Considering continuation of low employment costs and minimal net interest expense profit margins pre-and-after tax hang in.

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Another provision would disallow a portion of net interest expense to the extent a domestic company is considered as having excess domestic indebtedness.

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This rule can apply where there is a relatively greater amount of indebtedness in the U.S. than offshore, and net interest expense exceeds a specified percentage of adjusted taxable income.

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American Express reported another strong quarter of earnings as total revenues, net of interest expense and provisions for losses increased 4% year-on-year, for the three months ending March.

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For the period ended Dec. 30, Wendy's Co. said its net income rose sharply because of a larger tax benefit and lower interest expense.

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As the bank incurs an interest expense on its deposit base, more deposits mean lower net interest margins.

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While an increase in prime loan rates will likely impact both interest income as well as interest expense for Wells Fargo, the fact that Wells Fargo derives the majority of its funding from low cost core deposits will help the firm restrain its interest expense even as interest rates increase and thus boost its net interest margins.

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