BEA news release: National Income and Product Accounts Gross Domestic Product, 1st quarter 2013 (third estimate);  Corporate Profits, 1st quarter 2013 (revised estimate), June 26, 2013

“Corporate prrofits from current production (corporate profits with inventory valuation and capital consumption adjustments) decreased $28.0 billion in the first quarter, in contrast to an increase of $45.4 billion in the fourth quarter. Current-production cash flow (net cash flow with inventory valuation adjustment) — the internal funds available to corporations for investment — increased $125.6 billion in the first quarter, in contrast to a decrease of $89.8 billion in the fourth. Taxes on corporate income decreased $10.5 billion in the first quarter, compared with a decrease of $4.4 billion in the fourth. Profits after tax with inventory valuation and capital consumption adjustments decreased $17.5 billion in the first quarter, in contrast to an increase of $49.8 billion in the fourth. Dividends decreased $103.5 billion, in contrast to an increase of $124.3 billion. The large fourth-quarter increase reflected accelerated and special dividends paid by corporations at the end of 2012 in anticipation of changes to individual income tax rates. Current-production undistributed profits increased $85.8 billion, in contrast to a decrease of $74.3 billion. Domestic profits of financial corporations decreased $3.4 billion in the first quarter, compared with a decrease of $3.5 billion in the fourth. Domestic profits of nonfinancial corporations decreased $5.0 billion in the first quarter, in contrast to an increase of $24.8 billion in the fourth. In the first quarter, real gross value added of nonfinancial corporations increased, and profits per unit of real value added decreased. The decrease in unit profits reflected an increase in the unit nonlabor costs incurred by corporations that was partly offset by a decrease in unit labor costs; unit prices were unchanged. The rest-of-the-world component of profits decreased $19.6 billion in the first quarter, in contrast to an increase of $24.1 billion in the fourth. This measure is calculated as (1) receipts by U.S. residents of earnings from their foreign affiliates plus dividends received by U.S. residents from unaffiliatedforeign corporations minus (2) payments by U.S. affiliates of earnings to their foreign parents plus dividends paid by U.S. corporations to unaffiliated foreign residents. The first-quarter decrease was accounted for by a larger decrease in receipts than in payments.”