Service Sector Revenue Grows

Revenue in key sectors of the U.S. service industry grew in the second quarter, the government said Monday in a new survey.

The Commerce Department said revenue in information services rose 4.4% to $230.09 billion in the April-to-June quarter from the previous three months, reversing a drop in the January-to-March quarter of 5.2%.

Broadcasting and telecommunications, the largest component of information services, grew 4.3% in the second quarter with revenue of $127.93 billion. Publishing revenue increased 4.1% to $61.01 billion.

Professional, scientific and technical services grew 6.3% to $246.14 billion in the second quarter, compared with a 0.3% fall the quarter before.

Architectural and engineering services gained 12.9%, helping to offset a 14.1% drop in accounting, bookkeeping and payrolls.

Administrative support and waste-management service revenue increased 5.6% to $121.89 billion, after a 1.2% increase in the first quarter.

The service sector accounts for some 80% of the U.S. economy, but the new Quarterly Services Survey captures only about 15% of the nation’s gross domestic product.

The Commerce Department has said it plans to add more categories to the report in coming years.

The services report is not seasonally adjusted, so figures may be distorted by variations such as holidays, making comparisons between quarters difficult. Seasonally adjusted revenue estimates are expected after the government has collected four years’ worth of data.