It’s shaping as much as be an awesome quarter for Europe’s largest firms — no because of Europe.

There have been, after all, a couple of outliers — Novartis
NVS,
-1.53%,
as an example, disenchanted — but it surely’s been a robust quarter for Europe’s main firms.

If there’s one factor that weaves these disparate producers of injectable medicine, purses and lithography methods is that none are depending on Europe for gross sales.

More than half of Novo Nordisk’s gross sales got here from the U.S., with all of Europe, the Middle East and Africa accounting for barely over 20%. LVMH’s regional breakdown is extra balanced, although Europe’s 25% share is flattered by gross sales to Asian vacationers visiting Paris. Just 4% of ASML’s shipments had been to Europe, Middle East and Africa final yr.

Granted, Europe’s largest firms have lengthy adjusted to the Continent’s stagnant financial system. That was introduced into focus this week by knowledge displaying the eurozone financial system grew by simply 0.5% final yr, in comparison with 2.5% within the U.S. Over an extended time-frame, the U.S. financial system has outgrown eurozone GDP by greater than 20% for the reason that century began.

According to Goldman Sachs, European earnings when weighted for market cap have stunned 2% to the upside. By distinction, an equal-weighted have a look at European earnings exhibits a 1% miss.

The smallest 200 of the Stoxx 600
XX:SXXP
have reported a 5% miss, which Goldman attributes partly to “high domestic exposure.”