Saturday, October 17, 2015

The 1100 Largest US Companies 2014 Total Audited US GAAP Earnings Were $1 Trillion and 82 Billion Under Barack Obama/Joe Biden Up a Massive 18 Times Over 2008 Total Audited US GAAP Earnings of Only $56 Billion in George Bush/Dick Cheney's Last Presidential Year

2014 Total Audited Earnings:
  • Up 13% Over 2012
  • Up 20% Over 2011
  • Up 33% Over 2010
  • Up 148% Over 2009
  • Up 1,827% Over 2008
  • Up 63% Over 2007

Two Year Total Earnings:
….. 2013-14           2,253,528,000,000
….. 2008-09              492,803,000,000
………. Two Year Earnings Increase
…………....... Amount           1,760,724,000,000
………………...... % 357%

BUT 2014 Total Audited Earnings:
  • Down 8% From 2013
My previous 11 posts addressed in 100 layers the largest US Companies in Stock Market Capitalization.  These 1,100 US Companies all had Stock Market Caps above US$ 2.5 Bil and excluded all Utility Companies.

 Below here are the total earnings of these 11 previous posts combined:


2014 2013 2012 2011 2010 2009 2008 2007

US GAAP US GAAP US GAAP US GAAP US GAAP US GAAP US GAAP US GAAP

Audited Audited Audited Audited Audited Audited Audited Audited

Net Net Net Net Net Net Net Net
Income Income Income Income Income Income Income Income
100 US Company Largest Layer Totals (Loss) (Loss) (Loss) (Loss) (Loss) (Loss) (Loss) (Loss)
 $ mils  $ mils  $ mils  $ mils  $ mils  $ mils  $ mils  $ mils









100 Largest        627,653        650,857        568,947        581,687        516,202        357,164        170,905        402,626
100 Second Largest (#101-#200)        144,539        136,407        115,024        107,233          93,357          60,860          37,266        106,684
100 Third Largest (#201-#300)          81,724          82,233          68,773          70,945          65,910          19,030        (38,903)          19,666
100 Fourth Largest (#301-#400)          55,529          59,607          55,503          57,692          40,996          21,523        (23,845)          44,304
100 Fifth Largest (#401-#500)          43,898          50,358          45,318          34,244          35,203          33,719               801          26,959
100 Sixth Largest (#501-#600)          32,260          29,827          23,351          19,021          19,240            7,342          (8,686)          14,467
100 Seventh Largest (#601-#700)          28,767          26,057          16,585          10,383          19,483               243          (8,105)          15,296
100 Eigth Largest (#701-#800)          20,134          19,717          15,303          14,753          13,847            7,946             (812)          10,678
100 Ninth Largest (#801-#900)          15,949          13,542          13,128          10,687            8,349          (1,334)          (6,866)            8,627
100 Tenth Largest (#901-#1000)          10,890          10,572            7,648            3,669            6,329          (1,150)          (4,915)            5,671
100 Eleventh Largest (#1001-#1100)          20,452          92,556          25,552        (10,903)          (6,253)        (68,687)        (60,691)            9,266









Total 1100 Largest US Companies     1,081,795     1,171,733        955,132        899,411        812,663        436,656          56,149        664,244









Annual Earnings % Changes:







….. 2014 vs 2013 -8%






….. 2014 vs 2012 13%






….. 2014 vs 2011 20%






….. 2014 vs 2010 33%






….. 2014 vs 2009 148%






….. 2014 vs 2008 1827%






….. 2014 vs 2007 63%






Two Year Total Earnings:







….. 2013-14     2,253,528






….. 2008-09        492,803






………. Two Year Earnings Increase







………….. Amount     1,760,725






………………. % 357%







From the above nearly all audited by very prestigious Big 4 CPA Firms US GAAP earnings numbers, it should be clear that the 1,100 largest US Companies have recovered miraculously from the 2008 worldwide financial meltdown.  Their Total Audited US GAAP Earnings From Continuing Operations for the most recent year 2014 of $1,082 Bil were a monstrous 18 Times the 2008 Total US GAAP Audited Earnings of Only $56 Bil.
  
Not only have the Total Audited Earnings of these 1,100 largest US Companies recovered all that they lost with the 2008 financial meltdown, but they added another 63% from their previous annual high in 2007 before the financial meltdown hit.  
 
It is pretty clear to me that the major drivers of this wholescale, massive earnings recovery from the disastrous 2008 financial meltdown were prescient steps taken by the Obama/Biden Administration and by the US Fed.
 
That's why financially astute people know that they want a continuation of the economic policies of the Obama/Biden Administration.  The only way that is assured is if Joe Biden is the next US President.

There is a huge difference between someone running for President saying he or she will continue the Obama/Biden highly successful economic policies and someone actually sitting at the table and being a key participant in these economic policies for 8 years.  Just sayin.

