Jack Tools

Profit Margin Calculator

Calculate profit per unit, margin, markup, total revenue, and total profit from your pricing and sales quantity.

Enter pricing details

£
£

Enter your cost price, selling price, and quantity to calculate profit margin, markup, and total profit.

Profit margin
0.00%
Profit per unit: £0.00
Profit per unit
£0.00
Markup
0.00%
Total profit
£0.00
Total revenue
£0.00

Profit breakdown

Total cost £0.00
Total revenue £0.00
Total profit £0.00
Quantity 0

How This Profit Margin Calculator Works

This profit margin calculator helps you work out how much profit you make on each unit sold and how profitable your pricing is overall. It compares your cost price with your selling price and then calculates profit margin, markup, and total profit.

Profit margin shows profit as a percentage of the selling price. Markup shows profit as a percentage of the cost price. These figures are related, but they are not the same, which is why many businesses use both when reviewing pricing.

By including quantity sold, this calculator also estimates total cost, total revenue, and total profit. That makes it useful for retail, ecommerce, wholesale, freelancing, and service pricing decisions.

It can also help when checking whether a current selling price is sustainable, testing a new price point, or comparing how pricing changes affect overall profitability.

Cost price per unit This is how much it costs you to produce, buy, or deliver one unit of your product or service.
Selling price per unit This is the price charged to the customer for each unit sold.
Profit margin Profit margin measures profit as a percentage of selling price, which is often used to assess pricing efficiency.
Markup Markup measures profit as a percentage of cost price, which is often used when setting a selling price from costs.

Example Profit Margin Calculations

Basic retail product
Cost price£50
Selling price£80
Profit per unit£30
Margin = 37.50%
Higher margin item
Cost price£20
Selling price£50
Profit per unit£30
Margin = 60.00%
Service pricing
Cost price£120
Selling price£180
Profit per unit£60
Markup = 50.00%
Break-even pricing
Cost price£35
Selling price£35
Profit per unit£0
Margin = 0.00%

Profit Margin Calculator FAQs

Profit margin is the percentage of the selling price that remains as profit after cost price has been deducted.
Margin is based on selling price, while markup is based on cost price. They measure profitability from different starting points, so the percentages are usually different.
Profit margin is calculated by dividing profit per unit by selling price and then multiplying by 100.
Yes. If your selling price is lower than your cost price, you are making a loss and the profit margin will be negative.
This calculator is useful for retailers, ecommerce sellers, freelancers, service businesses, and anyone setting prices or reviewing product profitability.
A 50% markup means your profit is equal to half of your cost price. For example, if something costs £100 and you apply a 50% markup, the selling price becomes £150.