Feb 21, 2013 12:56
Gas prices continue to rise, but interestingly enough, only a small portion of the profit is actually going into the pockets of gas station owners. According to data from Sageworks, private gas stations have lower net profit margins than the average private company.
“The average private company is making roughly eight cents of profit for every dollar of revenue brought in,” said Sageworks analyst Libby Bierman. “The owners of privately held gas stations, however, are making less than three cents for every dollar. In fact, for at least each of the past ten years, the industry has had a net profit margin of less than 3 percent, at times as low as 1 percent.” [More]