Startups may cast incumbents as hapless Goliaths, but in ranking Europe’s biggest companies, David is nowhere to be seen.
Minus a merger here and an acquisition there, Europe’s business giants remain largely unchanged from two—or even 20—years ago. Every company in the Fortune 500 Europe top 10 has roots from before the Second World War. The oldest, Banco Santander, was founded in 1857.
They’re hardly struggling: Total revenue for the 500 rose 2.5% to $14.9 trillion, and market capitalization climbed 13.7% to $15.9 trillion. Profits, however, slipped 5.1% to $978.2 billion.
That doesn’t mean Europe’s largest businesses are standing still. The three largest sectors by revenue—finance (107 companies, $3.5 trillion), energy (71 companies, $3 trillion), and motor vehicles and parts (23 companies, $1.4 trillion)—are all being reshaped by digital technology and in the case of energy, renewables. Yet even in these fast-changing industries, the dominant players are still long-established incumbents rather than upstart disrupters. There are no fintechs among the 500; the highest-ranking newcomer in finance is Italy’s CDP Group (No. 122), founded in 1850. The top pure-play renewables firm, wind-turbine manufacturer Vestas (No. 226), got started in 1945.
Will this change in the coming years? Will disruptive tech firms eclipse carmakers and banks? Possibly, but it hasn’t happened yet. None of the 14 tech companies on the list are new to the 500, and nine saw revenue declines over the past year, suggesting we’re more likely to see tech implemented within other industries rather than emerge as a dominant sector in its own right.
The three largest sectors by revenue—finance, energy, and motor vehicles and parts…
AI will undoubtedly play a major role, regardless of sector. Still, predictions that it will provide a dramatic boost to productivity or reduce employment aren’t yet showing up in the data: Total employment by the 500 rose 3.7% to 34.9 million, while revenue per employee fell by 1.1% to $426,376.
What we could see next year is a shift in national rankings. Germany, Europe’s largest economy, has led the Fortune 500 Europe since its debut in 2023, but economic stagnation is starting to take a toll. The number of German firms has dropped from 80 to 77 over the past couple of years—it’s now only one ahead of Britain.
The U.K. cohort already generates the most profit—$157.2 billion, compared with $128.3 billion for Germany and $148 billion for France’s 64 companies. With Britain’s strongest sector, finance, benefiting from higher interest rates, and Germany’s motor vehicles and parts, struggling with tariffs and weak demand, the rivalry between the two economies is one to watch.