Figure B
Profit margins spiked and did not normalize until very recently: Profits divided by the sum of labor and non-labor costs in the nonfinancial corporate sector
| Date | Profit margin | 1979-2019 average |
|---|---|---|
| 2017q1 | 15.2% | 13.0% |
| 2017q2 | 14.9% | 13.0% |
| 2017q3 | 14.5% | 13.0% |
| 2017q4 | 14.8% | 13.0% |
| 2018q1 | 14.9% | 13.0% |
| 2018q2 | 15.6% | 13.0% |
| 2018q3 | 15.6% | 13.0% |
| 2018q4 | 15.3% | 13.0% |
| 2019q1 | 14.4% | 13.0% |
| 2019q2 | 14.5% | 13.0% |
| 2019q3 | 15.2% | 13.0% |
| 2019q4 | 15.5% | 13.0% |
| 2020q1 | 13.5% | 13.0% |
| 2020q2 | 14.1% | 13.0% |
| 2020q3 | 20.6% | 13.0% |
| 2020q4 | 16.8% | 13.0% |
| 2021q1 | 18.9% | 13.0% |
| 2021q2 | 21.1% | 13.0% |
| 2021q3 | 19.7% | 13.0% |
| 2021q4 | 19.1% | 13.0% |
| 2022q1 | 19.1% | 13.0% |
| 2022q2 | 20.6% | 13.0% |
| 2022q3 | 20.4% | 13.0% |
| 2022q4 | 20.1% | 13.0% |
| 2023q1 | 18.9% | 13.0% |
| 2023q2 | 19.1% | 13.0% |
| 2023q3 | 19.6% | 13.0% |
| 2023q4 | 20.6% | 13.0% |
| 2024q1 | 19.3% | 13.0% |
| 2024q2 | 19.5% | 13.0% |
Note: Author’s analysis of data from Table 1.14 from the BEA NIPAs.
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