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
In June, Air Canada will temporarily suspend a handful of its routes from the US that have a small profit margin.
—
Jessica Puckett, Condé Nast Traveler, 28 Apr. 2026
The city fixed one-way fares at 5 cents, which was good for working-class passengers but kept the streetcar companies operating on a razor-thin profit margin.
—Richard Selcer, Fort Worth Star-Telegram, 25 Apr. 2026
CareTrust, which now owns more than 500 senior housing and nursing home buildings, reported net income last year of $320 million from $476 million in rents and other revenue — a 67% profit margin.
—Jordan Rau, Miami Herald, 23 Apr. 2026
Aaron Powell, founder of Bunch Bikes, an electric bike manufacturer, said the company's profit margin dropped and sales shrank even after raising the cost of an e-bike from $5,799 to $6,599.
—Megan Cerullo, CBS News, 21 Apr. 2026
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.
Jessica Puckett, Condé Nast Traveler, 28 Apr. 2026
The city fixed one-way fares at 5 cents, which was good for working-class passengers but kept the streetcar companies operating on a razor-thin profit margin.
—Richard Selcer, Fort Worth Star-Telegram, 25 Apr. 2026
CareTrust, which now owns more than 500 senior housing and nursing home buildings, reported net income last year of $320 million from $476 million in rents and other revenue — a 67% profit margin.
—Jordan Rau, Miami Herald, 23 Apr. 2026
Aaron Powell, founder of Bunch Bikes, an electric bike manufacturer, said the company's profit margin dropped and sales shrank even after raising the cost of an e-bike from $5,799 to $6,599.
—Megan Cerullo, CBS News, 21 Apr. 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 2 May. 2026.
Copy CitationLove words? Need even more definitions?
Merriam-Webster unabridged
