The weak economic situation continues to make it difficult for Germany’s leading stock exchange companies. In the first nine months, the profit before taxes and interest (EBIT) of the 100 companies with the highest sales shrank to 102 billion euros – a decrease of 15 percent compared to the same period last year. This emerges from an analysis by the auditing and consulting firm EY, which is available to the German Press Agency.
According to the information, a good half of companies generated less profit than a year before. This means that the negative trend continues. It was the third decline in profits in a row, it was said.
In terms of sales, however, there is a slightly positive signal again for the first time in two years. The total revenue of the top 100 companies rose by 0.6 percent to around 1.55 trillion euros. However, growth was below the current inflation rate. After all: 58 percent of companies increased their revenues.
EY expert Jan Brorhilker (44) said: “2025 was another year of crisis for the German economy.” The weak economy, geopolitical conflicts and US trade policy resulted in reluctance to invest. In addition, Chinese companies are increasingly entering the global market, which means additional competition and cost pressure. “The heavily export-oriented German industrial companies in particular did not have an easy time of it in 2025.”
Corporations are on the brakes when it comes to new hiring
The tense situation is also leaving its mark on the labor market. The number of employees fell in 39 of the companies examined, while 47 reported an increase in employment. The rest did not provide any information. In total, around 17,500 jobs were lost from January to September, a decrease of 0.4 percent to a total of around 4.24 million employees worldwide. Since 2023, the number of employees has fallen by a total of around 100,000 jobs. The largest employer remains Volkswagen with around 633,000 employees DHL Group (around 537,000 employees) and Siemens (around 318,000 employees).
When it comes to new hires, many top companies are on the brakes. Jobs are being cut, especially in administration – especially in Germany, as Brorhilker explained. “We are also seeing effects from the increasing implementation of AI technologies. The situation on the labor market is likely to remain tense, especially for young professionals.”
Car manufacturer remains at the top despite major drawbacks
As in previous years, at the top of the sales ranking are the car manufacturers Volkswagen, BMW and Mercedes-Benz. The numbers also show the crisis in the German core industry: the total sales of the three companies only fell by 2 percent compared to the previous year to around 437.2 billion euros. Profit in day-to-day business, however, fell by 46 percent to around 17.8 billion euros in the first nine months, with the numbers falling to varying degrees depending on the manufacturer.
The top chemical companies were hit even harder, with profits falling by 71 percent. The technology sector, on the other hand, performed significantly better. IT companies were able to almost double their profits, and the healthcare sector also recorded strong profit growth with an increase of 40 percent. Telekom is at the top of the list of the most profitable companies: the group achieved an operating profit of 19.4 billion euros (plus 9 percent) in the first nine months. This is followed by Siemens, BMW and SAP.
The different crises affect companies differently. “The financial sector is doing relatively well, as are technology companies, and the defense industry is booming,” said Brorhilker. Many have also transformed their business model in recent years, fundamentally repositioned themselves and in some cases also turned to new markets.
Have you passed through the valley of tears?
Despite the difficult initial situation, Brorhilker is cautiously optimistic about the future. “There was mostly bad news from the German auto industry in 2025. But the strategic realignment and strong new models, especially in the electric segment, certainly offer the chance that the valley of tears will soon be overcome,” he said.
However, German industry will probably not become a growth engine in the new year either. This role continues to be played by other industries, such as the technology sector, says Brorhilker. “A calming of the geopolitical situation, combined with the federal government’s investment package, could initiate an economic turnaround from which many industries should benefit.”