What is Profit Calculator?

Calculate gross and net profit from your revenue and costs. Enter revenue, cost of goods sold, and operating expenses to see gross profit, net profit, and margin percentages. Add shipping or platform fees, solve in reverse from a target margin, price up from cost with markup mode, or run a break-even analysis — all on one page.

Three inputs drive the headline numbers: revenue, cost of goods sold, and operating expenses. The calculator returns gross profit (revenue minus COGS), net profit (after operating costs and any extras you opt in to), both margin percentages, markup, and ROI. Add a unit count to break the totals down into per-unit profit and price, fold in customer acquisition cost, or model a promotional discount to see what a sale price does to your margin. Switch to reverse mode to solve for the revenue a target margin demands; switch to markup mode to price a unit up from its cost; open the break-even panel to see how many units must sell before fixed costs are covered. Export the result as CSV or PDF for invoices, board decks, or your own records.

How to use

1. Enter your total revenue and cost of goods sold (COGS) to see gross profit and gross margin.
2. Add operating expenses (rent, salaries, marketing, etc.) to calculate net profit and net margin.
3. Switch to reverse or markup mode, add a unit count for per-unit profit, layer in shipping, platform fees, or customer acquisition cost, model a promo discount, or open the break-even panel to see units needed to cover fixed costs.

When to use

• Setting a sale price by working backwards from a target margin.
• Reviewing monthly P&L to see whether costs ate the margin again.
• Comparing two pricing or supplier scenarios before signing a contract.

Result

Revenue $150,000, COGS $60,000, operating expenses $45,000. Gross profit: $90,000 (60% margin). Net profit: $45,000 (30% margin).

FAQ

What's the difference between COGS and operating expenses?

COGS are direct costs tied to each unit sold — raw materials, packaging, freight in. Operating expenses are the costs of running the business regardless of volume — rent, salaries, software, marketing. Misclassifying the two skews gross margin in a misleading way.

Is a 30% net margin good?

It depends on industry. Software companies routinely hit 30–40% net; grocery retailers run on 1–3%; restaurants average 5–10%. Compare yourself to peers in the same space rather than against a generic benchmark.

Should I include tax in operating expenses?

No. This tool calculates operating profit, also called EBIT. Income tax sits below the line. If you want net income after tax, subtract your tax payment from the net profit number the calculator returns.

What if my revenue is zero this month?

The calculator handles it gracefully — margin shows as 0% rather than dividing by zero. You'll still see how much money the operation lost, which is exactly the number you need for a runway conversation with investors or a partner.

Can I save my scenarios?

Yes. Export to CSV or PDF after each calculation. Save the file with a clear name (e.g. "2025-Q1-baseline.csv") and you can rebuild the comparison later when you tweak prices, costs, or fees.

Related Tools