Profit Margin Calculator

Calculate and analyze your business profit margins.

Understand your gross and net profit margins to evaluate business performance and identify areas for improvement.

Profit Margins

Gross Margin

40%

Operating Margin

20%

Net Margin

20%

Revenue Breakdown

Understanding Margins

Gross Margin

Revenue minus cost of goods sold

Operating Margin

Profit from core business activities

Net Margin

Final profit after all expenses

Profitability Tips

  • • Control operating costs
  • • Optimize pricing strategy
  • • Improve efficiency
  • • Monitor margins regularly
  • • Reduce waste
  • • Compare with industry standards