The consumer goods rental and general rental centres industry groups saw a slowdown in revenue growth in 2024 following two consecutive years of double-digit increases, according to new data released by Statistics Canada.
Total operating revenues for the industry rose by 2.5 per cent to $3.9 billion in 2024. Operating expenses increased at the same rate, reaching $3.1 billion, while the overall operating profit margin remained steady at 21.2 per cent.
Ontario accounted for the majority of industry activity, contributing 60.9 per cent of total operating revenues and 77.7 per cent of the nominal growth in 2024. British Columbia, Alberta and Quebec together represented 14.3 per cent of the growth, with the remaining 8.1 per cent coming from other provinces and territories.
Individuals and households made up the largest customer base for the sector, generating 66.3 per cent of sales in 2024. This marked a slight decrease of 0.9 percentage points from 2023. Businesses accounted for 29.3 per cent of sales, while governments, not-for-profit organizations, public institutions and foreign clients made up the remaining 4.3 per cent.
The three largest components of operating expenses in 2024 were salaries, wages, commissions and benefits (28.9 per cent), amortization and depreciation (21.6 per cent), and the cost of goods sold (15.9 per cent).
The consumer goods rental industry group, which primarily rents or leases personal and household goods such as electronics, furniture and appliances, reported operating revenues of $3.0 billion in 2024, an increase of 2.8 per cent from the previous year. Operating expenses for the group rose 2.6 per cent to $2.3 billion, resulting in an operating profit margin of 23.4 per cent.
The general rental centres industry group, which rents consumer, commercial and industrial equipment, recorded operating revenues of $879.8 million in 2024, up 1.6 per cent. Operating expenses rose to $758.3 million, yielding a profit margin of 13.8 per cent.
Statistics Canada noted a modest rise in residential construction investment, with housing starts in the first half of 2025 up 2.3 per cent over the same period in 2024.
Looking ahead, the agency stated, “The consumer goods rental sector may be positively affected by lower interest rates, with the Bank of Canada cutting its policy rate by 2.25 percentage points since June 2024, along with easing inflationary pressures.”
Statistics Canada said a complete financial picture for the 2025 reference year will be available when survey data are published in 2026.
More from Retail Insider:
