Headlines
Europe Inc Q1 profits seen falling 2.2% amid tariff turmoil
Published by Global Banking & Finance Review®
Posted on April 8, 2025
1 min readLast updated: January 24, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on April 8, 2025
1 min readLast updated: January 24, 2026
European companies face a 2.2% drop in Q1 earnings due to tariff impacts, with revenue forecasts slightly improving to 4.4%.
(Reuters) -The outlook for European corporate health has deteriorated, the latest forecasts showed on Tuesday, heightening fears that a global trade war ignited by U.S. President Donald Trump's tariffs will hurt companies' earnings.
European companies are expected to report a drop of 2.2% in first-quarter earnings, according to LSEG I/B/E/S data, worse than the 1.5% drop analysts expected a week ago.
Consensus for revenue, however, improved with forecasts of a 4.4% increase, compared with a 4.2% increase expected last week.
This compares with a 3.3% drop in earnings and a 4.6% drop in revenues a year ago, the data showed.
(Reporting by Alessandro Parodi, editing by Jo Mason and Joe Bavier)
The article discusses the expected 2.2% drop in European corporate earnings for Q1, attributed to tariff impacts.
Revenue forecasts have improved slightly to a 4.4% increase, up from the previous 4.2% expectation.
Concerns are primarily due to tariffs imposed by U.S. President Trump, which could trigger a global trade war.
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