European Companies Continue To Show Signs Of Recovery

European Companies Continue To Show Signs Of Recovery

One of the more puzzling themes that emerged from the financial crisis is the inability of European companies to return to the level of profitability they were able to achieve before the crisis took hold. And this is some that Barclays’ equity research team looked at in a research note sent out to clients at the beginning of this week.

European companies: Diverging fortunes 

Since the end of the 2008 crisis, US corporates have been on an efficiency drive, cutting costs and improving productivity to such a degree that they've been able to grow earnings to levels that are well above their highs seen in the previous cycle. This earnings growth has had an effect...