Gross Profit Calculator
Revenue minus cost of goods sold.
Enter your values
ⓘ Live results
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
- 1Enter total revenue for the period.
- 2Enter cost of goods sold.
- 3Add operating expenses for the operating margin.
Worked example
Using the values the calculator loads with:
Inputs
- Revenue180000 $
- Cost of goods sold108000 $
- Operating expenses40000 $
Results
- Gross profit$72,000.00
- Gross margin40%
- Operating profit$32,000.00
- Operating margin17.78%
- Markup on cost66.67%
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.
About this calculator
- Built and reviewed by James Whitfield · How we build and test calculators
- Report an error
Results are estimates for general information. For medical, legal, structural or financial decisions, confirm with a qualified professional.