Define: Gross Margin

UK Accounting Glossary

Definition: Gross Margin

Quick Summary of Gross Margin

Sales minus cost of sales before deducting administration and selling expenses (another name for gross profit). Usually applied when discussing a particular line of activity.

What is the dictionary definition of Gross Margin?

Dictionary Definition


Full Definition of Gross Margin


Gross Margin FAQ's

What is the difference between EBIT and gross margin?

EBIT represents the profit your company makes after paying its operating expenses, but before paying income taxes and interest on debt.

Cite Term

To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
Modern Language Association (MLA):
Gross Margin. Payroll & Accounting Heaven Ltd. November 17, 2019
Chicago Manual of Style (CMS):
Gross Margin. Payroll & Accounting Heaven Ltd. (accessed: November 17, 2019).
American Psychological Association (APA):
Gross Margin. Retrieved November 17, 2019, from website:

Definition Sources

Definitions for Gross Margin are sourced/syndicated from:

This glossary post was last updated: 23rd December 2018.