Profit-margin meaning

A ratio that shows the percentage of profits that are earned on sales. When the term “profit margin” is used, it usually refers to a gross profit margin. See also gross profit margin, operating profit margin, and net profit margin.
0
0
The ratio of net income to net sales of a company expressed as a percentage.

For example, if a company has $10,000 net income and $100,000 net sales, then profit margin equals ($10,000 : $100,000) .10, or 10%.

noun
0
0
Advertisement

Profit-margin Sentence Examples

  • remediate the site for housing would, possibly, significantly dent the developer's desired profit margin.

  • Taking the necessary steps to remediate the site for housing would, possibly, significantly dent the developer 's desired profit margin.

  • For example if a store buys a computer for $90 and sells it for $100 then that store made $10 or had a 10% profit margin on that item.

  • To get the full benefit out of a loss leader, many times retailers will put the sale item towards the back of the store or someplace where the customer has to walk past many other things that have a higher profit margin.

  • This way, they at least fill-up the ship and improve the profit margin.

More sentences →

Related articles

Also Mentioned In

Words near profit-margin in the Dictionary