HomeMathFinance HealthBlogAbout
💹 Finance

Profit Margin Calculator

Free profit margin calculator. Calculate gross margin, net margin, and markup percentage for any product or business.

💹
Profit Margin Calculator
Free · Instant · No Signup

Formula

Formula
Gross Margin = (Revenue − COGS) ÷ Revenue × 100
Gross margin uses Revenue and Cost of Goods. Net margin uses Revenue and all expenses. Markup = (Selling − Cost) ÷ Cost × 100.

Frequently Asked Questions

What is a good profit margin?+
Retail typically has 2-5% net margin. Software/SaaS 20-40%. Restaurants 3-9%. Higher margins mean more profit per dollar of revenue.
What is the difference between margin and markup?+
Margin is profit as a percentage of selling price. Markup is profit as a percentage of cost. A 50% markup equals a 33% margin.
How do I improve profit margin?+
Increase prices, reduce costs, improve operational efficiency, or focus on higher-margin products/services.
Is this profit margin calculator free?+
Yes, completely free with no signup required.

Related Calculators

💹
ROI Calculator
Finance
🏷️
Discount Calculator
Finance
💰
Sales Tax
Finance