Net Profit Calculator
Calculate net profit and net profit margin from revenue, COGS, and operating expenses.
Enter revenue and costs to calculate net profit.
Net Profit Formula
Net Profit = Revenue − COGS − Operating Expenses − Taxes − Interest
Net Margin = (Net Profit / Revenue) × 100%
Net Margin = (Net Profit / Revenue) × 100%
Example: Revenue: $200K, COGS: $80K, Expenses: $50K, Tax: $15K, Interest: $5K.
Net Profit = 200,000 − 80,000 − 50,000 − 15,000 − 5,000 = $50,000
Net Margin = (50,000 / 200,000) × 100 = 25%
Net Profit = 200,000 − 80,000 − 50,000 − 15,000 − 5,000 = $50,000
Net Margin = (50,000 / 200,000) × 100 = 25%
FAQ
What is the difference between gross and net profit?
Gross profit only subtracts COGS from revenue. Net profit subtracts all expenses including operating costs, taxes, interest, and depreciation — it's the "bottom line."
What is a good net profit margin?
10% is average across industries, 20%+ is considered excellent. Technology companies often achieve 15–30%, while grocery stores may operate at 1–3%.
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Last updated: 2026-08-08