Profit margin (overskudsgrad)
The profit margin (overskudsgrad) shows how large a share of revenue ends up as operating profit. It is calculated as operating profit divided by net revenue, multiplied by 100.
The figures behind the term
Profit margin: By legal form
| Legal form | Lower quartile | Median | Upper quartile | Companies |
|---|---|---|---|---|
| All active companies | -1.2 % | 5.2 % | 29.5 % | 10,910 |
| ApS | -4.2 % | 6.0 % | 33.1 % | 6,482 |
| A/S | 0.2 % | 4.4 % | 17.3 % | 3,075 |
Source: companydata.dk, CVR and annual reports, updated 28 October 2026
The profit margin measures the earning power of the operations themselves: how many øre of each revenue krone become operating profit once all operating costs are paid?
How the profit margin is calculated
Profit margin = operating profit (EBIT) / net revenue × 100. A company with DKK 20 million in revenue and DKK 2 million in operating profit has a profit margin of 10%.
Frequently asked questions
What is a good profit margin?
It depends on the industry. Retail often sits at a few percent, while software and consulting can exceed 20 %. The median for Danish companies with known revenue is shown on this page.
How is the profit margin calculated?
Profit margin = profit / revenue x 100. Some use operating profit (EBIT) in the numerator, others profit for the year; companydata.dk uses profit for the year.
Why can the profit margin not be calculated for every company?
Small companies in reporting class B may omit revenue from the annual report. Without revenue there is no denominator, and the ratio cannot be calculated.
Related terms
Operating profit (EBIT)
Operating profit (EBIT, Earnings Before Interest and Taxes) is the result of a company's core operations, before financial items and tax. It shows whether the business itself makes money.
Revenue (omsætning)
Revenue (nettoomsætning) is a company's total income from sales of goods and services in the fiscal year, excluding VAT and net of discounts.
Return on assets (afkastningsgrad)
Return on assets (afkastningsgrad) shows how much operating profit a company generates per krone tied up in assets. It is calculated as operating profit divided by the balance sheet total, multiplied by 100.
Gross profit (bruttofortjeneste)
Gross profit (bruttofortjeneste) is revenue minus the direct costs of delivering goods or services (e.g. cost of goods sold). For most small Danish companies, gross profit is the top line of the published financial statements, because revenue may be omitted.