diff --git a/news/262.bugfix b/news/262.bugfix
new file mode 100644
index 0000000..a438a13
--- /dev/null
+++ b/news/262.bugfix
@@ -0,0 +1,1 @@
+Add `-b`, `--profile` to the `configure` subcommand for specifying build profile.
diff --git a/src/mbed_tools/cli/configure.py b/src/mbed_tools/cli/configure.py
index 360c389..24b49d8 100644
--- a/src/mbed_tools/cli/configure.py
+++ b/src/mbed_tools/cli/configure.py
@@ -25,6 +25,7 @@ from mbed_tools.build import generate_config
     help="The toolchain you are using to build your app.",
 )
 @click.option("-m", "--mbed-target", required=True, help="A build target for an Mbed-enabled device, eg. K64F")
+@click.option("-b", "--profile", default="develop", help="The build type (release, develop or debug).")
 @click.option("-o", "--output-dir", type=click.Path(), default=None, help="Path to output directory.")
 @click.option(
     "-p",
@@ -42,6 +43,7 @@ from mbed_tools.build import generate_config
 def configure(
     toolchain: str,
     mbed_target: str,
+    profile: str,
     program_path: str,
     mbed_os_path: str,
     output_dir: str,
@@ -61,12 +63,13 @@ def configure(
         custom_targets_json: the path to custom_targets.json
         toolchain: the toolchain you are using (eg. GCC_ARM, ARM)
         mbed_target: the target you are building for (eg. K64F)
+        profile: The Mbed build profile (debug, develop or release).
         program_path: the path to the local Mbed program
         mbed_os_path: the path to the local Mbed OS directory
         output_dir: the path to the output directory
         app_config: the path to the application configuration file
     """
-    cmake_build_subdir = pathlib.Path(mbed_target.upper(), "develop", toolchain.upper())
+    cmake_build_subdir = pathlib.Path(mbed_target.upper(), profile.lower(), toolchain.upper())
     if mbed_os_path is None:
         program = MbedProgram.from_existing(pathlib.Path(program_path), cmake_build_subdir)
     else:

diff --git a/tests/cli/test_build.py b/tests/cli/test_build.py
index d680ee9..42e5852 100644
--- a/tests/cli/test_build.py
+++ b/tests/cli/test_build.py
@@ -186,6 +186,29 @@ class TestBuildCommand(TestCase):
             generate_config.assert_called_once_with(target.upper(), toolchain.upper(), program)
             self.assertEqual(program.files.app_config_file, app_config_path)
 
+    def test_profile_used_when_passed(
+        self, generate_config, mbed_program, build_project, generate_build_system
+    ):
+        program = mbed_program.from_existing()
+        mbed_program.reset_mock()  # clear call count from previous line
+
+        with mock_project_directory(program, mbed_config_exists=True, build_tree_exists=True):
+            generate_config.return_value = [mock.MagicMock(), mock.MagicMock()]
+
+            toolchain = "gcc_arm"
+            target = "k64f"
+            profile = "release"
+
+            runner = CliRunner()
+            runner.invoke(build, ["-t", toolchain, "-m", target, "--profile", profile])
+
+            mbed_program.from_existing.assert_called_once_with(
+                pathlib.Path(os.getcwd()),
+                pathlib.Path(target.upper(), profile, toolchain.upper())
+            )
+            generate_config.assert_called_once_with(target.upper(), toolchain.upper(), program)
+            generate_build_system.assert_called_once_with(program.root, program.files.cmake_build_dir, profile)
+
     def test_build_folder_removed_when_clean_flag_passed(
         self, generate_config, mbed_program, build_project, generate_build_system
     ):
diff --git a/tests/cli/test_configure.py b/tests/cli/test_configure.py
index 2ae90b1..0483e99 100644
--- a/tests/cli/test_configure.py
+++ b/tests/cli/test_configure.py
@@ -59,3 +59,23 @@ class TestConfigureCommand(TestCase):
 
