Free · Financial ratios
Operating Profit & Margin Calculator
Calculate operating income and the percentage of revenue it represents.
- Formula & worked example
- Private in your browser
- No signup
Your calculation
Enter enough known values to calculate the blanks.
Use one currency for your figures. Mixed-currency conversions use rates captured October 5, 2026, rather than live exchange rates.
How to use this calculator
- Enter the values you know in the units shown. Leave unknown values blank.
- Results update automatically as you type. Edit a result to calculate another value, or lock a value to keep it fixed.
- Reset restores the starting fields. A worked example appears below.
Use the result with context
Results are estimates for planning and education. Confirm rates, taxes, fees, and legal requirements with the relevant institution or a qualified professional before making a financial decision.
Formula and method
Operating income subtracts cost of goods sold and operating expenses from revenue. Divide the result by revenue to find operating margin; financing and income taxes are separate considerations.
Operating income ÷ Net revenue × 100
Worked example
Enter these known values and leave the other values blank.
- Revenue
- 100000 USD
- Cost of goods sold
- 60000 USD
- Operating expenses
- 15000 USD
- Operating income
- 25000 USD
- Operating margin
- 25 %
Assumptions and limitations
- Inputs must satisfy the validation rules. Editing a result can recalculate an earlier input; lock values you want to keep fixed.
- Currency conversions use the captured source rates from October 5, 2026; they are not live exchange rates.
Common questions
What does this operating margin calculation tell me?
Operating income subtracts cost of goods sold and operating expenses from revenue. Divide the result by revenue to find operating margin; financing and income taxes are separate considerations.
Can I calculate a different unknown?
Yes. Clear that field and enter the other known values. The calculator uses the available inverse equations.
References
The calculation equations, inverse formulas, units, and input rules were imported from this source. Bookify provides the interface and equation solver.