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Margin Calculator

Finance
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Calculates profit margins for businesses based on revenue and cost of goods sold.

More tools:Finance Calculators
How To Use

How to use this calculator

Start with your values, or try a preset.

Step 1

Enter Revenue, Cost of Goods Sold, and Operating Expenses in the units shown.

Step 2

Read Gross Profit, Net Profit, Gross Profit Margin, and Net Profit Margin in the results panel. Results update as you change the inputs.

Step 3

Choose a preset to load an example, then adjust the values for your situation.

Worked Examples

Example calculations

See the inputs and their calculated results.

Example 1

Revenue: 100,000 USD; Cost of Goods Sold: 60,000 USD; Operating Expenses: 15,000 USD

Gross Profit: 40,000 USD; Net Profit: 25,000 USD; Gross Profit Margin: 0.4 %; Net Profit Margin: 0.25 %

Example 2

Revenue: 500,000 USD; Cost of Goods Sold: 300,000 USD; Operating Expenses: 75,000 USD

Gross Profit: 200,000 USD; Net Profit: 125,000 USD; Gross Profit Margin: 0.4 %; Net Profit Margin: 0.25 %

Example 3

Revenue: 250,000 USD; Cost of Goods Sold: 150,000 USD; Operating Expenses: 40,000 USD

Gross Profit: 100,000 USD; Net Profit: 60,000 USD; Gross Profit Margin: 0.4 %; Net Profit Margin: 0.24 %

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Important

Treat this output as a planning estimate and confirm rates, tax rules, and contract terms before making financial decisions.