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Profit Margin Calculator

Find profit, profit margin and markup from revenue and costs. Compare the two percentages before setting a selling price.

Your result

Profit
$50.00
Profit margin
33.33%
Markup on cost
50%

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Currency selection changes formatting only. No exchange rates or market prices are supplied.

Formula

Profit = revenue − cost; margin = profit ÷ revenue × 100; markup = profit ÷ cost × 100.

Worked example

The initial example uses the following assumptions. Its result is computed by the same engine as the calculator. Measurements are metric and money amounts use USD; these are illustrative inputs, not market prices.

Sales revenue
150
Total cost
100
  • Profit: $50.00
  • Profit margin: 33.33%
  • Markup on cost: 50%

Assumptions and limitations

Use revenue and costs for the same item or period. Include the expenses relevant to your decision. Zero revenue makes margin undefined; a negative profit is a loss, not a validation error.

Questions about this calculation

Is margin the same as markup?

No. A cost of 100 and selling price of 150 produce a 33.33% margin and 50% markup. Margin divides profit by revenue; markup divides it by cost.

Is this net profit after tax?

Only if the costs entered already include the relevant expenses and taxes. The tool applies no country-specific tax rules.

Useful next steps

  • Markup Calculator

    Set a selling price from your cost and chosen markup. See the resulting profit margin alongside the price.

  • Break-even Calculator

    Estimate the sales quantity needed to cover fixed and variable costs. Check each sale's contribution before planning a target.

  • ROI Calculator

    Compare the total amount returned with your investment. Calculate net gain or loss and simple return on investment.