Odaily Planet Daily reports: JPMorgan Chase noted that the second-quarter earnings season has entered its later stage, with approximately 80%-85% of companies in the U.S. and Europe having already reported results. Corporate earnings performance this quarter has been strong, with earnings per share (EPS) exceeding expectations in both the U.S. and Europe, and a broad range of companies reporting above-consensus results. The proportion of companies reporting EPS above market expectations has risen significantly in both regions. Despite market expectations being already high heading into the earnings season, the aggregate EPS for S&P 500 constituents continues to rise. The proportion of companies revising down their earnings outlooks has fallen to the lowest level since 2021.
Regionally, corporate profits in the U.S. and Europe grew by 25% and 23% year-over-year, respectively, both exceeding market consensus expectations. Revenue growth was also robust, with year-over-year increases of 14% in the U.S. and 10% in Europe. At the industry level, a significant portion of profit growth in both regions came from the energy sector, primarily driven by rising energy prices due to geopolitical conflicts. The financial sector also played a key role in driving profit growth in both regions, with the technology sector making a notable contribution as well.