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Profit Margin Calculator

Calculate profit, margin %, and markup % from cost and selling price.

Financial

Profit Margin Calculator

Generated on April 24, 2026

Profit

$ 0

Margin

0%

Markup

0%

?What is the Profit Margin Calculator?

A profit margin calculator computes the profit earned per unit, the profit margin percentage (profit as a share of selling price), and the markup percentage (profit as a share of cost). Margin and markup are different but related — knowing both helps you price products correctly, compare business performance, and evaluate investment opportunities.

The Formula

Profit = Selling Price − Cost. Margin% = (Profit ÷ Selling Price) × 100. Markup% = (Profit ÷ Cost) × 100.

Margin uses selling price as the denominator (revenue-centric view), while markup uses cost as the denominator (cost-centric view). Same profit in dollars, different percentages — this is why margin is always less than markup.

Practical Examples

1

Cost $80, Selling $100 → Profit $20, Margin 20%, Markup 25%.

2

Cost PKR 500, Sell PKR 750 → Profit PKR 250, Margin 33.33%, Markup 50%.

3

Cost $1 coffee, sell $4 → Margin 75%, Markup 300% — typical café economics.

4

Cost $200 TV wholesale, retail $260 → Margin 23%, Markup 30% — retail standard.

Frequently Asked Questions

Margin is profit expressed as a % of the selling price. Markup is profit expressed as a % of the cost. A 50% markup = 33.33% margin — they are not the same number.

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