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Free tool / about 30 seconds

GP Health

What you get in about 30 seconds: Labor GP%, Parts GP%, and overall GP% compared to typical shop benchmarks.

Enter sales and cost below. Instant margins, no signup.

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Labor

Parts

Labor GP%

70.0%

Parts GP%

40.0%

Overall GP%

56.7%

Why Gross Profit Health Matters

Gross profit is the lifeblood of any auto repair shop. While top-line revenue gets the attention, it's your GP margins that determine whether your shop is actually profitable, or just busy.

Industry Benchmarks

  • Labor GP: Well-run shops target 65–72%. Below 55% signals pricing or efficiency issues.
  • Parts GP: Healthy range is 45–55%. Matrix pricing is essential to stay competitive.
  • Overall GP: Combined target of 55–62% keeps your shop financially healthy.

What to Watch For

  • Declining labor GP: Often caused by technician pay increases without matching rate adjustments.
  • Low parts GP: Audit your parts matrix and reduce dealer-part reliance to recover margin.
  • Seasonal swings: Most shops see Q1 dips — track monthly to spot patterns early.

Benchmarks referenced from leading automotive coaching groups including ATI, Elite Worldwide, Transformers Institute, Shop Fix Academy, 180BIZ, DRIVE, and the Institute for Automotive Business Excellence.

Want GP health tracked automatically?

PULSE by DataDyne connects to your shop management system and monitors gross profit margins in real-time. No spreadsheets needed.

See this live in PULSE →