EUROSTAT European Union Statistical Office : Business investment rate up to 23.3% in the euro area

7/2019 - 11 January 2019

First release for the third quarter of 2018

Business investment rate up to 23.3% in the euro area

Business profit share down to 40.3%

In the third quarter of 2018, the business investment rate was 23.3% in the euro area, compared with 23.0% in the previous quarter.

The business profit share in the euro area was 40.3% in the third quarter of 2018, compared with 40.6% in the second quarter of 2018.

These data come from a first release of seasonally adjusted quarterly European sector accounts from Eurostat, the statistical office of the European Union, and the European Central Bank (ECB).

Investment rate and profit share of non-financial corporations in the euro area

(seasonally adjusted)

Investment rate

26%

25%

24%

23%

22%

21%

20%

44%

43%

42%

41%

40%

39%

38%

Q1 Q1

2007

Q2 Q2

Q3 Q3

Q4 Q4

Q1 Q1

2008

Q2 Q2

Q3 Q3

Q4 Q4

Q1 Q1

2009

Q2 Q2

Q3 Q3

Q4 Q4

Q1 Q1

2010

Q2 Q2

Q3 Q3

Q4 Q4

Q1 Q1

2011

Q2 Q2

Q3 Q3

Q4 Q4

Profit share

Q1 Q1

2012

Q2 Q2

Q3 Q3

Q4 Q4

Q1 Q1

2013

Q2 Q2

Q3 Q3

Q4 Q4

Q1 Q1

2014

Q2 Q2

Q3 Q3

Q4 Q4

Q1 Q1

2015

Q2 Q2

Q3 Q3

Q4 Q4

Q1 Q1

2016

Q2 Q2

Q3 Q3

Q4 Q4

Q1 Q1

2017

Q2 Q2

Q3 Q3

Q4 Q4

Q1 Q1

2018

Q2 Q2

Q3 Q3

Q4 Q4

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

Geographical information

The euro area (EA19) consists of 19 Member States: Belgium, Germany, Estonia, Ireland, Greece, Spain, France, Italy, Cyprus, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Austria, Portugal, Slovenia, Slovakia and Finland, plus the European Central Bank and the European Stability Mechanism.

Methods and definitions

The gross investment rate of non-financial corporations is defined as gross fixed capital formation divided by gross value added. This ratio relates the investment of non-financial businesses in fixed assets (buildings, machinery etc.) to the value added created during the production process.

The profit share of non-financial corporations is defined as gross operating surplus divided by gross value added. This profitability-type indicator shows the share of the value added created during the production process remunerating capital. It is the complement of the share of wage costs (plus other taxes less other subsidies on production) in value added.

The compilation of the European sector accounts follows the European System of Accounts 2010 (ESA2010) and covers the period from the first quarter of 1999 onwards.

Institutional sectors bring together economic units with broadly similar characteristics and behaviour, namely: households (including non-profit institutions serving households), non-financial corporations, financial corporations, government and the rest of the world. In the latter, to measure the external transactions of the euro area / European Union, it is necessary to remove cross-border flows within the area concerned.

Eurostat's website includes detailed annual and quarterly sector accounts of Member States of the European Economic Area and derived key indicators published around 120 days after each quarter (which also cover annual indicators such as debt-to-income ratios). A subset of quarterly key indicators is published around 94 days after each quarter.

Revisions and timetable

Compared with data released on 26 October 2018, the investment rate of non-financial corporations for the second quarter of 2018 has been revised from 22.9% to 23.0%.The profit share of non-financial corporations for the second quarter of 2018 has been revised from 40.8% to 40.6%.

The complete set of sectoral data will be updated in the dedicated section of the Eurostat website on 29 January 2019.

For more information

Eurostatquarterly data on sector accounts (including complete euro area dataset - previous vintage) Eurostatannual data on sector accounts (including complete euro area dataset - previous vintage) Eurostatmetadata on European sector accounts compilation

Detailed data and methodology on the Eurostat websitehere and on the ECB websitehere Eurostat €-indicatorsrelease calendar

Issued by: Eurostat Press Office	For further information:
Baiba GRANDOVSKA	Peter GAL
Tel: [phone]	Orestis TSIGKAS
[e-mail]	Tel: [phone]
[e-mail]

EurostatStatistics

ec.europa.eu/eurostat/

@EU_EurostatMedia requests: Eurostat media support / Tel: [phone] /[e-mail]

