gross profit

American  

noun

1. gross receipts less the cost of goods or production but before the deduction of such other costs as rent or salaries.

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gross profit British  

noun

1. accounting the difference between total revenue from sales and the total cost of purchases or materials, with an adjustment for stock

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Compare meaning

How does gross-profit compare to similar and commonly confused words? Explore the most common comparisons:

• gross income vs. gross profit

Example Sentences

Ericsson dropped 0.6% in U.S. trading after the Swedish telecommunications company missed Wall Street’s sales target and reported that its gross profit margin fell over the first quarter.

From Barron's • Apr. 17, 2026

This expense line has been a concern for investors; SG&A costs as a share of gross profit rose to 95.4% in the fourth quarter from 91.4% a year ago.

From Barron's • Apr. 14, 2026

Licensing intellectual property is a super profitable business that allows Arm to command gross profit margins of 97% now.

From The Wall Street Journal • Mar. 26, 2026

Revenues, at $29.1 million, looked fine—Wall Street was looking for $28.6 million—but gross profit margins were a little weaker than expected.

From Barron's • Mar. 26, 2026

Therein unlawful combinations and unnatural restrictions are essential if those engaged would show a gross profit of even fifteen per cent. on their gross output.

From Frenzied Finance Vol. 1: The Crime of Amalgamated by Lawson, Thomas William

Related Words

• addition