S&P 500 companies are wrapping up one of their strongest reporting periods in years, according to a note from Goldman Sachs chief U.S. equity strategist David Kostin. With about 92% of the index having delivered second-quarter results, aggregate earnings per share rose 11% from a year earlier, almost triple the 4% analysts had penciled in. Roughly 80–84% of firms exceeded profit forecasts, and 60% beat by more than one standard deviation—both metrics standing at their highest levels in four years. Revenue surprises were almost as broad, with close to 70% of companies topping expectations. Corporate managers cited cost cuts, supply-chain shifts and selective price increases to blunt the impact of Washington’s 145% tariff on Chinese imports, while a weaker dollar lifted overseas sales. Profit margins proved more resilient than feared, prompting 58% of companies to raise full-year guidance—double the share that upgraded outlooks after the first quarter. The wave of upbeat commentary has pushed Citigroup’s gauge of earnings-estimate revisions to its strongest reading since December 2021 as analysts marked up forecasts for the rest of the year. The earnings windfall has helped drive the S&P 500 about 10% higher in 2025 and 29% above its April low, setting successive record highs and easing worries that tariff pressures or a cooling labor market would choke growth. Goldman expects the pace of estimate upgrades to moderate, but says companies appear well positioned to sustain margins even as cost pressures persist.