Free finance calculator
Profit Margin Calculator
Calculate a straightforward gross profit, margin, and markup from the revenue and costs you enter. Use the same cost definition when comparing jobs, products, or proposals.
Calculate gross profit margin and markup
Compare sales revenue with the costs you choose to include.
Gross profit
₹30,000.00
Revenue minus the costs entered.
Gross margin
30%
Profit as a percentage of revenue.
Markup on costs
42.86%
Profit as a percentage of costs.
This is a simple gross-profit calculation. Decide consistently which direct and indirect costs you include; it is not a financial statement, tax calculation, or business valuation.
How to use this tool
- 1Enter revenue or the selling price for the work you want to assess.
- 2Enter the costs you want to include consistently in the comparison.
- 3Review profit, margin, and markup, then consider taxes, overheads, payment timing, and contractual obligations separately.
Frequently asked questions
What is the difference between margin and markup?
Margin expresses profit as a percentage of revenue. Markup expresses profit as a percentage of costs. They use different denominators, so the percentages are not interchangeable.
Is this a financial statement?
No. It is a simple planning calculation. Accounting treatment, tax, allocation of overheads, and cash flow need separate analysis.