What is the formula for cost per brick?

Cost per brick = total cost of production for a period ÷ number of good bricks produced in that period. Include raw material, fuel, labour, transport, power, repairs and other expenses.

Should damaged bricks be counted when calculating cost per brick?

No. Divide by good bricks only, because damaged bricks cannot be sold. In the example on this page, dividing by all 3,06,000 bricks gives ₹2.42, but the true cost per sellable brick is ₹2.47.

How often should a brick kiln calculate cost per brick?

Every month at least, and for the full season or financial year. Monthly figures show problems early, such as rising fuel or more damaged bricks.

Can software calculate cost per brick automatically?

Yes. BrickManager brick kiln management software builds a profit & loss report from your production, purchase and expense entries, and shows the cost per brick for any period you choose.

Brick kiln guide

How to Calculate Cost per Brick for a Brick Kiln

Knowing what one brick really costs you to make is the first step to pricing right and protecting your profit. Here is the formula, every cost to include and a worked example in rupees.

By BrickManager · 27 October 2026

The Cost per Brick Formula

Cost per brick = Total production cost ÷ Good bricks produced

Work it out for a fixed period, such as a month or a season. Add up every cost of making bricks in that period, then divide by the number of good bricks, not counting damaged ones, because only good bricks can be sold.

Costs to Include

Missing even one regular cost makes bricks look cheaper than they are. Include all of these, with the amounts from our example month:

Brick kiln production costs for one example month
Cost	What it covers	Example month
Raw material	Soil, fly ash, cement, sand and any other material used	₹3,20,000
Fuel	Coal, wood or other fuel used to fire the kiln	₹1,80,000
Labour	Wages for moulders, loaders, firemen and other workers	₹1,50,000
Diesel & transport	Diesel for machines and vehicles, transport on purchases	₹40,000
Power & repairs	Electricity, machine and kiln maintenance	₹30,000
Other expenses	Office, staff food, small purchases and the rest	₹20,000
Total production cost		₹7,40,000

Worked Example

In the example month the kiln made 3,06,000 bricks, of which 6,000 were damaged, leaving 3,00,000 good bricks.

1Total production cost₹7,40,000
2Good bricks produced3,00,000
3Cost per brick₹7,40,000 ÷ 3,00,000 = ₹2.47

Why good bricks only? Dividing by all 3,06,000 bricks gives ₹2.42, which hides the cost of the damaged ones. The true cost of a brick you can sell is ₹2.47. Sell below that and you lose money on every brick.

How to Lower Your Cost per Brick

Cut damaged bricks

Every broken brick still used material, fuel and labour. Track damage per batch and shift to find where it happens.

Watch material per brick

Compare bricks made per bag of cement or tonne of fly ash month to month. A drop usually means waste.

Buy raw material at the right time

Low stock forces rushed, costly purchases. Reorder before material runs out.

Know where every rupee goes

Record expenses by category so small, regular costs like diesel and repairs do not go unnoticed.

Get Your Cost per Brick Automatically

Adding all this up by hand every month takes hours. BrickManager brick kiln management software takes your daily production entries, purchases and expenses, and its profit & loss report shows your cost per brick for any period. The production screen also tracks damaged bricks and bricks made per bag of cement, the two numbers that move your cost the most.

Try BrickManager