The simple equation to calculate operating margin is: Operating Margin = (Operating Income / Net Sales) x 100. Let's take a look at a real-world example from Apple's ...

Learn about gross, operating, and net profit margins, how each is calculated, and how businesses and investors can use them to analyze a company’s profitability.

Net profit margin shows how much revenue a company retains as profit after expenses. To calculate, subtract all expenses from revenue and divide by revenue, multiply by 100. High net profit margin ...

How to Calculate Profit Margin With Only Sales and Net Loss. A company's profit margin reveals how much of its earnings it gets to keep after it pays all of its expenses. It is a ratio of earnings ...

Gross Profit Margin: Formula and Calculation. Using the following formula, you can easily calculate gross profit margin: Gross Profit Margin = (Revenue – Cost of Goods Sold) / Revenue x 100 ...

To calculate net profit margin requires a few more steps because, as explained above, you must deduct operating costs as well as the cost of goods sold. So: Revenue, £100,000 – cost of goods £55,000 – ...

EBITDA margin is a financial metric used to assess a company’s profitability before accounting for interest, taxes, depreciation and amortization. This measure represents the percentage of revenue ...

EBITDA margin, by comparison, takes into account a broader range of operating expenses, while still excluding purely financial and accounting matters such as interest, taxes, depreciation and ...