Stock Markets July 11, 2026 08:25 AM

Morgan Stanley: Corporate America Is Reporting Tangible Profit and Productivity Gains From AI

Analysis of thousands of earnings calls shows a rising share of firms citing measurable financial benefits from AI, with adoption spreading beyond tech companies

By Nina Shah
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A Morgan Stanley review of more than 17,000 corporate earnings calls and presentations found an increasing number of U.S. companies reporting quantifiable benefits from artificial intelligence. The bank reports growth in management commentary linking AI to revenue, cost savings and productivity improvements, with notable examples across industries including travel, technology, telecoms and energy.

Morgan Stanley: Corporate America Is Reporting Tangible Profit and Productivity Gains From AI
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Key Points

  • Morgan Stanley analyzed more than 17,000 earnings calls and presentations and found rising references to measurable AI benefits in Q2.
  • Among firms classified as AI adopters, 40% cited at least one measurable benefit in Q2, up from 37% in the prior quarter and 21% a year ago; about one-quarter of S&P 500 firms noted quantifiable AI benefits, versus 14% a year earlier.
  • Technology (51%), communication services (44%) and financial companies (37%) were the most likely to report quantifiable AI gains; sectors impacted include technology, telecoms, financials and energy.

More U.S. companies are moving past general statements about artificial intelligence and are instead pointing to measurable financial and productivity gains from the technology, Morgan Stanley said in a recent report. The findings help address investor concerns that heavy AI investment has yet to yield concrete returns.

The bank examined over 17,000 corporate earnings calls and conference presentations and observed that mentions of quantifiable AI benefits continued to increase in the second quarter. That rise was particularly pronounced among companies Morgan Stanley classifies as AI adopters, where management teams more frequently cited outcomes such as revenue growth, lower operating costs and productivity improvements.

Morgan Stanley reported that 40% of companies it views as AI adopters referenced at least one measurable benefit from AI during the second quarter. That figure exceeded the 37% recorded in the prior quarter and was nearly double the 21% reported a year earlier. Looking at the broader S&P 500, roughly one-quarter of firms discussed quantifiable AI benefits in the second quarter, up from about 14% a year ago.

According to the bank, corporate commentary has shifted from experimental or pilot use cases toward concrete business outcomes. Financial benefits - including revenue generation, lower operating costs and capital efficiency - made up the largest portion of AI-related remarks, with productivity improvements the next most common theme.

Technology companies were the most likely to highlight measurable AI gains, with 51% citing quantifiable benefits. Communication services companies followed at 44%, and financial firms at 37%, indicating that the discussion is extending beyond traditional technology firms into other sectors of the economy.

The report also noted a growing emphasis on AI's effects on employment, although labor-related discussion remains less prevalent than commentary on productivity. Approximately 10% of S&P 500 companies mentioned labor implications in the second quarter, up from around 6% a year earlier. Among the AI adopters cohort, that share rose to 18%.

Rather than emphasizing sweeping layoffs, many companies described AI as a tool to slow the pace of hiring, automate routine tasks and raise output and sales without proportionate increases in headcount. Morgan Stanley identified the fastest-growing theme as "revenue-headcount decoupling," where businesses use AI to boost revenue and output while keeping employee growth relatively flat.

The report cited several company examples that illustrate measurable gains from AI investments. Airbnb Inc. has reduced customer-service costs through AI, while HP Inc. has set a target of $1 billion in annual savings from AI-enabled operations. Verizon Communications reported more than $200 million in energy savings linked to AI, and Exxon Mobil is using AI to compress drilling data analysis from years into weeks.


Implications for investors and markets - The findings suggest an expanding set of corporates are beginning to demonstrate tangible returns from AI spending. The trend touches sectors including technology, communication services, financials and energy, and has implications for revenue efficiency, operating-cost trajectories and workforce planning.

Risks

  • While discussion of AI's labor impacts is increasing, only about 10% of S&P 500 companies referenced labor implications in Q2, suggesting workforce effects remain uncertain and uneven across sectors - impacting labor-intensive industries and those undergoing automation.
  • The reported benefits are concentrated among firms Morgan Stanley classifies as AI adopters, so broader corporate outcomes may vary and not all sectors or companies will realize comparable financial gains - creating uneven sectoral impact.
  • Management commentary shows the largest share of AI-related remarks concern financial benefits and productivity, but the extent to which these improvements sustain over time is not addressed in the report, leaving uncertainty about long-term capital efficiency and operating-cost trajectories.

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