Use our Profit Margin Calculator to work out your profit, gross margin, net margin, and markup percentage in seconds. Simply enter your cost, selling price, and units sold to see your results instantly.
This free online tool is designed for business owners, e-commerce sellers, and finance students who need a quick and accurate way to calculate margins.
Profit margin shows how much profit your business makes compared to sales revenue. It is usually expressed as a percentage.
👉 Result:
Q: What is profit margin?
A: Profit margin is the percentage of sales revenue that turns into profit after costs.
Q: What is the difference between gross margin and net margin?
A: Gross margin only considers product costs (COGS), while net margin includes all expenses such as fees, ads, labour, and taxes.
Q: What is markup vs margin?
A: Markup is based on cost (profit ÷ cost), while margin is based on selling price (profit ÷ selling price).
Q: How do I calculate profit margin manually?
A: Profit Margin % = (Selling Price − Cost Price) ÷ Selling Price × 100.
Q: What is a good profit margin?
A: It depends on the industry, but most healthy businesses aim for 10–20% net profit margin.
Q: Can this calculator work for services as well as products?
A: Yes, as long as you know your costs and selling price, you can calculate service margins too.