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Profit Margin Calculator

Calculate gross profit margin and markup percentage for any product or business.

$4,000

Profit

40.0%

Profit Margin

66.7%

Markup

How the Profit Margin Calculator Works

This calculator shows how profitable a sale or product is by computing both profit margin and markup from your revenue and cost figures.

Profit is simply revenue minus cost. Profit margin divides that profit by revenue, while markup divides the same profit by cost β€” two different lenses on the same underlying numbers.

Example: If you sell something for $10,000 that cost you $6,000, your profit is $4,000. That's a 40% profit margin (profit Γ· revenue) but a 66.7% markup (profit Γ· cost) β€” same dollars, different percentages.

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