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to-increase-profit-margins

/tuː ɪnˈkriːs ˈprɒfɪt ˈmɑːdʒɪnz/
IELTSAcademic
verb

To raise the amount of money a business keeps from each sale. It means increasing profit compared with costs or sales.

  • The company wants to increase profit margins this year.
  • We need better pricing to increase profit margins.
  • Higher margins can make a business more stable.

Adinary Nuance

This phrase is more specific than increase profit. Profit can grow because sales rise, but profit margins rise only when the business keeps more from each sale. It is also different from cut costs: cutting costs is one way to increase profit margins, but not the only way.

In other languages

Vietnamese
tăng biên lợi nhuận
Spanish
aumentar márgenes de beneficio
Chinese
提高利润率
Japanese
利益率を上げる
Korean
이익률을 높이다

Etymology

This is a modern business phrase built from increase, profit, and margin. It became common in finance and management English in the late 20th century.

Common phrases

increase profit marginsexpand profit marginsimprove profit marginsprotect profit margins

Synonyms

Related words

Frequently asked questions

Is increase profit margins formal or informal?
It is formal business English. People use it in reports, meetings, and presentations.
What is the difference between profit and profit margin?
Profit is the money left after costs. Profit margin is profit as a share of sales.
Can a company increase profit margins without raising prices?
Yes. It can also reduce costs, improve efficiency, or sell more profitable products.
Is this phrase common in IELTS writing?
Yes. It is useful in business, economics, and company-growth topics.