Gross Margin Percentage
This calculated column uses a SharePoint formula to calculate gross margin as a percentage of the selling price. Because it lives in a calculated column, SharePoint fills the value in for every item automatically - no custom development and nothing for your users to type.
How It Works
- What it does: Shows profit as a percentage of the selling price.
- What you get: A percentage – Price 100 and Cost 60 shows 0.4 (40%).
- If a value is missing: If Price or Cost is blank, or Price is 0, you get a blank or an error instead of a percentage.
Common Use Cases
- Product or deal margin tracking
- Profitability views
- Pricing analysis
- Margin thresholds for review
Details
- Formula Type: Calculated Column
- Formula Category: Numbers & Money
Required Columns
| Display name | Column type |
|---|---|
| Price | Currency |
| Cost | Currency |
| Gross Margin Percentage | Calculated |
Prerequisites
- Create the columns the formula reads: Price and Cost
- Add or edit a few items so there is data for the formula to work with
How to Apply the Formula
- Add a column, choose More…, then select Calculated (calculation based on other columns)
- Set the data type returned from this formula to Number
- Paste the formula below into the Formula box
- Click OK to create the column
Formula
=([Price]-[Cost])/[Price]Common Questions About Gross Margin Percentage Formula
What does this formula do?
Profit as a % of price. It lives in a calculated column, so SharePoint fills the value in automatically for every item.
Which columns do I need to set this up?
You need: Price (Currency), Cost (Currency). The formula reads these to produce its result.
Can I change the formula for my own columns?
Yes. Swap the column names in brackets for your own, and adjust any numbers or text.
If LookBook 365 is code-free and out-of-the-box, why does this example use a formula?
A SharePoint formula is native, declarative configuration, not custom development. It only works with the item’s own fields and simple logic – it cannot run scripts, reach external services, or change other data, and nothing is deployed to your tenant. It keeps working through Microsoft updates. If you would rather not set this up yourself, this is exactly the kind of thing I configure for clients.
Gross Margin Percentage Formula Example