Better, but still not great. That's what analysts are forecasting for corporate revenue growth in the first quarter.
Across the Standard & Poor's 500 index, analysts are forecasting revenue growth of 3 percent, compared with the first quarter of last year. That may not sound like much, but it's far better than the prior quarter's 1.6 percent growth.
The strongest results are likely to come from companies that sell non-essential goods and services. In the first quarter, shoppers spent more on clothes and other items, and analysts expect to see a 14.3 percent jump in revenue for those businesses.
Apparel company Michael Kors, for example, will report a 36 percent surge in revenue to $813 million, analysts say. At Mohawk Industries, which sells carpets and other flooring, an improving housing market is expected to have helped fuel a 25 percent increase in first-quarter revenue to $1.87 billion.
The ability to grow revenue is key for companies because many are running out of other ways to boost profits. Businesses slashed expenses during the recession, and some are now looking to spend more on workers, technology or construction projects. Associated Press
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