Stats Canada has released a report that shows radio profits are up 5.3%, which is down from an increase of 8.7% in 2005. It’s clear that while radio is still profitable, the peak may be behind us. Radio is certainly benefiting from the decline in newspaper readership and the erosion of television viewers. It is the most cost effective, efficient way to reach a local audience. Profitability, however, has as much to do with low expenses as it does with income, and it is substantially cheaper to run a radio station than a newspaper or television station.