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Profit Margin Calculator

Calculate gross profit, net profit, profit margin, markup, profit per unit, and target revenue from business costs.

Net profit

$30,000

Net margin

37.5%

Gross margin

55%

Profit per unit

$15.00

Profit inputs

Calculate profit margin

Profit margin summary

Gross profit
$44,000
Gross margin
55%
Net profit
$30,000
Net margin
37.5%
Markup on COGS
122.22%
Target revenue
$66,667

Notes

Gross profitRevenue minus cost of goods sold.
Net profitRevenue minus cost of goods sold and operating expenses.
Target revenueTotal costs divided by one minus the target margin rate.

Profit margin formulas

Gross margin is gross profit divided by revenue. Net margin uses net profit after both cost of goods sold and operating expenses. These are planning estimates and do not replace accounting review.