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Profit Margin Calculator

Compare product costs, sales and quantities.

Use Profit Margin Calculator

Add your products below to calculate aggregate gross profit, margin, and markup across your entire inventory order.

Product Name (Opt) Cost Price (₹) Selling Price (₹) Quantity
Total Cost (COGS) 0.00
Total Revenue 0.00
Total Gross Profit 0.00
Aggregate Profit Margin 0%
Aggregate Markup 0%
edit_note By Meet Dhameliya
update Updated: Oct 27, 2026
schedule 3 min read

Calculate combined gross profit and margin for products with different costs, prices and quantities. The tool totals each row's unit cost × quantity and selling price × quantity, then calculates margin from the combined totals. This avoids the misleading result of simply averaging product margin percentages.

lightbulb When to use this tool

  • check_circle Review gross profit for a basket or order containing several products with different quantities.
  • check_circle Compare the overall margin of two product mixes without averaging individual percentage margins.

Inputs and results

Input: Product rows with unit cost, unit selling price and quantity. Product names are optional. The current price-column labels use INR (₹); keep every row in the same currency.

Output: Total cost, revenue, gross profit, aggregate gross margin and aggregate markup. Displayed amounts use your browser's number formatting; this tool does not convert currencies.

How it works

1

Enter each product's unit cost, unit selling price and quantity on its own row. Add rows as needed.

2

Use the same currency and cost basis for all products; optional product names help you keep rows distinct.

3

Calculate totals. Gross profit = revenue − entered cost; margin = gross profit ÷ revenue × 100; markup = gross profit ÷ entered cost × 100.

4

Inspect the combined percentages and check for loss-making rows or excluded costs before using the result in a quote or plan.

Examples

science Two products: a weighted 25% margin

Product A costs 80 and sells for 100, quantity 10. Product B costs 50 and sells for 100, quantity 2. Total cost is 900, revenue 1,200 and gross profit 300, giving margin 25% and markup 33.33%. The simple average of the individual 20% and 50% margins would be 35%, which is not this order's margin.

science A sale below cost produces negative margin

For unit cost 50, selling price 40 and quantity 10, total cost is 500 and revenue 400. Gross profit is −100, margin is −25% and markup is −20%, before any other business costs.

Limitations

Only the entered costs are included, so the result is not net business profit after overhead, tax, returns or financing. A zero revenue or cost denominator makes the corresponding percentage undefined, although the current display shows 0% in those cases. Use positive totals when interpreting ratios.

Frequently Asked Questions

Can I average the margin percentages of different products? expand_more
Not directly. Products can contribute different amounts of revenue. Add their gross profits and revenues first, then divide total gross profit by total revenue. This is equivalent to weighting each product margin by its share of revenue.
Why is aggregate markup different from aggregate margin? expand_more
Both use total gross profit, but markup divides it by total entered cost while margin divides it by total revenue. A profit of 300 on cost 900 and revenue 1,200 gives 33.33% markup and 25% margin.
Does this show net profit? expand_more
No. It only subtracts the costs you supply in the product rows. Business overhead, taxes, refunds, payment fees or other costs must be accounted for separately unless already included in a consistent unit-cost estimate.
What does a negative margin mean? expand_more
It means total selling revenue is below the total cost entered for the rows. For example, cost 500 and revenue 400 give a loss of 100 and margin −25%. Check the inputs and investigate the product mix before interpreting the result.
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Processing & Privacy

Processing uses your browser rather than uploading the supplied input to a processing server. Fonts and tool libraries can make third-party network requests. Optional analytics loads after consent. See the Privacy Policy for site-wide details.

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