Gross Profit Margin Calculator

Gross Profit Margin = (Revenue - COGS) / Revenue × 100%.

Formula

GPM% = ((Revenue - COGS) / Revenue) × 100

500k rev, 300k cogs

Inputs
  • Revenue ($): 500000
  • COGS ($): 300000

40% margin

Frequently asked questions

Good margin?
Varies by industry; 20-50% typical