a profit warning

USAGE SUMMARY

The phrase "a profit warning" is correct and usable in written English.
It is typically used in a business context to indicate that a company expects to report lower profits than previously anticipated. Example: "The company issued a profit warning, stating that its earnings for the quarter would be significantly lower than expected."

✓ Grammatically correct

News & Media

Formal & Business

Human-verified examples from authoritative sources

Exact Expressions

60 human-written examples

The large drop in the company's share price was spurred by a profit warning.

BBC

But a profit warning?

Independent

The result was a profit warning.

Independent

Last October Carrefour issued a profit warning.

The Economist

It issued a profit warning in July 2001.

The Economist

The company issued a profit warning and its shares plummeted.

The Economist

Shell saw a 71% dive in earnings and a profit warning while BG, another rival, also issued a profit warning.

The Guardian - Business

"The new chief executive's baptism of fire continues as Tesco adds a profit warning to a profit warning.

The Guardian - Business

The company, controlled by Siemens, a German electronics giant, issued a profit warning in June.

The Economist

But this month, SodaStream issued a profit warning, cutting its forecast for this year.

Independent

A year ago KPN of the Netherlands was pushed into a profit warning.

The Economist

Expert writing Tips

Best practice

When reporting "a profit warning", clearly state the specific reasons cited by the company for the expected shortfall.

Common error

Avoid downplaying the significance of "a profit warning". It typically signals underlying issues that could affect investor confidence and stock prices.

Linguistic Context

The phrase "a profit warning" functions as a noun phrase, typically acting as the subject or object of a sentence. As demonstrated by Ludwig, it is used to describe a company's official notification that its anticipated profits will be lower than previously projected.

Expression frequency: Very common

Frequent in

News & Media

60%

Formal & Business

30%

Science

10%

Less common in

Academia

0%

Encyclopedias

0%

Wiki

0%

Ludwig's WRAP-UP

In summary, "a profit warning" is a noun phrase that serves as a crucial communication tool in the business and financial world. As Ludwig AI confirms, it's a grammatically correct and widely used term to describe a company's announcement of expected lower profits. The contexts in which it appears are primarily news and media, reflecting its role in informing the public about company performance. While the term itself is neutral, the news it conveys is typically negative, potentially impacting stakeholders and market values.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

Earnings warning

Focuses on the earnings aspect, which are anticipated to be lower than previously expected.

Lowered earnings forecast

Specifically indicates a reduction in the projected earnings.

Reduced profit outlook

Emphasizes a less optimistic view on future profitability.

Revised earnings guidance

Implies an update to previously given earnings expectations, typically downwards.

Downbeat financial forecast

General term for a pessimistic financial prediction.

Negative earnings revision

Highlights that the revision to earnings expectations is negative.

Revenue shortfall alert

Signals that the company's revenue is falling short of expectations.

Decreased profitability announcement

A formal declaration of reduced profitability.

Bleak financial outlook

Suggests a grim perspective on the company's financial future.

Weaker financial performance projection

Indicates an expectation of poorer financial results.

FAQs

How is "a profit warning" typically used in a sentence?

Usually, it describes a company's announcement that its profits will be lower than expected. For example, "The company issued "a profit warning" due to increased operating costs".

What are some alternatives to "a profit warning"?

You can use alternatives such as "earnings warning", "lowered earnings forecast", or "reduced profit outlook" depending on the context.

Why do companies issue "a profit warning"?

Companies issue "a profit warning" to inform investors about anticipated financial underperformance. This might be due to factors like decreased sales, increased expenses, or economic downturns.

What impact does "a profit warning" usually have on a company?

A profit warning often leads to a drop in the company's stock price as investors react to the news of lower expected profits.