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FINANCE

Profit Margin Calculator

Calculate your profit margin percentage, gross profit, and cost-to-revenue ratio instantly.

Calculate your profit margin from your cost and selling price. Use this free calculator to understand how much profit you make from each sale and what percentage of your revenue is actual profit.

💡 Profit margin and markup are NOT the same thing. Margin is based on selling price, while markup is based on cost. Calculate your markup instead →

Enter your numbers

Input your cost and selling price to calculate your profit margin.

How much the item costs you.

$

How much you sell the item for.

$
Currency

Live Calculation

Live
Profit Margin

37.5%

of each sale is profit

Profit
$30.00
Cost
$50.00
Selling Price
$80.00
Calculated in real-time · No data stored

Formula

Profit = Selling Price − Cost

Profit Margin = ((Selling Price − Cost) ÷ Selling Price) × 100

Example

Given

Cost$50
Selling Price$80

Result

Profit$30
Profit Margin37.5%

Frequently Asked Questions