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Business Profitability

Gross Profit Calculator

Calculate your gross profit, gross profit margin, and markup percentage. Analyze your business profitability and pricing strategy with ease.

Enter Business Data

Fill in your revenue and cost details to calculate gross profit

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Total sales or revenue generated from goods/services
₹
Direct costs attributable to producing goods/services

Operating Expenses (optional)

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Rent, salaries, marketing, utilities, depreciation, etc.
₹
Interest income, rental income, or other non-operating income
Choose how you want to calculate gross profit
Target margin to calculate required revenue or cost

Your Gross Profit Analysis

Enter your revenue and costs to calculate gross profit, margin, and markup.

Gross Profit Amount Gross Profit Margin Markup Percentage

Understanding Gross Profit

  • Gross ProfitRevenue - COGS
  • Gross Margin(Gross Profit / Revenue) × 100
  • Markup(Price - Cost) / Cost × 100
  • Healthy MarginVaries by industry
  • Retail20-50% margin
  • Services50-80% margin

Gross profit shows how efficiently you produce goods/services.

Margin vs Markup

  • Gross MarginProfit as % of selling price
  • MarkupProfit as % of cost price
  • Example: Cost ₹80Price ₹100
  • Gross Margin20% (₹20/₹100)
  • Markup25% (₹20/₹80)
  • Key InsightMargin is always lower than markup

Use margin for profitability analysis and markup for pricing decisions.