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Profit Margin Calculator

Calculate profit and profit margin percentage from revenue and cost.

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About this tool

What is Profit Margin Calculator?

Calculate profit margin from total revenue and total cost. The calculator subtracts cost from revenue to determine profit, then expresses that profit as a percentage of revenue for quick pricing and business analysis.

How to use

Get your result in a few steps

  1. 1

    Enter total revenue.

  2. 2

    Enter total cost.

  3. 3

    Click 'Calculate'.

  4. 4

    Review the profit amount and profit margin percentage.

Frequently asked questions

Questions about Profit Margin Calculator

How is profit margin calculated?

The calculator subtracts cost from revenue to get profit, then divides profit by revenue and multiplies by 100.

Is profit margin the same as markup?

No. Margin is based on revenue or selling price, while markup is based on cost.

Can the margin be negative?

Yes. If cost is greater than revenue, the calculated profit and margin will be negative.

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