Profit margin = (Profit ÷ Revenue) × 100
Gross profit = Revenue − Cost of Goods Sold
Gross profit margin = (Gross Profit ÷ Revenue) × 100
Operating profit = Gross Profit − Operating Expenses
Operating profit margin = (Operating Profit ÷ Revenue) × 100
Net profit = Revenue − Total Expenses
Net profit margin = (Net Profit ÷ Revenue) × 100
Use the same revenue figure for the margin you want to calculate
Convert the result to a percentage by multiplying by 100
Example: if revenue is 1000 and net profit is 200, net profit margin = (200 ÷ 1000) × 100 = 20%