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
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.
Puma said sales declined notably in the second half of the year, while its profit margin fell by 260 basis points to 45%. Hugh Leask,chloe Taylor,holly Ellyatt, CNBC, 26 Feb. 2026 As a result, forward profit margin expectations are actively accelerating for companies successfully utilizing AI. Nick Lichtenberg, Fortune, 26 Feb. 2026 Its restaurant-level profit margin fell in the last quarter of that year, which the company attributed to an increase in food, beverage and packaging costs associated with romaine, arugula and tomato shortages. Bloomberg, Daily News, 26 Feb. 2026 When looking at patient care and related operations, 45 hospitals lost money, and only 28 made 4% or more, which the Colorado Hospital Association considers a sustainable profit margin. Meg Wingerter, Denver Post, 23 Feb. 2026 See All Example Sentences for profit margin

Browse Nearby Words

Cite this Entry

“Profit margin.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/profit%20margin. Accessed 16 Mar. 2026.

Last Updated: - Updated example sentences
Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!

More from Merriam-Webster