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
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For example, of 11 S&P 500 sectors – groupings of stocks according to industry and function – three are reporting an increase in net profit margin in the final three months of 2025 compared to the fourth quarter 2024.
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Andrea Riquier, USA Today, 1 Feb. 2026
Before the pandemic, Bati’s Legesse says her restaurant had a 6% to 7% profit margin.
—Irene Adeline Milanez, Bon Appetit Magazine, 28 Jan. 2026
That premium above spot, which typically ranges from 1% to 5%, covers the dealer's costs for manufacturing, distribution and profit margin.
—Angelica Leicht, CBS News, 9 Jan. 2026
The profit margin from the sale of Rubio’s Miami Beach home could help cover these and other expenses.
—Sarah Moreno, Miami Herald, 7 Jan. 2026
See All Example Sentences for profit margin
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Andrea Riquier, USA Today, 1 Feb. 2026
Before the pandemic, Bati’s Legesse says her restaurant had a 6% to 7% profit margin.
—Irene Adeline Milanez, Bon Appetit Magazine, 28 Jan. 2026
That premium above spot, which typically ranges from 1% to 5%, covers the dealer's costs for manufacturing, distribution and profit margin.
—Angelica Leicht, CBS News, 9 Jan. 2026
The profit margin from the sale of Rubio’s Miami Beach home could help cover these and other expenses.
—Sarah Moreno, Miami Herald, 7 Jan. 2026
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 3 Feb. 2026.
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