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Profit Margin Calculator

Calculate gross profit, margin, and markup from cost and revenue.

Guide & tutorial
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How to use profit margin calculator

  1. Enter Total cost and Total revenue for the same scope and currency.
  2. Choose Calculate to obtain gross profit, gross margin, and markup.
  3. Compare the revenue-based margin with the cost-based markup.

Work through an example

Compare cost and revenue to see why the same gross profit produces different margin and markup percentages.

Calculate gross margin and markup without mixing their bases →

Formats, privacy, and practical limits

Illustrative calculations based on the values you enter. Figures exclude fees, taxes, and rate changes unless you include them. Returns are assumptions, not guarantees.

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Frequently asked questions

Why are margin and markup different?

Margin divides gross profit by revenue, while markup divides gross profit by cost. The same profit amount therefore has different percentage bases.

What happens when cost is zero?

The tool still reports profit and margin for positive revenue, but displays markup as undefined because its cost denominator is zero.