Margin % (Insights Dashboards)

Definition

:question_mark:

Margin % expresses how much profit you earn from sales relative to revenue over the selected scope (customer/product, time period, and filters). It is a revenue-weighted profitability ratio.

Formula

Margin % = sum(Profit)/sum(Revenue)

Profit and Revenue are taken from the Aggregated Transactions structure.

Example

Over the last 12 months for a customer segment:

  • Total Revenue = 1,000,000

  • Total Profit = 230,000

Margin % = 230,000 / 1,000,000 = 0.23 = 23%