Margin Calculator

Calculate profit margin, gross profit, and markup from revenue and cost.

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Margin

Enter the revenue and cost to calculate margin and markup.

Profit margin
0%
Markup: 0%
Revenue
$0
Cost
$0
Gross profit
$0
Profit margin
0%
Markup
0%
Cost per unit
$0

Worked example

With the default inputs shown below, this calculator returns the following results:

InputValue
Total revenue ($)$1,000
Total cost ($)$600
Quantity sold1
ResultValue
Profit margin40.0%
Revenue$1,000.00
Cost$600.00
Gross profit$400.00
Markup66.7%
Cost per unit$600.00

Values shown are produced by this page in your browser; change any input to update them.

How to use the Margin

  1. Total revenue ($) — default $1,000
  2. Total cost ($) — default $600
  3. Quantity sold — default 1
  4. Press Calculate to update the results instantly.

Frequently asked questions

Margin is profit as a share of the selling price; markup is profit as a share of cost. A 50% markup equals a 33% margin.
Margin = markup / (1 + markup). A 40% markup is 0.40 / 1.40 = 28.6% margin.
It depends on the industry: retail 30-50% gross margin, restaurants 30-40%, SaaS 70-85%. Anything below your sector's norm squeezes you.

Sources & references