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Profit Margin Calculator

COGS

Result

Gross Margin40.00%
Gross Profit RsRs 400,000.00
Operating Profit (EBIT) RsRs 200,000.00
Operating Margin20.00%
Net Profit RsRs 100,000.00
Net Profit Margin10.00%
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Profit Margin Calculator — free online calculator.

Formula

Gross Profit = Revenue − COGS; EBIT = Gross Profit − Operating Expenses; Net Profit = EBIT − Interest − Tax.
  • Enter the values shown to calculate all corresponding results, not just a single final number. Gross Profit = Revenue − COGS; EBIT = Gross Profit − Operating Expenses; Net Profit = EBIT − Interest − Tax.
  • The main inputs are Revenue, Cost of Goods Sold, Operating Expenses, Interest Expense, Tax Expense. Enter them in the units and format shown in the calculator.
  • Use monetary amounts, rates and time periods exactly as labeled; the result reflects the assumptions entered on this page.
  • Changing any input above recalculates the result with the same calculation engine used by this page.

Example: Profit Margin

Inputs
  • Revenue: 1000000
  • Cost of Goods Sold: 600000 COGS
  • Operating Expenses: 200000
  • Interest Expense: 50000
  • Tax Expense: 50000

Using Revenue = 2, Cogs = 3, Net Profit = 4, the calculated result is 2.

Sample result: Calculating…

Frequently asked questions

What does the Profit Margin calculate?

Profit Margin Calculator — free online calculator.

Which values should I enter?

Enter Revenue, Cost of Goods Sold, Operating Expenses, Interest Expense, Tax Expense using the units and format shown beside each field.

What formula does this calculator use?

The calculator uses the following relationship: Gross Profit = Revenue − COGS; EBIT = Gross Profit − Operating Expenses; Net Profit = EBIT − Interest − Tax..

Why might my result differ from another source?

Results can differ when another source uses different units, rounding rules, conventions or assumptions. Compare the inputs and definitions before comparing results.

Does the result update automatically?

Yes. Changing an input updates the result using the same calculation engine shown on this page.

Page information

Updated: October 10, 2026