How to use
Enter cost and revenue.
Example
Revenue ₹10,000 and cost ₹7,000 gives a 30% margin.
Calculate profit margin from cost and revenue.
Enter cost and revenue.
Revenue ₹10,000 and cost ₹7,000 gives a 30% margin.
Profit margin is the difference between revenue and cost, divided by revenue, expressed as a percentage. It shows what portion of revenue is actual profit.
This varies significantly by industry. Comparing your margin to others in the same sector is more useful than comparing against a universal benchmark.