The world's 20 most profitable companies, ranked

Revealing the true global profit powerhouses

In today's cut-throat business landscape, most companies operate within razor-thin margins, scrambling for every scrap of profit. But a select few have an extraordinary knack for transforming enormous revenues into substantial profit.

To determine which firms are truly excelling, we analysed the latest Global Fortune 500 ranking to calculate each company's net profit margin. This crucial metric shows the percentage of a company’s sales that becomes profit, giving a clear picture of how lucrative the business really is.

So, which major firms are raking it in? Click or scroll on to discover the top 20 most profitable companies in the world today, based solely on their net profit margins. All dollar amounts in US dollars.

The most profitable industries globally

First, let's take a quick look at the most successful industries in the world by net profit margin.

The entertainment software sector is top of the pile, with an average profit margin of just under 25%, according to research from renowned NYU Stern professor Aswath Damodaran, updated in January. In second place is real estate investment trusts (REITS), basically firms that own shopping centres and other retail properties. Their average comes in at 21.06%. Completing the top three is oil and gas exploration and production, which typically returns 18.83%.

Now, let's dive into the world's top 20 companies by net profit margins...

20. China Construction Bank, net profit margin: 23.51%

One of three companies in the top 20 hailing from the People's Republic, China Construction Bank is among the nation's so-called Big Five state-owned banks and a major mortgage lender in the country. For the fiscal year ending in April 2024, which the latest Global Fortune 500 covers, it posted a $46.99 billion (£35bn) net profit against revenue of $199.83 billion (£149bn).

While the bank continues to generate enviable net earnings, it has struggled in recent years due to China's property crisis and wider economic slump, and its margins have become narrower.

=18. Alphabet, net profit margin: 24.01%

Google parent Alphabet is the fourth most profitable company in the world based on total profits, but ranks 19th by net profit margin. Still, 24.01% is not to be sniffed at – and the company continues to record stellar annual net profit growth, which stood at 23.1% at the last count.

Driving the firm's profitability are surging ad revenues, money-making forays in AI and cloud computing, and a laser focus on efficiency and cost-cutting.

=18. BHP Group, net profit margin: 24.01%

Australia's most profitable company, mining giant BHP Group delivered net earnings of $12.92 billion (£9.6bn) during the 12 months up to April 2024. But the figure was down by more than 50% compared to the previous financial year.

Lower prices for iron ore and other key commodities, coupled with weaker demand from China, have eaten into the firm's profits. Despite this, BHP's net earnings margin remains robust at 24.01%.

17. PDD Holdings, net profit margin: 24.24%

The youngest company in our round-up, PDD Holdings was founded only a decade ago in Shanghai. Now legally domiciled in Dublin, it's the parent of Chinese social commerce platform Pinduoduo and international online marketplace Temu, which has seen phenomenal growth during the past few years.

Profits surged by over 80% in the fiscal year ending in April 2024. That said, the company is currently experiencing a net earnings slump as domestic competition intensifies and trade uncertainty impacts its global business.

16. Petrobras, net profit margin: 24.3%

As we've seen, the oil and gas industry is remarkably lucrative. This is especially true for the exploration and production side, which is the world's third most profitable industry by net margin.

Brazilian state-owned behemoth Petrobras is the sector's second-best performer by this metric, with a margin of 24.3% compared to the industry average of 18.83%. The company puts an emphasis on low-risk, high-return projects and excels when it comes to hyper-efficient natural gas exploration and production, which all translate to bumper profits.

15. Saudi Aramco, net profit margin: 24.39%

Oil and natural gas titan Saudi Aramco is the world's most profitable company by total net earnings. During the 12 months up to April 2024, the figure stood at a staggering $120.7 billion (£90bn). Incredibly, that's more than the GDPs of wealthy Luxembourg and Iceland combined.

However, profits were down by almost a quarter compared to the previous year as oil prices softened following their spike in 2022. And prices for the commodity have continued to trend down, as have the state-controlled firm's net earnings and profit margin.

14. Apple, net profit margin: 25.31%

Apple is second only to Saudi Aramco when it comes to overall profitability. During the 2023 to 2024 fiscal year, the iPhone maker amassed a whopping net profit of $96.7 billion (£72bn). Like Saudi Aramco, Apple ranks lower for net profit margin – but at over a quarter of earnings, it's nevertheless a number most companies could only dream of.

That said, Apple's profits declined from the previous fiscal year and have failed to recover markedly, with lower demand for its smartphones, Macs, and iPads – especially in China – chiefly to blame.

13. Berkshire Hathaway, net profit margin: 26.4%

Berkshire Hathaway has consistently wowed with its exceptional profitability. Only Saudi Aramco and Apple post bigger numbers overall, and the Midas-touch conglomerate beats them both when it comes to net profit margin.

Berkshire Hathaway owns a diverse portfolio of thriving companies, from GEICO and Dairy Queen to Duracell, and holds significant stakes in the likes of Apple, American Express, and Coca-Cola. All this financial wizardry has been masterminded by investing legend Warren Buffett, who is stepping down as CEO at the end of this year, leaving a legacy of unparalleled success.

