12/28/2024

Corporate Profits Rise as GDP Is Revised Up

U.S. corporate profits, hit hard last year by the energy downturn and strong dollar, show signs of stabilizing as oil prices dance around $50 a barrel and economic growth appears to be picking up. But American companies still face earnings pressure due to rising wage growth and a still-weak global economic expansion.

A key measure of corporate profits—after taxes, without inventory valuation and capital consumption adjustments—rose at a 1.9% pace in the first three months of 2016, the Commerce Department said Friday. 

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