Introduction
Gross profit is the money left over after you subtract the cost of your goods from your revenue. It tells you how much you earn before paying for things like rent, wages, and other bills. Knowing your gross profit helps you set prices, spot problems, and make smarter choices for your business.
This free gross profit calculator makes the math fast and simple. Enter your revenue and cost of goods sold, and it gives you your gross profit, gross margin percentage, markup percentage, and COGS ratio right away. You can use Standard Mode to find gross profit from revenue and costs, Flexible Mode to solve for any missing value when you know two out of three, or Reverse Mode to find the revenue you need to hit a target margin.
The calculator also shows step-by-step solutions, what-if scenarios at different margin levels, a multi-volume sales projection table, and a bulk mode for processing up to 100 products at once. Every calculation is saved to a history log you can export as a CSV file.
How to Use Our Gross Profit Calculator
Enter your sales and cost numbers to find your gross profit, gross margin percentage, markup percentage, and COGS ratio. Pick a mode, fill in the fields, and the calculator does the rest.
Currency: Choose your currency from the dropdown at the top. This changes the symbol shown but does not convert amounts.
Format Numbers: Click the toggle to turn thousand separators on or off. When on, numbers display as 12,500.75 instead of 12500.75.
Standard Mode
Revenue: Type in the total money earned from sales. This is the full amount your customers paid.
Cost of Goods Sold (COGS): Type in the direct cost to make or buy the goods you sold. This includes materials, labor, and production costs.
Flexible Mode
Cost Price: Enter the cost per unit. This is what you pay to make or buy one item.
Resale / Selling Price: Enter the price one customer pays for the item.
Gross Profit Margin: Enter the profit margin as a percent, or use the + and − buttons to adjust by 0.5% at a time. Fill in any two of these three fields and the calculator solves the third.
Lock Button: Click the lock icon next to any field to keep that value fixed. The calculator will always solve around locked fields first.
Fixed Costs / Overhead (optional): Enter your total fixed costs like rent or salaries. When filled in, the calculator shows how many units you need to sell to break even.
Reverse / Target Mode
Cost of Goods Sold (COGS): Enter your total cost of goods sold.
Target Gross Margin: Enter the gross margin percent you want to hit. The calculator tells you the exact revenue you need to reach that goal. Use the + and − buttons to step the margin up or down by 0.5%.
Extra Features
Scale by Quantity: Open this section and enter a quantity to see your total revenue, total COGS, and total gross profit across multiple units.
Bulk / Batch Mode: Paste multiple rows of revenue and COGS (one pair per line, separated by a comma) to calculate gross profit for up to 100 items at once. Click "Export Bulk Results to CSV" to download the results.
Calculation History: Every calculation is saved in a log table. You can export the full history as a CSV file or clear it at any time.
Gross profit is the money a business keeps after paying for the goods or services it sells. You find it with a simple formula: Revenue − Cost of Goods Sold (COGS) = Gross Profit. Revenue is the total money earned from sales. COGS is what it costs to make or buy the product. The leftover amount is your gross profit.
For example, if you sell a shirt for $50 and it costs you $20 to make, your gross profit is $30. That $30 still has to cover other bills like rent, wages, and marketing — but it tells you how much each sale is actually worth before those expenses.
Gross Profit Margin
Gross profit margin turns your gross profit into a percentage. The formula is (Gross Profit ÷ Revenue) × 100. In the shirt example, that's ($30 ÷ $50) × 100 = 60%. This percentage makes it easy to compare products, time periods, or even different businesses, no matter their size.
Markup vs. Margin
People often mix up markup and margin. Margin is based on the selling price. Markup is based on the cost. Using the same shirt: the margin is 60%, but the markup is ($30 ÷ $20) × 100 = 150%. Both numbers describe the same profit — they just use a different starting point. Knowing the difference helps you set prices correctly.
Why Gross Profit Matters
Gross profit shows whether your core business is making money. A high gross margin means each sale leaves plenty of room to cover operating costs and still earn a net profit. A low or negative margin is a warning sign — it means you may be selling at a loss or your production costs are too high. Tracking this number over time helps business owners spot problems early and make smarter pricing decisions.
What Counts as COGS?
Cost of goods sold includes the direct costs tied to making or buying a product. Common examples are raw materials, factory labor, packaging, and shipping to your warehouse. It does not include indirect costs like office rent, advertising, or salaries for staff who don't make the product. Those fall under operating expenses and come out after gross profit.