5 Least Profitable Industries in the US

3. Real Estate (Operations & Services)

Gross margin: 31.13%

Net margin: -0.76%

Even though the real estate industry has seen huge growth in the last few years, it is still one of the only industries in the country to have negative net margins. Some of the biggest companies in the industry include American Realty Investors, Inc. (NYSE:ARL) and Doma Holdings Inc. (NYSE:DOMA) among others. The fall in margins in the industry can be seen by the latest results of American Realty Investors, Inc. (NYSE:ARL) whose EPS for Q1 2023 decline to $0.18 from $0.7 in Q1 2022.