Profit Margin Calculator
Calculate your profit margin, gross margin percentage, and markup percentage from revenue and cost. Understand the difference between margin and markup at a glance.
How to Use
Enter your revenue (selling price) and cost (what you paid). Click calculate to see your gross profit in dollars, profit margin as a percentage, and markup percentage. You can calculate for a single item or your total business figures.
Formulas
Profit = Revenue - Cost
Margin % = (Profit / Revenue) × 100
Markup % = (Profit / Cost) × 100
Margin is the percentage of the selling price that is profit. Markup is the percentage added to the cost to get the selling price. A 50% markup results in a 33.3% margin. They measure the same profit from different perspectives.