Gross Profit Calculator
Work out gross profit and margin from revenue and COGS.
GROSS PROFIT
$75,000
Gross margin: 75.0%
Gross profit = revenue − COGS. It's what's left to cover operating costs.
What is Gross Profit?
Gross profit is what remains from revenue after subtracting the direct cost of delivering your product. It's the money available to cover everything else — sales, R&D, overhead.
Gross profit = revenue − COGS
How to read your result
- Gross profit is a dollar figure; gross margin is the same as a percentage.
- It excludes operating expenses like sales, marketing, and R&D.
- Rising gross profit with flat COGS signals healthy scaling.
- Compare gross profit growth to revenue growth over time.
Frequently asked questions
What's the difference between gross profit and net profit?
Gross profit subtracts only the direct cost of goods sold. Net profit subtracts everything — operating expenses, interest, and taxes too.
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