The U.S. Commerce Department said Wednesday that the economy grew at a slightly stronger rate than thought in the third quarter because imports were not as hefty as first estimated.

Gross domestic product expanded at a 4% annual rate in the July-September quarter vs 3.9% as previously reported, a relatively robust pace that implied steady and sustained growth.

Wall Street economists’ had forecast that third-quarter GDP growth would be unrevised at 3.9% and was a step up from the second quarter’s 3.3% rate of GDP growth.

The economy has expanded at rates exceeding three percent for the past six quarters and seems poised to keep growing. The White House last Friday estimated GDP will expand 3.5% in 2005, a rate that economists consider “trend growth” that keeps unemployment from rising.

The third-quarter GDP report was a final estimate for economic performance in the period and included some data the department did not have a month ago. The report for GDP for the fourth quarter and all of 2004 will not be available until late January.

Corporate profits took a tumble in the third quarter, partly because of hurricanes that wracked Southeastern states in the period. Overall profits after taxes fell 4.2% to $864.7 billion, with the storms taking about $80 billion out of profits.

The profits drop was the biggest percentage decline since a 4.5% drop in the first quarter of 2003, after a 0.7% fall in the second quarter.