FX.co ★ US Corporate Profits Fall 3.6% in Q1

In the first quarter of 2025, corporate profits in the United States experienced a 3.6% decline, totaling $3.192 trillion. This downturn follows a 5.9% increase in the previous quarter, marking the largest drop since the fourth quarter of 2020, according to preliminary estimates. Specifically, undistributed profits fell by 12%, a stark contrast to the 15.1% rise seen earlier. Additionally, net cash flow, adjusted for inventory valuation, decreased by 4.7%, after a previous 5.8% increase. However, net dividends saw an increase of 1.9%, up from a 0.5% rise. When compared to the same period the previous year, corporate profits still show a 5.1% increase.