11 Most Profitable Companies In America in 2017

The 11 most profitable companies in America in 2017 made a heck of a lot of money last year. In fact, of the 11 most profitable companies in America in 2017, just three had net income of less than $15 billion during their latest fiscal year.

Unsurprisingly, when we look at the list of the most profitable companies in the world in 2017, it was largely unchanged from a year earlier, when Chinese banks dominated it, taking four of the top five spots on Forbes’ list of the 20 most profitable Global 2000 companies, and four of the top seven spots in terms of profit margin. As you can see in our list of the 11 most profitable companies in China, which shows their 2015 income, Chinese banks and tech companies are making a heck of a lot of yuan.

Of course, American companies are no strangers to profit themselves, as they tied Chinese companies in this year’s top 10, with each country having four companies in the top 10 in profit, which included having the most profitable company in the world in 2016 in the form of…well, let’s not spoil the surprise just yet. One Japanese company and one Swiss company rounded out the top 10.

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In terms of industry representation, it was again banks and tech companies that dominated the list, with eight banks or financial holding companies ranking in the top 10, while one tech company and one automaker made the list.

On the other hand, big oil companies didn’t have nearly as good of a year in 2016 as they did in 2015, as a full year of depressed crude prices weighed on margins and profits. Exxon Mobil’s earnings fell to $7.8 billion in 2016 from $16.2 billion in 2015, while Chevron fell to a loss of $497 million in 2016 from profit of $4.59 billion a year earlier. Halliburton also experienced a slightly-greater-than $5 billion decline in profit in 2016 compared to the previous year.

Without further ado, head to next page to begin the countdown of the 11 Most Profitable Companies In America in 2017.

11. Wal-Mart Stores Inc (NYSE:WMT) – $13.64 billion

Revenue juggernaut Wal-Mart Stores Inc (NYSE:WMT) kicks off the list, having managed $13.64 billion in net income from its $485.87 billion in fiscal 2017 revenue (its 2017 fiscal year ended January 31, 2017). Wal-Mart’s move to increase its entry level wages has paid off for the company in the form of improved productivity, though the company’s net income did slide by over $1 billion in its latest fiscal year. Wal-Mart Stores Inc (NYSE:WMT) was quite shareholder-friendly during that time, having returned $14.5 billion to shareholders through share buybacks and dividends.

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10. Altria Group Inc (NYSE:MO) – $14.24 billion

Tobacco giant Altria Group Inc (NYSE:MO) is next on our list of most profitable companies in America in 2017, having pulled in $14.24 billion in net income in 2016, despite cigarette shipments declining by 2.5% last year. Rising prices continue to help offset modest declines in cigarette sales. Altria Group’s Marlboro remains the dominant cigarette brand in the U.S, with market share of 44%, while Altria Group Inc (NYSE:MO) has 51% share of the overall U.S market.

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9. Citigroup Inc (NYSE:C) – $14.91 billion

Citigroup Inc (NYSE:C) is the first of four investment banks to make the list of the 11 Most Profitable Companies In America in 2017, thanks to its $14.91 billion in 2016 net income. Citi is also off to a strong start to 2017, having recently reported Q1 revenue of $18.1 billion and EPS of $1.35, with the latter figure beating estimates by $0.11. Citigroup Inc (NYSE:C) estimated that a 25bp rate hike would add $100 million per quarter to its top-line results.

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8. Johnson & Johnson (NYSE:JNJ) – $16.54 billion

Consumer goods giant Johnson & Johnson (NYSE:JNJ) finished 2016 as the eighth-most profitable company in America, with $16.54 billion in net income. Johnson & Johnson (NYSE:JNJ) is facing some pressure in the U.S however, where its pharmaceutical sales declined by 0.4% in the first quarter of 2017, with Invokana sales in the U.S slumping by 17% during Q1.

