Free online tool
Profit Margin Calculator
Margin and markup describe profit differently. This calculator shows both so sellers can price products and interpret performance correctly.
How this calculator works
Profit = selling price − cost. Margin = profit ÷ selling price × 100. Markup = profit ÷ cost × 100.
A product costing ₹600 and selling for ₹900 earns ₹300 profit, with a 33.33% margin and 50% markup.
Using the result well
Enter amounts using one currency consistently. The calculator displays two decimal places for money, while its internal arithmetic keeps more precision. Receipts may differ by a small amount when a seller rounds each line item separately.
For a purchase or business decision, also consider delivery fees, product quality, return conditions, taxes and any eligibility rules. A calculated saving does not by itself prove that an offer is good value.
Frequently asked questions
What is the difference between margin and markup?
Margin compares profit with selling price. Markup compares profit with cost, so the percentages differ.
Does this represent net profit?
Not necessarily. It is gross product profit unless you include overhead, fees, shipping and taxes in the cost.