Profit and Loss Calculator | Margin and Gain/Loss
Calculate profit or loss amount, profit margin, and percentage change from cost price and selling price.
Calculate Profit or Loss from Cost and Sale Price
Enter what an item cost and what it sold for to calculate profit amount, loss amount, margin percentage, and whether the sale was above or below cost.
Separate Margin from Markup
Profit margin compares profit to selling price, while markup compares profit to cost. Check which percentage your business, marketplace, or report expects.
Where Profit and Loss Math Helps
Use it for product pricing, resale deals, invoices, marketplace sales, wholesale checks, small business estimates, and quick margin review before changing a price.
About This Tool
Profit and Loss Calculator computes gross profit, net profit, and profit margin from revenue, cost of goods sold, and operating expenses. It provides a simplified P&L overview for small businesses and freelancers.
When to Use It
Use this to get a quick profitability summary for a period, when comparing revenue and expenses to understand whether operations are profitable, or when preparing a financial overview for a business meeting.
How to Use
- Enter total revenue for the period.
- Enter cost of goods sold.
- Enter operating expenses.
- Click Calculate to see gross profit, net profit, and margin percentages.
Frequently Asked Questions
What is the difference between gross and net profit?
Gross profit is revenue minus cost of goods sold. Net profit is gross profit minus all operating expenses including overheads, salaries, and taxes.
What is a good profit margin?
Margins vary widely by industry. Retail may achieve 2 to 10 percent net margin while software businesses can achieve 20 to 40 percent. Compare against your industry benchmark.
Is this the same as a full income statement?
This provides a simplified summary. A full income statement from accounting software includes depreciation, interest, and tax line items in more detail.