Finance
Profit Margin Calculator
Calculate profit, markup, and gross margin from cost and revenue.
Use the tool
Enter your values below. Inputs stay in your browser.
Instant result
Ready
Enter values and calculate
Your result will appear here.
Share this tool
Referencing this tool on a website?
Copy an attribution link. It is optional and does not change free access.
Transparent methodology
What the result includes—and what it does not
Built for sellers comparing gross profit, margin, and markup for one product.
Calculation method
- 1Gross profit = selling price − product cost.
- 2Gross margin = gross profit ÷ selling price.
- 3Markup = gross profit ÷ product cost.
Assumptions and limits
- Use the fully loaded unit cost if you want the result to reflect payment, packaging, fulfilment, and marketplace costs.
- Gross margin is not net margin and does not include overhead, payroll, tax, refunds, or customer acquisition unless included in cost.
Worked example
$40 cost sold for $75
Input: $40 unit cost and $75 selling price.
Output: $35 gross profit, 46.67% gross margin, and 87.50% markup.
How to use it
Three steps. One clear answer.
- 1Enter or paste the values requested by the tool.
- 2Review the input units and choose any relevant options.
- 3Calculate, then copy or download the result you need.
Built for trust
Useful without the friction.
- No registration or paywall before your result.
- Responsive controls for phone, tablet, and desktop.
- Clear assumptions and warnings where estimates have limits.
Frequently asked questions
How does the Profit Margin Calculator work?
Gross profit = selling price − product cost. Gross margin = gross profit ÷ selling price. Markup = gross profit ÷ product cost.
What should I check before using the result?
Use the fully loaded unit cost if you want the result to reflect payment, packaging, fulfilment, and marketplace costs. Gross margin is not net margin and does not include overhead, payroll, tax, refunds, or customer acquisition unless included in cost.
How current is this page?
The methodology and source notes were reviewed on 2026-07-24. Editable rates and inputs should still be checked against the provider or authority linked below.
Keep solving
Related finance tools
Mortgage Calculator
Estimate monthly mortgage payments, total interest, and total repayment cost.
FinanceLoan Calculator
Calculate a loan payment schedule from principal, rate, and term.
FinanceCompound Interest Calculator
Project investment growth with regular compounding and contributions.
FinanceROI Calculator
Calculate return on investment from cost and final value.
FinanceCurrency Converter
Convert major world currencies using current reference exchange rates.
FinanceVAT Calculator
Add or remove value-added tax and show the net and tax amounts.
Finance