what is profit percentage in gas satiation business in Virgina USA ?



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    I don’t know about Virginia specifically, but the typical retail gas station in the US shows profit of about 1 cent to 5 cents per gallon on gasoline. Rarely they might make 10 cents, and also rarely they would take a loss on gasoline. Their greatest profit comes on things like bottled water, soda, packaged snacks, etc. on which the markup is often 100% or more.

    Generally, they are probably pretty close to the US business average profit margin, which for the retail sector averages 2% to 5% (the reference cited says 2%, I’ve seen other retail averages somewhat higher). That means for every dollar of revenue (income), they have profit of 2 to 5 cents.

    The very low profit margins of gasoline stations is why companies like Exxon have sold all their company-owned stations. Company-owned stations, because of higher overhead, would often operate at a loss, even with the mark-up on non-gasoline items. Gasoline sales amounts to a loss-leader in many cases, especially in states where percentage sales taxes apply to gasoline – as the price goes up, that percentage increases, leaving less and less for “profit”.

    Credit card fees also used to climb with the price as they were usually 3%  – that means on $1 per gallon gasoline, the company paid 3 cents to the credit card company. At $3 per gallon, they paid 9 cents – which would usually be more than their profit. Some credit card companies have changed this to a flat fee, which at least can help keep the store from taking a loss on gasoline, but I do not know to what extent that concept has been applied nationally.

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