Key indicators and growth rates of selected transactions of the euro area (EA19)

Investment rate, %		Profit share, %		Nominal growth, % change compared with the previous quarter (seasonally adjusted)
2007	Q1	24.0	24.4	44.2	42.1	2.4	4.3	1.8
	Q2	24.6	24.1	41.3	42.3	1.5	0.3	1.0
	Q3	23.3	23.8	43.5	42.5	1.4	0.3	1.2
	Q4	25.6	25.1	40.2	42.2	0.7	5.9	1.1
2008	Q1	23.9	24.1	43.4	41.5	1.4	-2.5	2.8
	Q2	24.5	24.2	41.1	41.8	0.9	1.0	0.2
	Q3	23.3	24.0	42.4	41.1	-0.2	-0.8	1.0
	Q4	23.6	23.2	37.7	40.1	-2.5	-5.9	-0.8
2009	Q1	21.8	22.0	41.1	38.7	-3.4	-8.1	-1.3
	Q2	21.4	21.0	37.8	39.0	-0.4	-5.3	-0.9
	Q3	20.6	21.3	41.2	39.7	1.2	2.8	0.2
	Q4	21.4	21.0	37.5	39.8	0.4	-0.9	0.2
2010	Q1	20.8	21.0	41.6	39.6	0.0	0.1	0.3
	Q2	21.9	21.5	38.8	40.1	1.5	3.5	0.6
	Q3	20.9	21.6	41.7	40.4	1.2	1.7	0.8
	Q4	21.8	21.4	38.6	40.5	1.1	0.3	0.9
2011	Q1	21.7	22.0	42.5	40.4	0.9	3.6	1.1
	Q2	22.4	21.9	38.7	40.3	0.9	0.7	0.9
	Q3	21.6	22.3	41.6	40.1	0.0	1.9	0.4
	Q4	22.6	22.1	37.9	39.9	0.2	-1.0	0.5
2012	Q1	22.0	22.3	41.9	39.5	-0.2	0.9	0.5
	Q2	22.6	22.1	37.4	39.2	-0.1	-1.0	0.3
	Q3	21.3	22.0	40.6	39.2	0.1	-0.2	0.1
	Q4	22.0	21.5	36.9	38.8	-0.3	-2.5	0.4
2013	Q1	21.0	21.1	41.3	39.3	0.4	-1.3	-0.3
	Q2	22.1	21.6	37.7	39.2	0.5	2.9	0.6
	Q3	21.0	21.7	41.1	39.6	1.1	1.5	0.5
	Q4	22.2	21.7	37.9	39.7	0.4	0.4	0.3
2014	Q1	21.4	21.8	41.9	39.5	0.6	0.6	0.9
	Q2	22.1	21.6	37.7	39.6	0.7	0.0	0.5
	Q3	21.4	22.1	41.2	39.8	1.0	3.6	0.7
	Q4	22.5	22.0	38.0	39.8	0.8	-0.1	0.7
2015	Q1	21.1	21.4	42.9	40.5	1.7	-0.8	0.5
	Q2	24.8	24.2	38.9	40.6	1.1	14.1	1.0
	Q3	21.4	22.2	42.2	40.7	1.1	-7.3	0.9
	Q4	23.2	22.7	39.2	41.0	1.3	3.8	0.8
2016	Q1	22.5	22.8	42.9	41.1	0.9	1.1	0.7
	Q2	23.6	23.1	39.9	41.2	0.8	2.4	0.6
	Q3	22.4	23.2	42.4	40.9	0.4	0.6	0.9
	Q4	23.8	23.2	39.4	41.2	1.3	1.1	0.8
2017	Q1	22.6	23.0	42.9	40.8	0.8	0.2	1.5
	Q2	23.7	23.1	39.4	41.1	1.5	1.8	1.1
	Q3	21.7	22.4	42.8	41.3	1.4	-1.5	0.9
	Q4	23.3	22.7	38.8	40.9	0.7	1.9	1.3
2018	Q1	22.7	23.1	42.8	41.0	1.1	2.6	1.1
	Q2	23.5	23.0	39.4	40.6	0.4	0.1	1.1
	Q3	22.6	23.3	41.7	40.3	0.9	2.5	1.3

The source dataset is availablehere.

Not seasonally adjusted

Seasonally adjusted

Not seasonally adjusted

Seasonally adjusted

Gross value added

Gross fixed capital formation

Compensation of employees andothertaxes lesssubsidies on production