Profit Margin Calculator

Calculate gross margin, operating margin, net margin, and markup percentage in real time.

Revenue

Cost of Goods Sold

Operating Expenses

Other Expenses (Tax, etc.)

Gross Margin

40.00%

Operating Margin

25.00%

Net Margin

20.00%

Markup %

66.67%

Revenue$10,000.00

- Cost of Goods Sold-$6,000.00

= Gross Profit$4,000.00

- Operating Expenses-$1,500.00

= Operating Profit$2,500.00

- Other Expenses-$500.00

= Net Profit$2,000.00

Revenue Breakdown

Net Profit Other Operating COGS

Margin Types Explained

Gross Margin

(Revenue - COGS) / Revenue x 100. Shows how efficiently you produce goods or services.

Operating Margin

(Revenue - COGS - Operating Expenses) / Revenue x 100. Reflects core business profitability.

Net Margin

Net Profit / Revenue x 100. The bottom-line profitability after all expenses.

Markup vs Margin

Markup = (Revenue - Cost) / Cost. Margin = (Revenue - Cost) / Revenue. A 50% markup equals ~33% margin.