profit margin
noun
: the difference between the cost of buying or making something and the price at which it is sold
The company has one of the highest/lowest profit margins in the industry.
Examples of profit margin in a Sentence
Recent Examples on the Web
Gray's office called for the regulatory body to reduce AES' profit margin and slash its minimum monthly customer service charge, among other changes.
—
Jordan Smith, IndyStar, 9 Sep. 2025
The company’s net (after tax) profit margin is 30%.
—John Dorfman, Forbes.com, 8 Sep. 2025
Many economists have said that tariffs are beginning to show up in prices, which have been increasing over the past few months, while others have noted that companies may be using the tariffs as an excuse to raise prices independently of their cost and profit margin effects.
—Tobias Burns, The Hill, 4 Sep. 2025
Denver Health roughly broke even in 2024, with about a 1% profit margin.
—Meg Wingerter, Denver Post, 29 Aug. 2025
See All Example Sentences for profit margin
Examples are automatically compiled from online sources to
show current usage.
Read More
Opinions expressed in the examples do not represent those of Merriam-Webster or its editors.
Send us feedback.
Jordan Smith, IndyStar, 9 Sep. 2025
The company’s net (after tax) profit margin is 30%.
—John Dorfman, Forbes.com, 8 Sep. 2025
Many economists have said that tariffs are beginning to show up in prices, which have been increasing over the past few months, while others have noted that companies may be using the tariffs as an excuse to raise prices independently of their cost and profit margin effects.
—Tobias Burns, The Hill, 4 Sep. 2025
Denver Health roughly broke even in 2024, with about a 1% profit margin.
—Meg Wingerter, Denver Post, 29 Aug. 2025
See All Example Sentences for profit margin
Cite this Entry
“Profit margin.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/profit%20margin. Accessed 15 Sep. 2025.
Copy CitationLove words? Need even more definitions?
Merriam-Webster unabridged
Share