Georgia’s biggest companies generated big profits last year — and are expected to do it again this year — with the help of cost-cutting and a reviving economy. Nationwide, the continued rise in corporate profits has helped push the stock market to roughly double its low point of three years ago.
As a group, Georgia’s 13 largest publicly traded companies on the Fortune 500 list, which ranks them by revenue, posted $24.8 billion in total profits in 2011. In percentage terms, most firms reported double-digit profit increases last year. Atlanta-based SunTrust Banks led the pack in percentage terms, going from a loss in 2010 to a $678 million profit last year. The bank expects to cut $300 million from its annual expenses through job cuts, branch closures and other moves.
Not all is rosy. Wall Street analysts recently trimmed their profit expectations slightly for 2012 in the wake of the financial crisis and likely recession in Europe. But they’re still expecting the 13 Georgia companies’ total net income to go up about 17 percent this year, to $28.8 billion, based on profit projections compiled by Bloomberg.
Georgia company profits
Profits rose by double-digit percentages last year for most of Georgia’s largest publicly traded companies, ranked by sales as they appear on the Fortune 500 list. They’re generally expected to do the same this year.
Home Depot
• 2011 net income: $3.9 billion
• Change from 2010: 19.1 percent
• 2012 profit estimate: $4.2 billion
• Change from 2011: 7.4 percent
UPS
• 2011 net income: $4.2 billion
• Change from 2010: 23 percent
• 2012 profit estimate: $4.7 billion
• Change from 2011: 11.8 percent
Coca-Cola
• 2011 net income: $8.7 billion
• Change from 2010: -26.8 percent
• 2012 profit estimate: $9.2 billion
• Change from 2011: 5 percent
Delta Air Lines
• 2011 net income: $719 million
• Change from 2010: -6.5 percent
• 2012 profit estimate: $1.9 billion
• Change from 2011: 170.7 percent
Aflac
• 2011 net income: $2.2 billion
• Change from 2010: -15.6 percent
• 2012 profit estimate: $2.9 billion
• Change from 2011: 35.9 percent
Southern Co.
• 2011 net income: $2.2 billion
• Change from 2010: 11.6 percent
• 2012 profit estimate: $2.3 billion
• Change from 2011: 5.9 percent
Genuine Parts
• 2011 net income: $565 million
• Change from 2010: 20 percent
• 2012 profit estimate: $614 million
• Change from 2011: 8.7 percent
SunTrust Banks
• 2011 net income: $678 million
• Change from 2010: N/A*
• 2012 profit estimate: $899 million
• Change from 2011: 32.7 percent
AGCO
• 2011 net income: $432 million
• Change from 2010: 108.9 percent
• 2012 profit estimate: $502 million
• Change from 2011: 16.1 percent
Coca-Cola Enterprises
• 2011 net income: $718 million
• Change from 2010: 16.9 percent
• 2012 profit estimate: $696 billion
• Change from 2011: -3 percent
Newell Rubbermaid
• 2011 net income: $213 million
• Change from 2010: -27.6 percent
• 2012 profit estimate: $428 billion
• Change from 2011: 101 percent
Mohawk
• 2011 net income: $178 million
• Change from 2010: 6.7 percent
• 2012 profit estimate: $241 billion
• Change from 2011: 35.2 percent
NCR
• 2011 net income: $110 million
• Change from 2010: -9.9 percent
• 2012 profit estimate: $242 billion
• Change from 2011: 120.8 percent
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Note: includes all unusual charges and gains
*SunTrust went from a loss in 2010 to a profit in 2011.
Source: Bloomberg LP earnings reports and consensus of analysts’ estimates
