By Courtenay Brown, Axios
Not only are corporate earnings coming in above Wall Street’s expectations, but a large swath of corporate America is making more money now than before the pandemic hit.
By the numbers: Earnings season is nearly over. Of the companies that have reported quarterly results, 52% saw bigger profits compared to this time last year, according to data provided to Axios by FactSet.
What’s going on: The pandemic has forced new habits that has allowed some companies to fare even better than in normal economic conditions — against the bleak backdrop of a virus that’s killed hundreds of thousands of Americans and left millions in financial ruin.
- The profit improvements come as lockdowns eased. In the March to May quarter, roughly 38% of the S&P 500 saw year-on-year improvements in profits, per FactSet data.
- And, it’s not just Big Tech companies that have benefited from circumstances created by the pandemic. There are S&P companies across all sectors getting a boost from the “coronavirus new normal.”