Margin Expansion
Margin expansion is an increase in a company's profit margin over time, driven by pricing power, operating leverage or cost discipline. It is one of the most valued dynamics in an earnings call because it compounds — the same revenue converts into more profit.
Seen in a real earnings call
“HubSpot is headed as we transform with AI. I am excited to share how this is going to drive durable revenue growth and margin expansion in the years ahead. All right. In terms of our agenda, I'm going to start by sharing how the solid foundation that…”HubSpot, Inc. (HUBS) — earnings call, September 17, 2026