Financial

Free Gross Profit Calculator

Gross profit and gross margin from revenue and COGS.

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Inputs

$
$

Result

Gross profit

$60,000.00

Gross margin40.0%
COGS % of revenue60.0%

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Short answer

Gross profit and gross margin from revenue and COGS.

What is the Gross Profit Calculator?

Gross profit and gross margin from revenue and COGS.

How does the Gross Profit Calculator work?

Enter the inputs above and read the result.

Formula

Gross profit = Revenue − COGS

Variables

  • COGSCost of goods sold

Explanation

Gross margin shows how much of each sales dollar remains after direct production costs.

Examples

Applications

    Advantages

      Limitations

        Common mistakes

          Tips

            Related concepts

            The Gross Profit Calculator sits inside the Finance Calculators hub, in the business & accounting cluster. Unit economics, margins and company metrics. Understanding the terms below makes the output easier to interpret and easier to compare against neighbouring measures.

            contribution marginfixed costvariable costrunwayLTV:CACoperating leverage

            Practical use cases and industry applications

            Understanding Gross Profit

            Gross profit and gross margin from revenue and COGS. Within finance calculators, gross profit belongs to the business & accounting cluster, where it shares terminology and assumptions with closely related tools.

            Learning how gross profit is calculated

            Gross margin shows how much of each sales dollar remains after direct production costs. Working through the variables one at a time — COGS — makes the result reproducible by hand and easier to sanity-check.

            Using gross profit to make a decision

            Because outputs depend on the assumptions you enter, run more than one scenario before committing to a figure.

            How gross profit compares with related measures

            contribution margin, fixed cost, variable cost, runway all describe adjacent aspects of business & accounting. Comparing this calculator's output against those measures — using the related tools listed on this page — prevents a single metric from being read in isolation.

            Frequently asked questions

            Related calculators

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