A measure of tourism industry profitability allows for more in-depth alternative analysis of the tourism sector. This measure provides time series data on variables at an industry level allowing comparison both across time, within an existing industry, and across industries.
Table 12 and figure 8 show gross operating surplus as a percentage of total tourism output for tourism industries and for all non-tourism-related industries. It is one measure of tourism profitability, but reflects economic rather than accounting concepts. Data is presented up until the latest balanced supply and use year.
Gross operating surplus is before the deduction of interest and economic depreciation.
Table 12
Points to note from table 12:
- For the year ended March, the profitability of tourism-characteristic industries (17.6 percent) was lower than for all non-tourism related industries (27.1 percent).
- The ‘other transport, storage, and transport services’ industry and the ‘machinery and equipment hiring and leasing’ industry each recorded higher profitability ratios than other tourism industries.
- Comparing the year ended March 2001 with 2005, all broad tourism industry categories, with the exception of cultural and recreational services, have increased their profitability ratios.
- In the years ended March 2001 and 2002, the air transport industry recorded a negative profitability ratio, but more recently, this profitability ratio has returned to a positive level.
Figure 8
