This is a McDonald's restaurant in Pittsburgh on Saturday, April 23, 2022. (AP Photo/Gene J. Puskar, File)
It was an upbeat day on Wall Street despite the dreary New York City weather. A number of large corporations from different industries reported soaring profits in the last quarter of 2022, when many market-watchers predicted that the U.S. economy was hurtling toward a recession.
Here are some of the biggest names to release their earnings:
General Motors
The Detroit automaker reported a 16 percent year-over-year jump in net income for the fourth quarter fueled by an uptick in factory production that pushed up U.S. sales. The sales raked in an adjusted $2.12 earnings per share, well above FactSet estimates of $1.69. In addition, the company made big investments in electric vehicles, including $650 million into developing a lithium mine in Nevada. GM's stock popped 9 percent after the bell Tuesday morning.
Exxon
Exxon Mobil brought in $12.75 billion in profits and $55.7 billion in net income, blowing past its previous record of $45.22 billion in 2008. The oil giant benefited from a combination of rising demand and tight supply as world energy markets tried to bounce back from the impact of the war in Ukraine. The price of oil ranged from $70 to $90 a barrel during the quarter. Over the same period, Exxon also completed the expansion of its Beaumont Refinery in Texas.
McDonald's
McDonald's reported that global same-store sales increased 12.6 percent in the last quarter with the help of Adult Happy Meals and limited-time promotions. Retiring the McRib also helped bring in customers looking for one last bite of the popular sandwich. The company pointed out that it increased sales despite raising prices, and that many customers traded down to cheaper items but kept patronizing the business. Earnings also beat Wall Street earnings by a small margin after CEO Chris Kempczinski said he expects inflationary pressures to continue.
It’s a chicken-and-egg problem: Restaurants are struggling with record-high U.S. egg prices, but their omelets, scrambles and huevos rancheros may be part of the problem. Breakfast is booming at U.S. eateries. First Watch, a restaurant chain that serves breakfast, brunch and lunch, nearly quadrupled its locations over the past decade to 570. Fast-food chains like Starbucks and Wendy's added more egg-filled breakfast items. In normal times, egg producers could meet the demand. But a bird flu outbreak that has forced them to slaughter their flocks is making supplies scarcer and pushing up prices. Some restaurants like Waffle House have added a surcharge to offset their costs.
William Falcon, CEO and Founder of Lightning AI, discusses the ongoing feud between Elon Musk and Sam Altman, and how everyday people can use AI in their lives.
U.S. tariffs on steel and aluminum “will not go unanswered,” European Union chief Ursula von der Leyen vowed on Tuesday, adding that they will trigger toug
The Trump administration has ordered the Consumer Financial Protection Bureau to stop nearly all its work, effectively shutting down the agency that was created to protect consumers after the 2008 financial crisis and subprime mortgage-lending scandal. Russell Vought is the newly installed director of the Office of Management and Budget. Vought directed the CFPB in a Saturday night email to stop work on proposed rules, to suspend the effective dates on any rules that were finalized but not yet effective, and to stop investigative work and not begin any new investigations. The agency has been a target of conservatives since President Barack Obama created it following the 2007-2008 financial crisis.
Jeff Benedict, author of 'The Dynasty,' weighs in on the Kansas City Chiefs being the next big dynasty, who he thinks will win Super Bowl LIX and more. Watch!
