📈 U.S. Financial Corporation Profits Growth: 18.3% CAGR (1985–2006) vs. 2.4% (2007–2024)

U.S. Financial Corporation Profits Growth: Sharp Decline from 18.3% CAGR (1985–2006) to 2.4% (2007–Q2 2024)

After experiencing a robust compound annual growth rate (CAGR) of 18.3% between 1985 and 2006, U.S. financial corporation profits slowed significantly, growing at just 2.4% from 2007 to Q2 2024. During this latter period, inflation averaged 2.5% annually, down from 8.8% in the earlier timeframe. Financial corporation profits outpaced nonfinancial corporations by a factor of three from 1985 to 2006 but underperformed by 40% between 2007 and Q2 2024. Adjusted for inflation, real profit growth for financial corporations during the recent period was negative.