         generate_config.assert_called_once_with("K64F", "GCC_ARM", program)
         self.assertEqual(program.files.app_config_file, app_config_path)
+
+    @mock.patch("mbed_tools.cli.configure.generate_config")
+    @mock.patch("mbed_tools.cli.configure.MbedProgram")
+    def test_profile_used_when_passed(self, program, generate_config):
+        test_program = program.from_existing()
+        program.reset_mock()  # clear call count from previous line
+
+        toolchain = "gcc_arm"
+        target = "k64f"
+        profile = "release"
+
+        CliRunner().invoke(
+            configure, ["-t", toolchain, "-m", target, "--profile", profile]
+        )
+
+        program.from_existing.assert_called_once_with(
+            pathlib.Path("."),
+            pathlib.Path(target.upper(), profile, toolchain.upper())
+        )
+        generate_config.assert_called_once_with("K64F", "GCC_ARM", test_program)

`mbed-tools configure` generates `mbed_config.cmake` under `develop`, and doesn't have a `-b` option
From the PR description and commit msg, it says that configs and builds should now live under `cmake_build/TARGET/PROFILE/TOOLCHAIN`, but this line makes `mbed-tools configure` always generate the `mbed_config.cmake` under `cmake_build/TARGET/develop/TOOLCHAIN`. Why is this?

_Originally posted by @wmmc88 in https://github.com/ARMmbed/mbed-tools/pull/175#discussion_r606712097_
tests/cli/test_configure.py::TestConfigureCommand::test_profile_used_when_passed
tests/cli/test_build.py::TestBuildCommand::test_raises_if_target_identifier_not_int tests/cli/test_build.py::TestBuildCommand::test_build_flash_options_bin_target tests/cli/test_build.py::TestBuildCommand::test_build_flash_only_identifier_device tests/cli/test_build.py::TestBuildCommand::test_calls_generate_build_system_if_build_tree_nonexistent tests/cli/test_build.py::TestBuildCommand::test_build_system_regenerated_when_mbed_os_path_passed tests/cli/test_build.py::TestBuildCommand::test_sterm_is_started_when_flag_passed tests/cli/test_build.py::TestBuildCommand::test_profile_used_when_passed tests/cli/test_build.py::TestBuildCommand::test_searches_for_mbed_program_at_user_defined_project_root tests/cli/test_build.py::TestBuildCommand::test_build_folder_removed_when_clean_flag_passed tests/cli/test_build.py::TestBuildCommand::test_raises_if_gen_config_toolchain_not_passed_when_required tests/cli/test_build.py::TestBuildCommand::test_app_config_used_when_passed tests/cli/test_build.py::TestBuildCommand::test_searches_for_mbed_program_at_default_project_path tests/cli/test_build.py::TestBuildCommand::test_generate_config_called_if_config_script_nonexistent tests/cli/test_build.py::TestBuildCommand::test_build_flash_options_hex_target tests/cli/test_build.py::TestBuildCommand::test_custom_targets_location_used_when_passed tests/cli/test_build.py::TestBuildCommand::test_raises_if_gen_config_target_not_passed_when_required tests/cli/test_build.py::TestBuildCommand::test_raises_if_target_identifier_negative tests/cli/test_build.py::TestBuildCommand::test_raises_if_device_does_not_have_serial_port_and_sterm_flag_given tests/cli/test_build.py::TestBuildCommand::test_build_flash_both_two_devices tests/cli/test_configure.py::TestConfigureCommand::test_generate_config_called_with_correct_arguments tests/cli/test_configure.py::TestConfigureCommand::test_generate_config_called_with_mbed_os_path tests/cli/test_configure.py::TestConfigureCommand::test_custom_output_directory_used_when_passed tests/cli/test_configure.py::TestConfigureCommand::test_custom_targets_location_used_when_passed tests/cli/test_configure.py::TestConfigureCommand::test_app_config_used_when_passed