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Business Calculators

Gross Profit Calculator

Verified formula Updated Jun 2026 Private — runs on your device

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Verified formula Private

Gross profit

₹40,000.00

Gross margin
40.00%

For general information only — not financial, tax, legal or medical advice. Verify before you rely on it.

How to use the Gross Profit Calculator

The Gross Profit Calculator works out your gross profit, along with 1 related figure in an instant. Enter revenue and cost of goods sold and the result updates as you type — it is free, needs no sign-up, and runs entirely in your browser so your figures stay private.

  1. Enter the revenue.
  2. Enter the cost of goods sold.
  3. Read off your gross profit, together with gross margin — the calculator updates automatically, with no button to press.

Formula

The Gross Profit Calculator uses the formula:

Gross profit = Revenue - Cost of goods sold

Worked example

For example, with revenue of 100,000 and cost of goods sold of 60,000, the gross profit is ₹40,000.00.

Inputs used
Revenue 100,000
Cost of goods sold 60,000
Results
Gross profit ₹40,000.00
Gross margin 40.00%

Results are estimates for educational use, not professional advice.

Key terms explained

Cost of goods sold
The direct cost of producing the goods a business sells (COGS).
Gross profit
Revenue minus the cost of goods sold, before operating expenses and tax.

Frequently asked questions

Gross profit is revenue minus the cost of goods sold. On 100,000 revenue with 60,000 cost, gross profit is 40,000.

Gross margin is gross profit as a percentage of revenue. Here it is 40%, the share of sales kept after direct costs.

It excludes operating expenses, interest and tax. Those are subtracted later to reach operating and net profit.

It shows how efficiently you produce and price goods, before overheads, and is the foundation of profitability.

The Gross Profit Calculator uses the formula: Gross profit = Revenue - Cost of goods sold. For example, with revenue of 100,000 and cost of goods sold of 60,000, the gross profit is ₹40,000.00.

Enter the revenue. Enter the cost of goods sold. Read off your gross profit, together with gross margin — the calculator updates automatically, with no button to press.

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