Profit Margin Calculator

Calculate your gross profit and margin percentage.

Gross Profit ₹
Profit Margin %
Markup %

Margin = (Revenue - Cost) / Revenue

Markup = (Revenue - Cost) / Cost

How to Use Profit Margin Calculator?

  1. Enter Cost: Input the total cost to produce or purchase the product (COGS).
  2. Enter Revenue: Input the selling price or total revenue generated.
  3. Analyze: The tool instantly calculates Gross Profit, Profit Margin (%), and Markup (%).
  4. Adjust: Tweak the revenue or cost to see how it affects your margin targets.

Margin vs Markup

Margin is profit as a percentage of revenue (Sale Price). Markup is profit as a percentage of cost.
Example: Cost $100, Sell $150 → Margin 33.3%, Markup 50%.

Frequently Asked Questions

Because Margin is divided by the Revenue (a larger number), while Markup is divided by the Cost (a smaller number). The profit amount is the same, but the denominator changes.
Generally yes, as it means you keep more profit per sale. However, setting prices too high to achieve high margins might reduce sales volume.
Yes, if your Cost is higher than your Revenue, you are selling at a loss, resulting in a negative profit margin.