For example, if your revenue is $100,000, and your COGS is $50,000, your gross profit margin would be (100,000 - 50,000)/100,000. This equation returns a gross profit margin of 50%. 2. Operating ...

Gross profit, operating profit, and net profit margins are important measures for analyzing an income statement. Each profit margin measure shows the amount of profit per dollar of a company’s ...

This formula starts with the net income (profit after all expenses) and adds back interest and taxes to isolate the operating earnings. Example Calculation of EBIT Copied ...

In the example above, Apple's operating margin of 30.2% is found by dividing its operating profit of $33.5 billion by its revenue of $111.4 billion and multiplying that amount by 100.