Net Profit Margin Calculator: Measure a Company’s True Profitability

Want to know how much profit a company actually keeps from its revenue? The Net Profit Margin (NPM) is the perfect metric to find out. With our Net Profit Margin Calculator, you can instantly calculate a company’s profitability and understand its financial health.

What is Net Profit Margin?

Net Profit Margin shows the percentage of revenue that remains as profit after deducting all expenses, including operating costs, interest, taxes, and other overheads.

Formula: Net Profit Margin (%)=Net ProfitRevenue×100\text{Net Profit Margin (\%)} = \frac{\text{Net Profit}}{\text{Revenue}} \times 100Net Profit Margin (%)=RevenueNet Profit​×100

• Net Profit: Total profit after all expenses.
• Revenue: Total income from sales.

How to Use the Calculator

1. Enter Net Profit in ₹.
2. Enter Revenue in ₹.
3. Click Calculate.

You’ll see the Net Profit Margin along with a color-coded indicator:

• ✅ Strong (≥ 15%) – High profitability.
• ⚠️ Moderate (5–14%) – Average profitability.
• ❌ Low (< 5%) – Low profitability.

Why Net Profit Margin Matters

• Investors: Check if the company generates healthy profits after all costs.
• Business Owners: Understand how efficiently the business converts revenue into profit.
• Analysts: Compare companies and industries to identify strong performers.

A higher Net Profit Margin means better control over costs and stronger financial health.

Try the Calculator Now

Use our Net Profit Margin Calculator above to quickly evaluate any company’s profitability and make smarter investment or business decisions.