**Gross Profit Percentage of an Industry**
Jaap de Jonge, Editor, Netherlands

You can calculate the average industry Gross Profit Percentage by using the formula as provided

here for a representative sample or perhaps the top-10 companies in any industry. Just use annual reports or similar data.

You might use that to compare a company you are interested in with the industry average and see whether the company is performing better or worse than the industry as a whole. Obviously use the same method to calculate GPP for your firm that was used to calculate the industry average.

You might proceed with some more calculations and compare the trend of the industry average to the trend of the company you are analyzing.