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Gross profit margin calculator

Revenue minus cost of goods sold = gross profit. Margin = gross profit ÷ revenue.

Revenue (£)

Cost of goods sold (£)

Direct cost of producing what you sold

Gross profit

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Enter values above to calculate.

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Gross profit excludes overheads (rent, salaries, marketing, etc.). Compare with net profit margin for the full picture. Healthy gross margins vary by industry — retail 30-40%, services 60%+ is typical.

Tool maintained by Studio Woodlark — a sub-brand of Woodlark Associates Ltd. Rates and bands subject to change. Provided for guidance; not a substitute for advice.