💵 Gross Margin Calculator
Find your gross profit and gross margin percentage from revenue and cost of goods sold.
1
$
2
$
What is gross margin?
Gross margin measures the percentage of revenue left after subtracting the direct cost of producing or delivering a product or service (cost of goods sold). It shows how efficiently a business turns sales into profit before overhead and other expenses.
How this calculator works
Enter your total revenue and cost of goods sold for a period. Gross profit is revenue minus COGS, and gross margin is gross profit divided by revenue, expressed as a percentage.
Gross margin benchmarks vary widely by industry, so it’s most useful when compared over time or against similar businesses. This tool is for general business planning purposes.
Last reviewed August 2026