Multinationals continued to generate significant returns in 2019 thanks to growth in the global economy. While the increase appears to have stalled in 2020 due to coronavirus and looming economic recession, big established companies continue to dominate the list of the most profitable companies in America. The lack of startups in the list does not come as a surprise as most of them are not focusing on profits but expanding operations.
Our list of the most profitable companies in America indicates how economic power is well distributed among all the facets of the economy. While the list could have been long, we narrowed our search by focusing on companies that declare their profits quarterly. By concentrating on publicly listed companies, we were able to come up with a list of some of the biggest brands that people interact with daily in the U.S.
The fact that the biggest chunk of profits is split between a few companies operating a monopoly in various industries all but made our work a little bit easier. We’ve consequently ranked the companies based on the profits they generated rather than their valuation in the market.
Ranking the companies based on the profits allowed us to exclude some of the biggest well-known brands that generate less income. With the help of companies’ earnings reports as well as SEC filings we were able to come up with the ultimate list of the most profitable companies in America over the past year. We also went forth and checked with Investopedia as well as Forbes to compile the list.
While our list of the most profitable companies in America focuses on the amount of income generated, the list also takes into account the quality of products and services produced and sold. Revenues generated and the rate of growth is also a point of consideration.
Here is our list the top 10 Most Profitable Companies in America
Opening up the list of the most profitable US companies in 2019 is AT&T Inc. (NYSE:T). Ranked as the world’s largest telecommunication company, AT&T saw its 2019 net income shrink 33% to $14.9 billion on revenues of $181.19 billion.
Just like other telecommunication heavyweights, the company generates a good chunk of its revenue from the provision of mobile telephone services. Also, the company generates revenues from WarnerMedia, which affirms its status as the world’s largest media and entertainment company.
#9 Wells Fargo
Wells Fargo & Co (NYSE:WFC) prominence in the financial services sector sees it merge as one of the most profitable companies in 2019. Ranked as the fourth-largest bank by market capitalization in the US, the financial services company reported a net income of $19.5 billion in 2019 on revenues of $85.1 billion.
Wells Fargo provides retail commercial and corporate banking services around the world. It operates over 7,000 branches and 13,000 ATMs.
#8 Exxon Mobil
Exxon Mobil Corporation (NYSE:XOM) was one of the most profitable companies in 2019 on seeing its net income come in at $14.3 billion of revenues of $264.3 billion. The energy giant generates a good chunk of its revenues from the production and sale of crude oil and natural gas around the world.
Even as the world continues to focus on renewable sources of energy, Exxon Mobil continues to affirm its position as one of the most profitable companies in America.
Intel Corporation (NASDAQ:INTC) finds its way into the list of the most profitable companies in America thanks to a growing demand for its computer chips. The company saw its net income remain flat at $21 billion, helped by a 2% increase in revenues that topped $72 billion.
In addition to offering computer chips, Intel is also engaged in the distribution of networking, data storage, and communication solutions worldwide.
Facebook, Inc. (NASDAQ:FB)’s monopoly of social networking space also sees it affirm its position as one of the most profitable companies in the world. Net income came in at $18.4 billion in 2019 attributed to a 27% increase in revenues at $70.7 billion.
The networking giant generates most of its revenues and earrings from advertising on its flagship app Facebook as well as Instagram, among other platforms.
#5 Bank of America
Bank of America Corp (NYSE:BAC) is another financial services company that continues to affirm its credentials as one of the most profitable companies in America. Through its subsidiaries, the corporation is engaged in the provision of banking and financial products and services.
Last year proved to be an exciting year for Bank of America as net income came in at $27.4 billion. Revenues on the other hand remained flat at $91.2 billion.
Alphabet Inc. (NASDAQ:GOOGL) dominance of the search business also sees it cement its credentials as one of the most profitable companies in the world. The tech giant reported a net income of $34.3 billion in 2019 on revenues of $162 billion, representing an 18% year over year increase.
Headquartered in Mountain View California, the company generates a good chunk of its revenues from the advertising business through AdSense and YouTube.
JPMorgan Chase & Co. (NYSE:JPM) affirm financial services companies’ dominance as the most profitable companies in America. The economic heavyweight reported a net income of $36.4 billion in 2019 on revenues of $115 billion.
As a financial services company, the company offers investment products services as well as asset and wealth management services. JPMorgan is the largest bank in the US and the sixth-largest in the world by total assets.
The list of the most profitable companies in America would not be complete without the biggest software company in the world. Microsoft Corporation (NASDAQ:MSFT) has made a name for itself on the licensing, manufacturing, and distribution of computer software as well as consumer electronics.
Best known for Microsoft Windows, the tech giant reported net earnings of $43 billion for its fiscal 2019 year, underscoring its credentials as the second most profitable company in America. Revenue for the full year was up 14% to $125 billion.
Apple Inc. (NASDAQ:AAPL) occupies the top spot as the most profitable company in America, as well as the world. It also tops the list as the most valuable company in the world. The company occupies the top spot even on reporting a 7% decrease in net income, in 2019, that came in at $55.25 billion. Net sales was also down by 5% to $213.9 billion.
Apple looks set to retain the top position, given the strong demand for its iPhones, iPads, among other services.