Profit Margin Calculator

Enter cost and revenue to see your profit, margin and markup.

Result

40%
Profit margin
$40.00
Profit
66.67%
Markup

Formula

Margin = (Revenue − Cost) / Revenue × 100%. Markup = (Revenue − Cost) / Cost × 100%.

Worked example

Cost $60, sell for $100 → Profit $40, margin 40%, markup 66.67%.

About the profit margin calculator

Profit margin is one of the clearest signals of business health. A healthy margin gives you room to reinvest, weather downturns and reward the team.

Frequently asked questions

What is a good profit margin?+

It varies by industry — 10% net margin is average, 20%+ is strong.

Margin vs markup — which do I quote?+

Retailers usually price with markup and report performance with margin.

Related calculators