Gross Margin Calculator

$
Enter revenue in $.
$
Enter cost of goods sold in $.
Finance

Express gross profit as a share of revenue.

Formula

Gross margin = (revenue − COGS) / revenue × 100

Example Calculation

Example inputs
  • Revenue: 100000 $
  • Cost of goods sold: 60000 $

$40,000 gross profit on $100,000 revenue is a 40% gross margin.

Frequently asked questions

How do I use this calculator?

Enter revenue, cost of goods sold. The result updates automatically. Use Reset to restore the example values.

What method does it use?

Gross margin = (revenue − COGS) / revenue × 100. Follow the units and definitions shown with the inputs to apply this relationship consistently.

Why might a rounded result differ?

The calculation keeps full numeric precision internally, then rounds the displayed result. Rounding intermediate steps by hand can produce a slightly different answer.

Are my inputs saved online?

No. This calculator processes your inputs in your browser. A recently used list stores only calculator names on this device, not your entered values.

Check the assumptions and units before using this result. Read about calculation methods.