Strong Growth in Corporate R&D Spending

7 February 2023

Canada’s Top 100 Corporate R&D Spenders posted $13.92 billion in joint research and development spending in Fiscal 2021. This was a hefty increase of 10.9% over Fiscal 2020 among the 99 companies for which complete data were available, according to Research Infosource Inc., which released its annual ranking.

Leading the pack with $1.07 billion of R&D spending in Fiscal 2021 was Shopify Inc., with an impressive growth of 44.6%, moving them into the #1 spot on the list. Constellation Software Inc. ($965.2 million, up 19.3%) and TELUS Corporation ($799.0 million, up 44.5%) took second and third spots respectively.  In Fiscal 2021, 92 companies reported revenue totaling $378.19 billion. Overall research intensity (R&D as a percent of revenue) among these companies was 3.1%.

Of the 99 firms for which complete data were available, an overwhelming majority (71) expanded their R&D spending, compared to 28 firms where R&D spending declined.

“Fiscal 2021 was a solid year for corporate R&D spending growth”, said Ron Freedman, CEO of Research Infosource.  “A majority of firms grew their R&D spending, often by double and triple digits.”

Twenty-five (25) Top 100 companies gained membership in Research Infosource’s $100 Million Club of companies that posted over $100 million of R&D spending in Fiscal 2021.  Club members accounted for combined R&D spending of $11.06 billion or 79% of total Top 100 R&D spending in Fiscal 2021.

The Fiscal 2021 leaders in R&D spending growth by tier were:

• Large R&D spenders tier ($100 million or more of R&D spending in Fiscal 2021): Repare Therapeutics Inc., (107.8%), Shopify Inc. (44.6%) and TELUS Corporation (44.5%).
• Medium tier ($30 million-$99.9 million): MDA Ltd. (791.9%), Titan Medical Inc. (346.9%) and BELLUS Health Inc. (132.5%).
• Small tier (less than $30 million of R&D spending): Eupraxia Pharmaceuticals Inc. (501.9%), Acceleware Corp. (413.0%) and Edesa Biotech, Inc. (403.7%).

About Research Infosource

Research Infosource is Canada’s source of R&D intelligence.  Drawing from proprietary databases, Research Infosource publishes Canada’s Innovation Leaders, which includes Canada’s Top 100 Corporate R&D Spenders, Canada’s Top 50 Research Universities, Canada’s Top 40 Research Hospitals and Canada’s Top 50 Research Colleges.  As well, Research Infosource publishes specialized reports.