reducing earnings

USAGE SUMMARY

The phrase "reducing earnings" is correct and usable in written English. You can use it in contexts discussing financial performance, cost-cutting measures, or impacts on profitability. For example: "The company's new strategy is focused on reducing earnings to reinvest in growth." Alternative expressions include "lowering profits" and "diminishing income."

✓ Grammatically correct

News & Media

Formal & Business

Human-verified examples from authoritative sources

Exact Expressions

20 human-written examples

Under the old rules, companies generally amortized the good will over many years, reducing earnings each quarter.

The New York Times

This is debt that will be paid back by Carlyle in the future, reducing earnings for public shareholders.

The New York Times

Cash leaves the firm for their pockets without being booked as a cost or reducing earnings per share (EPS).

The Economist

The company stepped up liquidation of slow-selling products at its American stores, reducing earnings by $50 million, or 20 cents a share.

The New York Times

The bulk of the charges are noncash and although they have the effect of reducing earnings, they do not impact the company's operating cash flow, analysts note.

The New York Times

The Newmont Mining Corporation said yesterday that it would restate financial results from mid-1999, rearningsearnings by $6.5 million over the last three years.

The New York Times

Human-verified similar examples from authoritative sources

Similar Expressions

32 human-written examples

That, in turn, could reduce earnings.

The New York Times

In any other universe, costs reduce earnings.

The New York Times

Restructuring expenses will reduce earnings this year to $1.08 to $1.22 a share.

The New York Times

(Stock issues dilute existing stockholders and reduce earnings per share).

The New Yorker

The charge reduced earnings by 22 cents a share.

The New York Times

Expert writing Tips

Best practice

When discussing financial performance, use "reducing earnings" to clearly indicate a decrease in profits due to specific actions or market conditions.

Common error

Instead of saying "reducing earnings" without providing context, specify the reason for the reduction, such as "reducing earnings due to increased operating costs" to provide a more comprehensive understanding.

Linguistic Context

The phrase "reducing earnings" functions as a gerund phrase, often acting as a modifier or part of a larger verb phrase. As evidenced by Ludwig, it commonly describes actions or factors that cause a decrease in a company's profitability. Ludwig AI confirms its grammatical correctness and usability.

Expression frequency: Common

Frequent in

News & Media

80%

Formal & Business

15%

Science

5%

Less common in

Academia

0%

Encyclopedias

0%

Wiki

0%

Ludwig's WRAP-UP

In summary, "reducing earnings" is a grammatically sound and commonly used phrase that describes a decrease in a company's profits. Ludwig AI indicates its correctness and appropriate usage. It's frequently found in news and business contexts and serves to explain or analyze financial performance. While synonyms like "lowering profits" or "decreasing profitability" exist, "reducing earnings" provides a clear and direct way to address the concept. When using this phrase, ensure you provide sufficient context to explain the reason for the reduction. The most authoritative sources using this phrase include The New York Times and The Economist, reflecting its relevance in financial reporting.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

lowering profits

A more direct synonym for reducing earnings.

diminishing income

Emphasizes the decrease in income rather than the specific term earnings.

decreasing profitability

Focuses on the overall profitability metric rather than just earnings.

cutting into profits

Implies an action that actively reduces earnings.

eroding profitability

Suggests a gradual decline in profits.

depressing earnings

Suggests a significant and negative impact on earnings.

impacting profitability negatively

More formal and emphasizes the negative effect on profitability.

squeezing margins

Focuses on the reduction of profit margins.

lessening revenue

Shifts the focus to the revenue aspect affecting earnings.

affecting the bottom line

Refers to the overall impact on net income.

FAQs

How can I use "reducing earnings" in a sentence?

You can use "reducing earnings" to describe actions or events that lead to a decrease in a company's profits. For example, "The new regulations are "reducing earnings" for many businesses in the industry".

What is a synonym for "reducing earnings"?

Alternatives to "reducing earnings" include "lowering profits", "decreasing profitability", or "diminishing income", depending on the context.

What factors might lead to "reducing earnings" for a company?

Many factors can contribute to "reducing earnings", such as increased operating costs, decreased sales, economic downturns, or changes in tax regulations.

Is it always negative when a company is "reducing earnings"?

While often negative, "reducing earnings" can sometimes be a strategic decision. For instance, a company might intentionally "reducing earnings" in the short term to reinvest in long-term growth or to take advantage of tax benefits.