ROAS Calculator

Calculate Return on Ad Spend and see break-even ROAS and estimated net profit after COGS.

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ROAS Calculator

Enter revenue and ad spend — results update instantly.

ROAS
Gross Profit
Profit Margin

What is ROAS (Return on Ad Spend)?

ROAS is the ratio of revenue generated from advertising to the amount spent on that advertising. It helps you understand how effectively your ad budget is driving revenue.

How to Calculate ROAS

Divide total revenue attributable to ads by the ad spend: ROAS = Revenue from Ads / Ad Spend.

ROAS Formula

ROAS (ratio) = Revenue / Ad Spend — displayed as 5.00x for a 5x ROAS. ROAS (%) = ROAS × 100 (e.g., 500%).

Real-World Example

If your ads generated $5,000 in revenue and you spent $1,000 on ads, your ROAS is 5.00x (500%). If your gross margin is 30%, your break-even ROAS is 1 / 0.30 = 3.33x.

Why ROAS Matters

ROAS helps prioritize campaigns, decide budget allocation, and quickly identify underperforming channels. Combined with margin metrics it also helps determine true profitability.