Business

Gross Profit Calculator

Revenue minus cost of goods sold.

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Results update instantly as you type — no submit needed.

Results
Gross profit
$72,000.00
Gross margin
40%
Operating profit
$32,000.00
Operating margin
17.78%
Markup on cost
66.67%

Quick answer

Gross profit is revenue minus direct costs; the margin shows what share of each sale is left to cover overhead.

Gross profit = Revenue − COGS

How to use the Gross Profit Calculator

  1. 1Enter total revenue for the period.
  2. 2Enter cost of goods sold.
  3. 3Add operating expenses for the operating margin.

Frequently asked questions

What counts as COGS?

Direct materials, direct labour and freight-in — not rent or marketing.

Is margin the same as markup?

No: margin is profit over revenue, markup is profit over cost.