Profit Margin Calculator

Calculate gross, operating, and net profit margins to analyze your business profitability

Financial Disclaimer

This profit margin calculator provides estimates for informational and educational purposes only. It is not intended as a substitute for professional financial advice, business consultation, or accounting services. Please consult with qualified financial professionals for business decisions.

Financial Information

Total Revenue

Cost of Goods Sold (COGS)

Operating Expenses

Other Expenses

Understanding Profit Margins

Gross Profit Margin

Measures profitability after direct costs. Formula: (Revenue - COGS) / Revenue × 100

Operating Profit Margin

Shows efficiency after operating expenses. Formula: Operating Profit / Revenue × 100

Net Profit Margin

Final profitability after all expenses. Formula: Net Profit / Revenue × 100

Industry Benchmarks

Retail

Gross: 20-50%, Net: 2-6%

Software/SaaS

Gross: 70-90%, Net: 15-25%

Manufacturing

Gross: 15-35%, Net: 5-15%

Food Service

Gross: 60-70%, Net: 3-8%