Profit Margin Calculator
Find gross margin, net margin, and profit from your revenue and costs.
Revenue Breakdown
📐 How We Calculate — Learn about our calculation methodology, data sources, and quality standards.
Frequently Asked Questions
What is a good profit margin?
Depends on industry. Software companies average 20-30% net margin. Retail averages 2-5%. A 10% net margin is generally healthy for most businesses.
How do you calculate profit margin?
Margin = (Revenue − Cost) ÷ Revenue × 100. Use COGS for gross margin. Include all expenses for net margin.
What is the difference between gross and net margin?
Gross margin subtracts only direct production costs. Net margin subtracts everything: rent, salaries, taxes, interest, and all other expenses.