Cac 40: With more than 146 billion euros, the profits of the CAC 40 in 2023 are even higher than in 2022.
(BFM Bourse) – According to a calculation carried out by the BFM Bourse, the 35 CAC 40 companies that have already published annual results have made a total profit of more than 146 billion euros, compared to only 140 billion the previous year.
The 2023 harvest was primarily good for the CAC 40 groups in terms of profitability. Much better than 2022 in any case.
According to BFM Bourse calculations, the 35 companies that have so far published their annual accounts have made a total of 146.26 billion euros in net profit (see our methodology at the end of the article for more details).
This amount does not include Thales, Teleperformance and Vivendi which will be published next week. Also Pernod Ricard and Alstom which are developing at a staggering rate.
Barring an unlikely surprise next week with the remaining three groups, the residents of the CAC 40 will beat the level of profits earned in 2022, which according to our calculations (and based on 38 companies) was just under 140 billion euros.
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It is impossible to surpass the record of 2021
A 2021 record of more than 156.5 billion euros seems out of reach. The reason for that is Vivendi which made a profit of 24.7 billion euros in 2021. This figure was explained by the (very) exceptional element. The group distributed the majority of its stake in Universal Music Group (UMG) to its shareholders, enabling it to record a deconsolidation accounting capital gain of 24.84 billion euros after tax.
Going back to the 2023 fiscal year, Totalenergies was the largest provider of net profit, with a net result of 19.85 billion euros. A record for the group, despite a drop in hydrocarbon prices. This is actually due to a distorted basis of comparison. In 2022, TotalEnergies’ net profit fell due to the heavy depreciation the company took on its Russian assets ($15 billion). By removing this extraordinary element, the main results of the oil are actually significantly reduced.
Stellantis is not far away. The merger between PSA and Fiat Chrysler resulted in a net profit of 18.62 billion euros for the group in 2023. To think that a company run by Carlos Tavares with a deft (and iron) hand would end up passing TotalEnergy, there is. There is only one step to take.
LVMH takes the podium (15.17 billion euros) followed by BNP Paribas (10.98 billion euros).
Remember that net profit remains a very imperfect indicator of a company’s performance, as it is often affected by exceptional factors that do not necessarily affect its financial health. “The net result is not the best indicator, but it is still not a bad indicator. It should be stripped of extraordinary elements,” explained Wernimann, Pascal Querie, professor of finance at HEC Paris and co-author of the Corporate Finance Review. BFM Bourse.
Methodology: We have always compiled the profits by taking the consolidated net profit share of the group of companies. The profits of TotalEnergies, STMicroelectronics and ArcelorMittal are originally expressed in dollars and have been converted to euros by us. For Dassault Systèmes, we used non-IFRS net income.
Julian Marion – ©2024 BFM Bourse
