Profit Margin Calculator

Calculate gross profit margin and markup from cost and selling price.

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Profit Margin Calculator: The Complete Guide

Work out your profit margin in seconds. Enter the cost price and the selling price to see the gross profit margin percentage, the profit on each unit, and the equivalent markup.

Who the Profit Margin Calculator is for

Retailers and product sellers setting prices who need to know the margin a given price delivers.

How to use the Profit Margin Calculator

  1. Type your values into the fields above — pick your currency or units where the calculator offers them.
  2. Results update automatically as you type; there's no submit button and nothing is sent to a server.
  3. Adjust any input to compare scenarios, then copy the result with a single click.

How it works

Profit margin = (selling price − cost) ÷ selling price × 100. The same profit expressed against cost gives the markup = (selling price − cost) ÷ cost × 100.

Features

  • Gross profit margin %
  • Profit per unit
  • Equivalent markup
  • Any currency

Why margin matters for pricing

Profit margin is the percentage of each sale you keep after covering the item's cost. It's the standard way to compare profitability across products and against competitors. Knowing the margin a price delivers — and how it differs from markup — helps you price deliberately rather than by guesswork.

Frequently Asked Questions

Is a higher margin always better?

Higher margins mean more profit per sale, but very high prices can reduce volume. The best price balances margin and how much you sell.

How do I hit a target margin?

Divide your cost by (1 − target margin). For a 40% margin on a $60 cost, the price is 60 ÷ 0.6 = $100.

Is this calculator free and private?

Yes. It's completely free with no signup, and every calculation runs locally in your browser, so your numbers never leave your device.