Profit Margin Calculator
Calculate gross profit margin, net profit margin, and markup percentages for your business. Analyze profitability and optimize pricing strategies.
Financial Information
Enter your revenue and cost information
Total sales income before any deductions
Direct costs: materials, labor, manufacturing
Rent, salaries, marketing, utilities, etc.
Profit Margin Formulas
Gross Profit Margin:
(Revenue - COGS) ÷ Revenue × 100Net Profit Margin:
(Revenue - COGS - Expenses) ÷ Revenue × 100Markup on Cost:
(Selling Price - Cost) ÷ Cost × 100Industry Benchmarks
Retail:2-6% net margin
Restaurants:3-5% net margin
Software:15-25% net margin
Healthcare:8-15% net margin
Manufacturing:5-10% net margin