📊 BUSINESS FINANCE

Margin Calculator

Calculate profit margin, markup, stock trading margin, and currency exchange margin — with a live gauge and industry benchmarks.

3

Calculators

33.3%

Profit Margin

50.0%

Markup %

Profit Margin Calculator

Solve For:

Profit Margin

33.33%

Of revenue

Markup

50.00%

On cost

Gross Profit

$50.00

Revenue − Cost

Revenue

$150.00

Selling price

📈 Profit Margin Health

0% Poor10%20%30%40%+ Excellent

33.33% Margin

Retail (2-5%)Restaurant (3-9%)Manuf. (5-10%)Services (10-20%)SaaS (70-80%)

🥧 Revenue Split

Cost Profit

📊 Margin vs Markup Comparison

100.0
Cost
50.0
Profit
150.0
Revenue
33.3
Margin %
50.0
Markup %

🏭 Typical Profit Margins by Industry

💻

SaaS / Software

70 - 80%

💊

Pharmaceuticals

15 - 20%

🏦

Financial Services

15 - 25%

🩺

Healthcare

5 - 10%

🏭

Manufacturing

5 - 10%

🛒

Retail

2 - 5%

🍽️

Restaurants

3 - 9%

🏗️

Construction

2 - 6%

🚚

Logistics

3 - 7%

🎓

Education

5 - 12%

Understanding Profit Margin

Profit margin is one of the most important metrics in business finance — it tells you what percentage of revenue survives as profit after costs. A higher margin means a business converts revenue into actual profit more efficiently. Pair this with our discount calculator and commission calculator for the full pricing picture.

Margin vs Markup — The Key Difference

Profit Margin % = (Revenue − Cost) / Revenue × 100 · Markup % = (Revenue − Cost) / Cost × 100

Margin and markup are related but measure different things. A product that costs $100 and sells for $150 has a 33.3% margin but a 50% markup — confusing the two is a common pricing mistake, so always clarify which one you're quoting.

Gross vs Net vs Operating Margin

Gross margin only deducts the cost of goods sold. Operating margin also subtracts operating expenses like rent and salaries. Net margin deducts everything, including taxes and interest — the most complete profitability picture. This calculator focuses on gross margin.

Stock Trading Margin

When you trade on margin, you borrow from your broker to buy more securities than your cash alone allows. The initial margin requirement (commonly 50% under Regulation T) is the minimum you must put up; the maintenance margin (typically 25%) is the minimum equity you must keep — falling below it triggers a margin call.

— FAQ

Frequently Asked Questions