Unprofitable describes something that loses money rather than making it. When a business is unprofitable, it spends more money than it earns from selling its products or services. A lemonade stand becomes unprofitable if you spend five dollars on lemons and sugar but only collect three dollars from customers.

The word combines “un” (meaning not) with “profitable” (meaning money-making). Something profitable brings in more than it costs; something unprofitable does the opposite. A movie might be unprofitable if it cost $100 million to make but only earned $60 million at the box office.

Companies can survive being unprofitable for a while if they have savings or investors willing to support them, but eventually most businesses need to become profitable or they'll run out of money and close. Sometimes a new business starts out unprofitable while building its customer base, hoping to become profitable later.

The word can also describe activities that waste time without producing worthwhile results. You might realize that arguing with your sister about whose turn it is to do the dishes is unprofitable when you could both finish the job in two minutes by working together instead.