Profit Margin Calculator
Calculate gross, operating, and net profit margins to analyze your business profitability
Financial Information
Understanding Profit Margins
Gross Profit Margin
Measures profitability after direct costs. Formula: (Revenue - COGS) / Revenue × 100
Operating Profit Margin
Shows efficiency after operating expenses. Formula: Operating Profit / Revenue × 100
Net Profit Margin
Final profitability after all expenses. Formula: Net Profit / Revenue × 100
Industry Benchmarks
Retail
Gross: 20-50%, Net: 2-6%
Software/SaaS
Gross: 70-90%, Net: 15-25%
Manufacturing
Gross: 15-35%, Net: 5-15%
Food Service
Gross: 60-70%, Net: 3-8%