Profit Margin Calculator

Worked example

Revenue 1,000 and cost 700 — 30% margin

Quick answer

Can margin be negative?

Yes. If costs exceed revenue, profit and profit margin are negative.

What is the Profit Margin Calculator?

Calculate profit and profit margin from revenue and total cost. Use it when you have the required inputs and want a deterministic, repeatable result with the calculation method visible.

How to use this calculator

Enter the values requested by the tool, keep units and time periods consistent, resolve any validation message, calculate, then review the primary answer together with the displayed formula and supporting values.

Formula and method

This calculator uses a deterministic formula and shows the calculation breakdown with the result so the answer can be checked.

Worked example

Revenue 1,000 and cost 700 30% margin

Common mistakes to avoid

Check units, decimal points, percentages, signs, date/time order, selector choices, and rounding. For important decisions, verify the result against an independent source or qualified professional when appropriate.