Household and savings

Profit Margin Calculator

Calculate gross or net profit, profit margin, and markup from sales and costs.

Quick math0

Use this for quick arithmetic, percentages, or to check figures while filling in the main tool, without leaving the page.

Your figures

Estimate

Estimated net profit: 40,000 NOK

Net profit / loss
40,000 NOK
Net profit margin
40.0%
Gross profit margin
60.0%

How this breaks down

Revenue
100,000 NOK
Gross profit
60,000 NOK
Cost markup
150.0%
Operating costs
20,000 NOK

Gross profit subtracts direct product or service costs. Net profit also subtracts the other operating costs entered. Taxes, financing, and one-off items are not included.

How to use this tool

  1. Use Profit Margin Calculator for the question described above, and check that the inputs match your records and time period.
  2. Enter revenue.
  3. Enter cost of goods or service.
  4. Enter other operating costs.
  5. Change revenue, cost of goods or service, other operating costs to compare scenarios, then check the units in the result.

Worked example with the prefilled values

This example shows how Profit Margin Calculator uses its starting values. Change the calculator inputs to estimate your own situation.

Revenue
100000 NOK
Cost of goods or service
40000 NOK
Other operating costs
20000 NOK

Estimated net profit: 40,000 NOK

  • Net profit / loss40,000 NOK
  • Net profit margin40.0%
  • Gross profit margin60.0%

Gross profit subtracts direct product or service costs. Net profit also subtracts the other operating costs entered. Taxes, financing, and one-off items are not included.

Formula and calculation logic

Gross profit = revenue − cost of goods or service

Net profit = gross profit − other operating costs

Gross or net margin = corresponding profit ÷ revenue × 100%

Markup = gross profit ÷ direct cost × 100%

Calculate gross or net profit, profit margin, and markup from sales and costs.

The displayed formula below shows how the entered values are combined.

Assumptions

  • Uses the values entered and simplifies real contracts, tax rules or personal circumstances. Update example values before relying on the estimate.

Published sources

Further reading for checking current rules and information. These links are not live inputs to the tool.

Questions about this tool

What is the difference between margin and markup?

Margin is profit divided by revenue. Markup is profit divided by cost.

Does this include tax?

No. It uses the revenue and costs you enter and does not calculate income or corporate tax.

What costs should I include?

Enter direct product or service costs separately from other operating costs to see gross and net figures.

Can net profit be negative?

Yes. The result shows a loss when entered costs exceed revenue.