The share of value generated by EU businesses that goes towards profits rather than wages fell to 40.1% last year, a decline of 1.6 percentage points from the previous year.
The figure measures the "profit share" for companies not working in the financial sectors non-financial companies and reflects the proportion of added value that rewards company owners rather than employees, Eurostat said releasing the data.
In practical terms, a lower percentage may signal either reduced profits for companies or a greater share of added value going to employees.
The long-term trend shows fluctuations, with the share standing at 40.4% in 2004 and peaking at 42.1% just before the financial crisis in 2007.
The lowest point was recorded in 2012 at 39.5%. After increasing to 42.1% in 2021, the figure has edged down with consecutive annual decreases, Eurostat said.
Wide range among EU countries
The data point to considerable differences between EU member states.
Ireland reported the highest profit share in 2024 at 74.9%, followed by Malta at 56.4% and Slovakia at 48.9%.
Ireland's figure is influenced by the presence of foreign-owned multinational companies with substantial capital investment.
At the other end of the scale, France, Slovenia and Portugal reported the lowest profit shares, with 32.2%, 33.4%, and 34.5% respectively.
