Global Expenditures
Where the world’s money actually goes — and which companies and industries capture it.
Money has to go somewhere. Annual global government spending is roughly thirty trillion dollars; global healthcare ten trillion; pensions thirteen trillion. Military spending crossed two and a half trillion in 2024 and is rising. Interest on government debt is now a record three and a half trillion globally — and is the single fastest-growing line in many advanced-economy budgets. These are the rivers. The companies that drink from them — Aramco, Apple, Microsoft, Alphabet, NVIDIA, the global banking system, the pharmaceutical industry — are the largest concentrations of profit in human history. This page tracks both.
Part I · The largest categories of world spending
Eleven categories that, together, account for the lion’s share of where the world’s money goes each year. Figures are 2023–2024 estimates with named sources.
Government total spending (all levels, worldwide)
Pensions and social security, healthcare, education, defense, debt service, infrastructure.
Healthcare (public + private)
Hospitals, pharmaceuticals, devices, long-term care, administration.
Pensions & social security
Aging populations; pay-as-you-go funding largely from current workers’ contributions.
Education (public + private)
K-12, higher education, vocational training.
Military expenditure
Personnel, procurement, R&D, operations.
Interest on government debt
Stock of accumulated debt × prevailing interest rates. Sharp rise post-2022 as rates normalized.
Energy (oil, gas, coal — total revenue)
Volume × price × processing margin.
Banking & financial services (revenue)
Interest margins, fees, trading, asset management.
Climate and energy transition investment
Renewables, EVs, grid, hydrogen, efficiency.
Global advertising
Digital (~70%), TV, print, outdoor.
Pharmaceutical industry (revenue)
Patented therapies, biologics, generics, vaccines.
Part II · The most profitable companies on Earth
Net profit, most recently reported fiscal year. Ranked by absolute dollars of profit — not revenue, not market capitalization, not headline drama. The list compresses with surprising speed at the top.
| # | Company | Country | Net profit | Industry |
|---|---|---|---|---|
| 1 | Saudi Aramco | Saudi Arabia | $110B | Oil & gas |
| 2 | Apple | United States | $97B | Consumer electronics + services |
| 3 | Microsoft | United States | $88B | Software + cloud + AI |
| 4 | Alphabet (Google) | United States | $74B | Advertising + cloud + AI |
| 5 | NVIDIA | United States | $73B (FY2024, rising fast) | AI accelerators |
| 6 | ICBC | China | $54B | Banking |
| 7 | JPMorgan Chase | United States | $50B | Banking |
| 8 | Berkshire Hathaway | United States | $96B (one-time gains) | Conglomerate |
| 9 | Meta Platforms | United States | $62B | Advertising + AI |
| 10 | ExxonMobil | United States | $36B | Oil & gas |
| 11 | Chevron | United States | $21B | Oil & gas |
| 12 | Tencent | China | $26B | Internet + gaming |
| 13 | Samsung Electronics | South Korea | $26B | Electronics + memory |
| 14 | TSMC | Taiwan | $33B | Semiconductors |
| 15 | UnitedHealth Group | United States | $22B | Health insurance |
Part III · The highest-margin industries
Net margin — what share of revenue becomes profit — is the cleanest single read on pricing power and structural advantage. Notice the pattern: addictive consumption, software, regulated moats, brand pricing, and tax-advantaged ownership structures dominate. Defense is on the list but at a deliberately capped margin via cost-plus contracting.
| Industry | Net margin | Why |
|---|---|---|
| Tobacco | ~30% | Inelastic demand, addictive product, pricing power, low capital intensity. |
| Software (SaaS, established) | ~30% | Near-zero marginal cost; recurring revenue; high gross margins. |
| Banking (wholesale / investment) | ~25% | Maturity mismatch and balance-sheet leverage; high regulatory moat. |
| Luxury goods | ~22% | Brand pricing power; status signaling; supply-disciplined. |
| REITs (specialty) | ~20% | Pass-through tax treatment; long-duration cash flows. |
| Cosmetics | ~18% | Brand-driven pricing on low-cost-of-goods products. |
| Beverages (large-cap) | ~22% | Distribution moats; brand pricing power. |
| Pharmaceutical (large-cap) | ~20% | Patent monopoly; pricing power in non-negotiated markets (US). |
| Insurance (P&C, specialty) | ~10–15% | Investment float on premiums collected ahead of claims. |
| Defense (US primes) | ~8–10% | Cost-plus contract structures; concentrated buyer (USG) caps upside. |
What you just learned
The flows look enormous because they are enormous. But every river of spending has a small number of companies positioned at the receiving end. Knowing which categories are largest, which companies capture them, and what gives those companies their margin is the difference between watching the economy and reading it.