Profit Margin Calculator — ₹2.5 Lakh cost, ₹3.5 Lakh price
For ₹2.5 Lakh cost, ₹3.5 Lakh price: Gross profit = ₹1,00,000, Profit margin = 28.6%, Markup = 40.0%. The margin and markup differ because margin is profit/revenue while markup is profit/cost.
Profit
₹400
Profit Margin
33.33%
Profit / Selling Price
Markup
50%
Profit / Cost Price
Margin % = (Profit / Selling Price) x 100. Markup % = (Profit / Cost Price) x 100. A 50% markup is only a 33.3% margin.
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Common questions about Profit Margin Calculator — ₹2.5 Lakh cost, ₹3.5 Lakh price
What is the profit margin on a ₹2,50,000 cost item sold for ₹3,50,000?
Profit = ₹3,50,000 − ₹2,50,000 = ₹1,00,000. Profit margin = ₹1,00,000 / ₹3,50,000 × 100 = 28.57%. Markup = ₹1,00,000 / ₹2,50,000 × 100 = 40.00%. Margin and markup are different: margin is always lower.
What is a good profit margin for a business?
Gross profit margin varies by industry: software/SaaS 70-90%, retail 20-40%, restaurants 3-9%, manufacturing 20-35%, trading 5-20%. A ${marginPct.toFixed(0)}% gross margin is above the retail average. Net margin (after overhead) is typically 10-30% of gross margin.