Profit Margin
Profit margin calculator.
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Enter values and click Calculate
🧮 Profit Margin Formulas
Gross Margin = (Revenue - COGS) / Revenue × 100%
Net Margin = Net Profit / Revenue × 100%
Where: Revenue = Total sales, COGS = Cost of goods sold, Net Profit = Revenue - All expenses
Frequently Asked Questions
What is a good profit margin?
It varies by industry. Retail: 2-5%, Manufacturing: 5-10%, Software: 20-40%, Financial services: 15-30%. Compare your margins with direct industry competitors for meaningful benchmarks.