Profit Margin Calculator

Calculate profit, loss, profit margin and markup percentage from your cost and selling price.

Calculate Profit Margin

Enter the cost price and selling price to calculate your profit or loss.

Profit Margin Result

Profit ₹0.00
Cost Price ₹0.00
Selling Price ₹0.00
Profit / Loss ₹0.00
Profit Margin 0.00%
Markup 0.00%
Final Selling Price ₹0.00

Profit Margin vs Markup

Understand the difference between profit margin and markup when pricing products or services.

Profit

Profit is the amount remaining after subtracting the cost price from the selling price.

Profit Margin

Profit margin measures profit as a percentage of the selling price.

Markup

Markup measures profit as a percentage of the original cost price.

Profit Margin & Markup Formulas

Profit is calculated as:

Profit = Selling Price − Cost Price

Profit margin is calculated as:

Profit Margin = (Profit ÷ Selling Price) × 100

Markup is calculated as:

Markup = (Profit ÷ Cost Price) × 100

Profit Margin Example

Suppose a product costs ₹80,000 and is sold for ₹1,00,000.

Cost Price: ₹80,000
Selling Price: ₹1,00,000
Profit: ₹20,000
Profit Margin: 20%
Markup: 25%

Enter your own cost and selling prices above to calculate the exact results.

Profit Margin Calculator FAQs

What is profit margin?

Profit margin is the percentage of selling price that represents profit. It is calculated by dividing profit by selling price and multiplying by 100.

What is markup?

Markup is the percentage increase over the cost price. It is calculated by dividing profit by cost price and multiplying by 100.

What is the difference between profit margin and markup?

Profit margin measures profit as a percentage of selling price, while markup measures profit as a percentage of cost price.

Can I calculate a loss using this calculator?

Yes. If the selling price is lower than the cost price, the calculator shows the loss amount and loss percentage.

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Important: This profit margin calculator provides estimates for informational purposes only. Actual business profitability may differ because of taxes, discounts, operating expenses, shipping costs, fees, commissions and other business expenses.