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Profit Margin Calculator

Calculate your gross and net profit margins. Enter your revenue, cost of goods sold, and operating expenses to see where your money goes.

Profit Margin Calculator

Calculate gross and net profit margins

Direct costs of delivering your product or service

Rent, salaries, marketing, admin (excluding COGS)

Understanding profit margins

Gross margin measures profitability after direct costs (COGS). It tells you how efficiently you produce or deliver your product.

Net margin accounts for all operating expenses and shows the overall profitability of the business.

Industry benchmarks (UK)

  • Retail: gross 30–50%, net 2–5%
  • Software/SaaS: gross 70–85%, net 15–25%
  • Construction: gross 20–35%, net 3–8%
  • Professional services: gross 50–70%, net 15–30%