Profit Margin Calculator

Analyze your gross, operating, and net profit margins. Understand where your money goes.

Total Revenue ($)

Cost of Goods Sold ($)

Operating Expenses ($)

Other Costs (taxes, interest) ($)

Gross Profit Margin

Operating Profit Margin

Net Profit Margin

Net Profit

Profit Margin FAQ

What is the difference between gross and net margin?

Gross margin only subtracts direct costs (COGS) from revenue. Net margin subtracts all costs including operating expenses, taxes, and interest.

What is a good profit margin?

It varies by industry. SaaS companies often target 70-80% gross margins. Net margins of 15-20% are considered strong for most businesses.

How can I improve my margins?

Increase revenue (raise prices, upsell), reduce COGS (negotiate with suppliers), or cut operating expenses (automate, optimize).