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7. Microsoft Corporation (NASDAQ:MSFT) – $16.80 billion

Microsoft Corporation (NASDAQ:MSFT) is the first of three tech behemoths to make the list of most profitable companies in America in 2017, with $16.80 billion in fiscal year 2016 net income (the company’s 2016 fiscal year ended June 30, 2016). The fourth quarter of its 2016 fiscal year was a strong one, with operating income in the company’s More Personal Computing segment rising by 59% year-over-year, while overall operating income rose by $2 billion in its fiscal 2016, to $20.18 billion.

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6. Bank of America Corp (NYSE:BAC) – $17.91 billion

Bank of America Corp (NYSE:BAC)’s net income grew by over $2 billion in 2016, hitting $17.91 billion for the year. Total assets grew by a modest $29 billion during the year to reach $2.19 trillion, while total deposits grew by $67 billion during the year. Bank of America Corp (NYSE:BAC)’s efficiency ratio improved to 53% in the fourth quarter of 2016, from 58% a year earlier.

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5. Alphabet Inc (NASDAQ:GOOGL) – $19.48 billion

Alphabet Inc (NASDAQ:GOOGL) holds down fifth position on our list of most profitable companies in America in 2017, with $19.48 billion in 2016 net income. Alphabet’s noteworthy ‘Other Bets’ division has slowly begun to increase its revenue and trim its losses, while advertising revenue has remained robust. Alphabet Inc (NASDAQ:GOOGL) has also experienced some success with Google Home and its Pixel phones, the latter of which the company appears to be prepared to churn out annually going forward in an attempt to steal some of rival Apple’s smartphone thunder.

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4. Wells Fargo & Co (NYSE:WFC) – $21.94 billion

Wells Fargo & Co (NYSE:WFC) ranks 4th on the list of the Most Profitable Companies In America in 2017 after pulling in $21.94 billion in profit last year. While profit was down by $760 million from a year earlier, that was partially due to a $592 million one-time charge incurred during the fourth quarter, which was related to its interest rate hedges. Mortgage fees were also a sore spot for the bank in the final quarter of 2016, amounting to $1.4 billion, about $200 million below its average quarterly haul over the past three years.

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3. Berkshire Hathaway Inc. (NYSE:BRK.A) – $24.08 billion

Warren Buffett‘s holding company was the third-most profitable company in America last year, with an impressive $24.08 billion in net income. The fourth quarter was particularly strong for the company, with $6.29 billion in net income during the period, up by $810 million year-over-year. Some of the holding company’s big purchases in 2016 included battery-maker Duracell and Precision Castparts.

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2. JPMorgan Chase & Co. (NYSE:JPM) – $24.73 billion

$6.7 billion in fourth quarter earnings propelled JPMorgan Chase & Co. (NYSE:JPM) to $24.73 billion in 2016 net income and a second-place finish on our list of most profitable companies in America in 2017. JPMorgan Chase & Co. (NYSE:JPM)’s investment banking division was particularly strong during Q4, with profit nearly doubling year-over-year to $3.4 billion, which was aided by a 6% cut in expenses. Profit from the company’s commercial banking operations was also strong, gaining 25% year-over-year in Q4, while the asset management division’s profit jumped by 16%.

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1. Apple Inc. (NASDAQ:AAPL) – $45.69 billion

Apple Inc. (NASDAQ:AAPL) topped all American companies in net income in 2016, and it wasn’t even close. Apple raked in $45.69 billion in net income during its latest fiscal year, nearly $21 billion more than its closest competitor, JPMorgan. Amazingly, that total was actually down by $7.7 billion from a year earlier, as iPhone sales declined year-over-year during each of the final three quarters of Apple’s fiscal 2016, while the iPhone’s average selling price also declined in each quarter of its previous fiscal year. It’s estimated that Apple sold over 11 million Apple Watch units in 2016 (not to be confused with the company’s fiscal 2016, which ended September 30), which would’ve given it about a 49% share of the market. Apple Inc. (NASDAQ:AAPL) has refused to divulge specific Watch sales figures.

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That wraps up our countdown of the 11 Most Profitable Companies In America in 2017. Were there any surprises? And can anyone possibly top Apple in 2017? Let our readers know in the comments.

Disclosure: None