The major European companies are lower than their global counterpart in profits and revenues

The major companies from the United States and Asia outperformed the major European companies in terms of revenues and profits, last year, according to a study conducted by the Ernest & Young Economic Consulting Company, in which the results of 1,000 companies listed on the stock exchange analyzed, and enjoy the highest revenue in the world.

According to the study, the revenues of the major companies from the United States increased by 4.5% on average in 2024, while the increase rate for major companies from Asia was 3.2%. On the other hand, the major companies in Europe were subjected to a decrease in revenue by 1.1%.

The gap in profits appears more clear. According to the study, Asian companies increased their operational profits by about five (19.5%), while companies from the United States increased their profits by 8.2%. In Europe, the profits of major companies decreased by 6.5%on average, and German companies were especially weak, as their revenues decreased by 3.1%, and their profits decreased by 8.5%.

The United States dominates the group of 1000 companies listed on the stock exchange, which has the highest revenue, to which 317 companies, followed by China (137 companies), and Japan (110 companies) belong to, while Germany comes fourth with 43 companies.

According to the expert at Ernest & Young, Jan Braerakeker, the major European companies are under increasing pressure in light of global competition, due to the weak industrial sectors, geopolitical tensions, and customs duties, and Berrahilker said: “The situation is really dangerous and is currently increasing, while the major American companies have achieved strong growth in recent times and managed to increase their profits, find companies. European itself is increasingly in a defensive position. ”

Berraelker stated that the special power that Europe has in the industrial sector has proven to be a major challenge at the present time, as traditional industries such as the auto sector pass through a radical transformation stage, adding that in this troubled situation the American chaotic customs duties policy comes at an inappropriate time, which leads to more financial burdens and massive certainty.

At the same time, American technology companies dominate the sector, where there is no European company among the 10 most profitable companies in the world, while seven of them come from the United States, including “Apple”, the “Alphabet” group that owns Google, and the giant software company “Microsoft” and the semiconductor company “Invidia”, and Braraycherker said that Europe does not have much to confront this market force, referring to There are only a few European companies among major companies in the technology sector.

According to the study, there is no European company on the first 10 list in terms of profit.

The most profitable European company was the British Oil and Gas Company “Shell”, which ranked 13th, and the German company was the first in the global profit classification was the “Deutsche Telecom” Telecom Company (19th place) with profits of 26 billion euros.

As for the highest revenue companies in 2024, they are giant retail companies, “Wall Mart” and “Amazon”, in addition to Saudi “Aramco”.

The highest -rated German companies in terms of revenue were the Volkswagen car manufacturers (ninth place), “Mercedes -Benz” (35th place), and “BMW” (36th place), in addition to “Deutsche Telecom” (50th place).