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Free Online Tool
Profit Margin Calculator

Check Profit, Margin & Markup in Seconds

Enter cost price and selling price to instantly see your profit or loss, margin percentage, and markup. Ideal for traders, retailers, service providers, and startups.

Margin % on selling price Markup % on cost price Works for products & services

Profit Margin Calculator

Provide **Cost Price (CP)** and **Selling Price (SP)** for a product or service. The calculator will compute:
• Profit / Loss amount
• Profit / Loss margin (%) on selling price
• Markup (%) on cost price

Total landed cost per unit (including purchase, freight, basic overheads, etc.).

The price at which you sell the product or service per unit.

Understanding profit, margin, and markup

Many businesses confuse profit, margin, and markup. All three are related, but they answer slightly different questions:

1. Profit (amount)

Profit per unit is simply the difference between selling price and cost price:

Profit = SP − CP

If the result is negative, you’re making a loss per unit.

2. Profit margin (%)

Margin answers “what percentage of the selling price is my profit?”

Margin % = Profit ÷ SP × 100

Retailers and D2C brands often track margin to compare product profitability.

3. Markup (%)

Markup answers “by what percentage did I increase my cost price?”

Markup % = Profit ÷ CP × 100

Many dealers and wholesalers set prices using a standard markup on cost.

BrightBooks Advisory Services can help design pricing models, discount strategies, and profitability reports so you can make data-driven decisions across SKUs, channels, and regions.

Profit Margin Calculator FAQs

What if my cost price is zero?

If CP is zero, markup percentage cannot be computed (division by zero). The calculator will treat markup as 0 when cost is zero. For realistic analysis, ensure CP includes all direct costs per unit.

Can this handle bulk quantities?

Yes. If the cost and selling price entered are per unit, the percentages remain the same for any quantity. For total profit, multiply per-unit profit by the number of units sold.

Does this include GST?

No. This calculator assumes prices you enter are either both inclusive or both exclusive of GST. For accurate profitability after taxes, you may use this along with your GST calculations.

Can I use this for services?

Absolutely. As long as you know your effective cost per service and the price you charge, the same formulas work for consulting, agency services, subscriptions, etc.