unprofitability

unprofitability — noun

1. the state of not making enough money to cover costs, so a business, product, or

1.nounC1
Definition

the state of not making enough money to cover costs, so a business, product, or investment does not bring a profit

Example

The company closed two stores after years of unprofitability in small-town markets.

years of unprofitability

Mina blamed the farm's unprofitability on rising feed costs and weak demand.

Common collocations
  • persistent unprofitability
  • chronic unprofitability
  • years of unprofitability
  • address unprofitability
  • unprofitability of the business
  • unprofitability in the sector
Synonyms
  • loss

    refers to the actual negative financial result, not the general state of failing to make money

  • deficit

    more technical; focuses on a shortfall in an account, budget, or balance

  • poor returns

    more everyday and often used for investments rather than whole businesses

Antonyms
  • profitability

    the direct opposite; the ability or state of earning more than costs

  • profit

    the actual money made, rather than the condition behind it

Grammar Patterns

the unprofitability of [something]

years of unprofitability

unprofitability in [business area]

Usage Note

Usually appears in reports, board discussions, and financial analysis rather than casual conversation. Most often follows 'the ... of' or appears with adjectives such as 'continued', 'chronic', and 'persistent'.

Common Mistakes

The shop had an unprofitability for years.
The shop suffered from unprofitability for years.
This noun is uncountable, so do not use it with 'a'.
The company is unprofitability now.
The company is unprofitable now.
Use the adjective 'unprofitable' after 'be', not the noun 'unprofitability'.

Word family

Synonym discussion

Sense: noun/1

These words all describe financial trouble, but they focus on different problems. Unprofitability is the broad state of not earning enough money to cover costs over time. A loss is the actual negative result in a period or on a deal, such as losing ten thousand dollars in one quarter. A deficit is more technical and often names the amount by which spending is greater than income in a budget or account. Insolvency is more serious still: it means a person or company cannot pay debts when they are due. A business can face unprofitability for months before it becomes insolvent. For example, a restaurant may report losses in winter, show a budget deficit, and still avoid insolvency if it has cash reserves.

Common collocations

Phrases

  • period of unprofitability
  • return to profitability
  • suffer from unprofitability
  • unprofitability of a business

Prepositions

Etymology

LatinFrenchEnglish

Formed from the adjective 'unprofitable' and the noun-forming suffix '-ity', meaning 'the state or quality of'. 'Unprofitable' adds the negative prefix 'un-' to 'profitable'. 'Profit' entered English through Old French from Latin 'profectus', a word connected with progress, increase, and advantage.

First known use

1824

1824, in the meaning defined above