On the huge downside here, the Total Audited Earnings of these 1,100 largest US Companies for 2014 were down 8% from 2013.  This points to the clear necessity of both the TransPacific and TransAtlantic Trade Partnerships to pass.  The last thing the US economy needs is a President against these two key Trade Agreements.

But guess what?  The two leading Democratic Presidential candidates and the leading Republican candidate have all boldly announced that they are against the TransPacific Trade Partnership.

I'll make a prediction.  The next US President will be fervently for both the TransPacific and TransAtlantic Trade Agreements. 

I think for someone to be against the TransPacific Partnership shows that either they don't really understand what is necessary for capitalism to work or are so ambitious that they are willing to take a position on a critical economic issue that would seriously harm the country just to get elected US President.  Just sayin.
 
There clearly is a huge problem with US Income Inequality, but can you imagine how the US middle and lower economic classes would have fared if the Obama/Biden Administration and Fed Chair Ben Bernanke hadn't taken their economic actions.  It would have been extremely ugly even now.
 
And in similar fashion, can you imagine how the US middle and lower economic classes will fare if the TransPacific and TransAtlantic Partnerships don't pass?  It also will be ugly.  These critical partnerships will keep the world economy thriving economically for many years to come, with the resultant much higher company earnings.  The US Congress just needs to fulfill its role to ensure that these economic fruits are shared more fairly between the upper, middle and lower economic classes.
 
In viewing the very recent Democratic Presidential Debate held in Las Vegas, I thought Bernie Sanders was the clear winner of the debate.  But unless something were to change, I don't think any of the 5 Democratic Presidential Candidates on the stage would stand much of a chance against someone very formidable like Marco Rubio who like Barack Obama is also fervently for the TransPacific Trade Agreement.  

I do think that if Vice President Joe Biden were to enter the Presidential race, he would have a decent chance against Rubio.  I think Biden, with his extensive economic experience working hand-in-hand with President Obama, has a much better understanding of what it takes for the US economy to be successful than Rubio, Sanders or Clinton and the US economy will be the key issue in the 2016 US Presidential race. 
  
There's a misconception that the economic actions taken by the Obama/Biden Administration and the US Fed helped the largest US Companies more to recover from the 2008-9 financial meltdown than they did the smaller US Companies.  However, the relative earnings and losses numbers show just the opposite is the case.

When I stratify the earlier above chart, it shows that the 100 largest US Companies with Market Caps above US$41 bil had their 2014 Total Earnings increase by 267% over 2008 and the 100 second largest US Companies with Market Caps between US$23 Bil and US$41 Bil had their 2014 Total Earnings increase by 288% over 2008.  However, when I also include the 900 smaller US Companies with Market Caps between US$2.5 Bil and US$23 bil, the combined 2014 Total Earnings increase of all 1,100 US Companies explodes upwardly to a massive 1,827%.

Further, the 2014 Total Earnings Increase Over that in 2009 was 76% for the 100 largest US Companies, 137% for the second 100 largest US Companies and an incredible 1,562% for the 900 smaller US Companies.

The below chart shows this stratification:

 2014 2013 2012 2011 2010 2009 2008 2007

US GAAP US GAAP US GAAP US GAAP US GAAP US GAAP US GAAP US GAAP

Audited Audited Audited Audited Audited Audited Audited Audited

Net Net Net Net Net Net Net Net
Income Income Income Income Income Income Income Income
(Loss) (Loss) (Loss) (Loss) (Loss) (Loss) (Loss) (Loss)
 $ mils  $ mils  $ mils  $ mils  $ mils  $ mils  $ mils  $ mils









100 Largest (#1-#100)        627,653        650,857        568,947        581,687        516,202        357,164        170,905        402,626
….. Earnings % Increase 2014 Over 2008 267%






….. Earnings % Increase 2014 Over 2009 76%






….. Earnings % Increase 2013-14 Over 2008-09 142%






….. Earnings % Increase 2012-14 Over 2008-10 77%






….. Earnings % Increase 2014 Over 2007 56%















100 Second Largest (#101-#200)        144,539        136,407        115,024        107,233          93,357          60,860          37,266        106,684
….. Earnings % Increase 2014 Over 2008 288%






….. Earnings % Increase 2014 Over 2009 137%






….. Earnings % Increase 2013-14 Over 2008-09 186%






….. Earnings % Increase 2012-14 Over 2008-10 107%






….. Earnings % Increase 2014 Over 2007 35%















900 Smaller (#201-#1100)        309,603        384,469        271,161        210,491        203,104          18,632      (152,022)        154,934
….. Earnings % Increase 2014 Over 2008 304%






….. Earnings % Increase 2014 Over 2009 1562%






….. Earnings % Increase 2013-14 Over 2008-09 620%






….. Earnings % Increase 2012-14 Over 2008-10 1285%






….. Earnings % Increase 2014 Over 2007 100%







Next up ..... the twelfth hundred largest US Companies ..... #1101 through #1200.

 









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