxes in the oil and gas extraction and support services industry increased by $4.5 billion in the third quarter. Higher oil prices and volumes are the main contributors to the increase.
“Nonetheless, the industry is still reporting losses, recording a loss of $6.5 billion in the third quarter, an improvement from the $11.0 billion loss in the previous quarter,” it said.
The report said net income before taxes for financial corporations increased 24.3 per cent (+$6.5 billion) to $33.4 billion in the third quarter, driven by gains in the banking and depository credit intermediation industry.