12. Novartis, net profit margin: 27.46%

Switzerland's Novartis is one of two straight pharmaceutical companies in this round-up. Unlike the other firm featured, which is profiting big-time from a single blockbuster medicine, Novartis' success is rooted in a diverse range of innovative, high-value drugs.

In any case, during the 2023 to 2024 fiscal year, Novartis posted a profit of $14.85 billion (£11bn), more than any other straight pharmaceutical firm. (Johnson & Johnson made even more but it's a diversified healthcare giant, not solely focused on pharmaceuticals).

11. Sberbank, net profit margin: 28.02%

Russia's largest bank, Sberbank is also the nation's most profitable company, both in terms of total net earnings and profit margin. The bank's profits were up an incredible 348.2% during the 2023 to 2024 fiscal year as it recovered from the impact of Western sanctions imposed following Russia's invasion of Ukraine in 2022.

With domestic interest rates high and the bank's ventures into areas such as AI paying off, its net earnings are hitting record levels.

10. China Merchants Bank, net profit margin: 28.96%

China Merchants Bank trails three of the state-owned Big Five when it comes to overall profits, but the financial institution is the nation's leader in the commercial sector and beats the rest when it comes to net profit margin.

Renowned for its innovation and high return rates for its millions of customers, the bank has proven more resilient than the competition amid China's economic woes.

9. Meta Platforms, net profit margin: 28.98%

Meta ranks both ninth globally for overall profitability and net profit margin, which stood at $39.1 billion (£29bn) and 28.98% respectively in the 2023 to 2024 fiscal year.

The Facebook and Instagram parent's net earnings were up 68.5% from the previous 12 months and have continued to soar, driven by strong ad revenue growth, increased user engagement, and the effective integration of the firm's AI offerings.

8. Microsoft, net profit margin: 34.15%

Microsoft boasts a rare and powerful combo, according to consulting firm Vici Partners. The tech leader, which is the world's second-most valuable company, combines colossal net income with an outstanding net profit margin. During the 2023 to 2024 fiscal year, the firm's net earnings reached $72.36 billion (£54bn), the fifth-largest total globally, with its profit margin outshining those in the same elite income bracket.

A richly diverse business at the vanguard of innovations like AI and quantum computing, Microsoft has an array of super-successful divisions from servers and cloud services to Windows, LinkedIn, and gaming – its fastest-growing segment.

7. Novo Nordisk, net profit margin: 36.03%

Novo Nordisk reported a $12.14 billion (£9bn) net profit for the 2023 to 2024 tax year, an increase of more than 50% from 2022. Incredibly, the Danish drugmaker has become the key engine of economic growth in its home country, with its market value even surpassing Denmark's GDP for a time last year. So, what's the secret to its spectacular success?

The answer lies in semaglutide, the blockbuster active ingredient behind Ozempic and Wegovy, the revolutionary weight-loss meds that have transformed the treatment of diabetes and obesity. With global sales off the scale, the miracle ingredient has turbo-charged Novo Nordisk's bottom line and propelled it into the pharmaceutical major league.

6. Johnson & Johnson, net profit margin: 36.93%

Johnson & Johnson's net profit hit $35.15 billion (£26bn) during the 2023 to 2024 fiscal year, an astonishing 95.9% increase from the previous 12 months. This dramatic upswing was largely courtesy of a humongous cash injection resulting from the spin-off of its consumer health division, Kenvue.

While the big jump was a one-off, the US healthcare giant is seeing solid growth in various areas, most notably across its pharmaceutical and medtech divisions.

5. UBS Group, net profit margin: 39.09%

During the 2023 to 2024 financial year, UBS Group's net profit surged by 265%, coming in at $27.85 billion (£21bn). Strong market conditions and the Swiss bank's acquisition of its long-time rival Credit Suisse worked wonders during those 12 months, boosting the institution's bottom line.

Since then, UBS Group's profits have fallen back as the costs associated with the purchase have kicked in and market conditions have worsened.

4. Broadcom, net profit margin: 39.31%

Chipmakers dominate the top five, taking up three spots, a testament to the stunning profitability of the global semiconductor industry. US manufacturer Broadcom's net profit for the 2023 to 2024 financial year stood at $14.08 billion (£10.5bn), an increase of 22.5% from the previous 12 months.

While costs associated with its acquisition of VMware have since dampened down the figure, the purchase is nevertheless starting to pay off nicely. And with AI-related sales and other revenue streams buoyant, Broadcom is now reporting record revenues.

3. TSMC, net profit margin: 39.4%

The world's number one producer of microchips, Taiwanese firm TSMC saw a profit dip in the 2023 to 2024 fiscal year as demand for its semiconductors waned. Yet the company still managed to achieve a net income margin of 39.4%.

Adding to the good news, TSMC has since bounced back and recently reported a near 68% increase in profit year-on-year, driven primarily by its AI chips, which are selling like hotcakes.

2. Nvidia, net profit margin: 48.85%

Staying with chip companies, Nvidia is now the most valuable business on the planet and the first in history to surpass a market cap of $4 trillion (£3tn). Amazingly, the Silicon Valley company has achieved this while maintaining extremely high profit margins.

The firm, which operates on a fabless model, meaning it designs semiconductors but doesn't manufacture them, has been riding high on the AI boom – Nvidia leads the world in the chips that power the technology.