Finance & Money

Profit Margin Calculator

Calculate your profit, profit margin and markup from your cost price and selling price. Get instant results in Saudi riyals.

Calculate Your Profit Margin

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

SAR
SAR

Your Result

Enter your cost and selling price.

Your profit, margin and markup will appear here instantly.

How profit margin is calculated

Profit margin shows how much of your selling price remains as profit after the cost of a product or service is deducted. It is expressed as a percentage of the selling price.

Profit formula

Profit = Selling Price − Cost Price

Profit margin formula

Profit Margin = (Profit ÷ Selling Price) × 100

Markup formula

Markup = (Profit ÷ Cost Price) × 100

Example

If a product costs SAR 700 and sells for SAR 1,000, the profit is SAR 300. The profit margin is 30%, while the markup on cost is approximately 42.86%.

Frequently Asked Questions

What is profit margin?

Profit margin is the percentage of the selling price that remains as profit after the cost is deducted.

What is the difference between margin and markup?

Margin measures profit as a percentage of selling price, while markup measures profit as a percentage of cost price.

What is the profit margin on SAR 700 cost and SAR 1,000 selling price?

The profit is SAR 300 and the profit margin is 30%.

Can I calculate markup with this tool?

Yes. The calculator shows both profit margin and markup so you can compare profitability from both perspectives.