Margin Calculator
Calculate profit margins, markups, stock margin, and foreign-exchange margin.
Distinguish margin as a share of revenue from markup as a share of cost.
Result
How to use this calculator
Distinguish margin as a share of revenue from markup as a share of cost. Enter amounts in the units shown, select the applicable options, and click Calculate. Use Reset to restore the starting values.
Calculation formula
Margin = (revenue − cost)/revenue; markup = (revenue − cost)/cost.
Assumptions and accuracy
Review timing, rates, fees and result notes when comparing scenarios. Future returns and rates are assumptions rather than guaranteed outcomes. Monetary display follows the currency’s precision; intermediate calculations retain additional digits.
Choose what to calculate
Profit margin calculator
Calculate gross profit margin from revenue and cost. Separate stock and currency margin modes model collateral; markup and margin use different denominators.
Related searches: Profit margin calculator from revenue and cost
Open this calculationUnderstanding this calculation
Calculate profit margin and markup, or use separate stock/FX margin modes for collateral requirements. These meanings of margin should not be mixed.
Worked examples
Profit margin versus markup on the same sale
Illustrative inputs are specified in the steps below; the example link loads the complete settings. Unmentioned settings use the linked defaults.
- Profit is 150 − 100 = 50. Margin divides by revenue: 50 / 150 = 33.33%. Markup divides by cost: 50 / 100 = 50%.
Gross margin: 33.33%.
Try these inputsConvert a markup on cost into selling price and margin
Cost $100 and markup 25%.
- Profit = 100 × 25% = 25.
- Selling price = 100 + 25 = 125.
- Gross margin = 25 ÷ 125 = 20%.
Selling price is $125; markup is 25%, while gross margin is 20%.
Try these inputsCommon questions
What is the difference between margin and markup?
Margin divides profit by selling revenue; markup divides the same profit by cost. The percentages usually differ.
Is trading margin the same as business profit margin?
No. Trading margin refers to collateral or equity requirements; business margin expresses profit relative to revenue.
Is a 25% markup the same as a 25% profit margin?
No. At a cost of $100, a 25% markup gives a $125 selling price and $25 profit. Gross margin is $25 divided by $125, or 20%. Use Markup from Cost to price from a markup percentage; use the profit modes to solve from revenue and cost.
Scope and assumptions
Gross margin excludes unentered overhead and tax. Trading margin outputs are simplified collateral illustrations, not broker requirements or risk limits.
Sources
- Calculation methodology, rule versions and testing limitations
- Reference calculator for feature comparison (not a model-parity certification)
Calculation notes checked . Examples are mathematical checks under the stated assumptions.
Calculation methods and formulas
Profit · Solve revenue
Distinguish margin as a share of revenue from markup as a share of cost.
Margin = (revenue − cost)/revenue; markup = (revenue − cost)/cost.
Profit · Solve cost
Distinguish margin as a share of revenue from markup as a share of cost.
Margin = (revenue − cost)/revenue; markup = (revenue − cost)/cost.
Profit · Solve margin
Distinguish margin as a share of revenue from markup as a share of cost.
Margin = (revenue − cost)/revenue; markup = (revenue − cost)/cost.
Profit · Solve profit
Distinguish margin as a share of revenue from markup as a share of cost.
Margin = (revenue − cost)/revenue; markup = (revenue − cost)/cost.
Stock Margin
Calculate equity required to open a margined stock position.
Required equity = share price × shares × margin requirement.
Currency Margin
Calculate margin required on a leveraged FX position.
Required margin = units × FX rate / leverage.
Markup from Cost
Calculate a selling price by adding a percentage of cost. Markup is profit divided by cost; gross margin is profit divided by selling price.
Selling price = cost × (1 + markup/100); margin = markup/(100 + markup) × 100%.
See our calculation methodology and review status for data versions, rounding and validation limitations.