Impact of Joint Ventures on Equity Accounts

ABC Corp and XYZ Ltd. entered into a joint venture known as ABC-XYZ Ventures to develop a new technology product. Each company contributed equally in terms of capital and resources, and they will share profits and losses equally based on their contributions. ABC Corp holds a 50% stake in the venture, while XYZ Ltd. also holds 50%. The joint venture is accounted for using the equity method. This arrangement is expected to enhance the market penetration of both companies and diversify their product offerings.

Considering the implications of joint venture arrangements and the accounting treatment involved, what impact will the profits from the joint venture have on the equity accounts of ABC Corp?