How do you calculate gross profit?

Gross profit = Revenue − Cost of Goods Sold (COGS). Gross margin % = (Gross profit ÷ Revenue) × 100. It measures the profitability of core operations before operating expenses.

Gross Profit Calculator

Calculate gross profit and gross margin from revenue and cost of goods sold.

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Revenue ($)

Cost of Goods Sold (COGS) ($)

About This Calculator

Gross profit is revenue minus the cost of goods sold — the most fundamental measure of product-level profitability. It tells you how much of every dollar of revenue remains after covering direct production costs, before overhead, marketing, and administrative expenses.

Estimates only — not financial, tax, legal, or investment advice. Verify important results with a qualified professional before making decisions.

gross profit = revenue − COGS; gross margin % = gross profit ÷ revenue × 100; COGS % = COGS ÷ revenue × 100