ROAS Calculator 🔒 Your data never leaves your browser.

Calculate return on ad spend, or the ad budget needed for a target ROAS.

About this tool

ROAS (Return on Ad Spend) is revenue divided by ad spend, usually shown as a ratio like "4x" or a percentage like "400%" — for every $1 spent on ads, $4 came back in revenue. Enter revenue and ad spend to get the ratio, the percentage and the resulting profit or loss instantly; switch to "Ad spend for target ROAS" to work backwards from a goal ratio (e.g. "I need 4x ROAS on $10,000 revenue — how much can I spend?") to find the maximum ad spend that still hits it.

The important caveat: ROAS measures gross return on the ad dollar, not profitability. It ignores cost of goods, shipping, refunds, payment fees and every other cost of doing business. A campaign can post an impressive 4x ROAS and still lose money if the product's margin is thin — $10,000 in revenue on $2,500 of ad spend is 4x ROAS, but if the product itself costs $8,500 to make and deliver, there is no profit left at all. Use ROAS to compare campaigns and channels; use profit margin (or a metric like POAS/true ROI that accounts for cost of goods) to decide whether the business itself is actually making money.

Frequently asked questions

A campaign has 4x ROAS — is it profitable?

Not necessarily — ROAS only compares revenue to ad spend, it doesn't know your product's cost of goods, shipping, or other overhead. A 4x ROAS on a product with thin margins can still lose money overall, while a 2x ROAS on a high-margin product can be very profitable. To judge actual profitability you need your break-even ROAS, which depends on your margin: break-even ROAS ≈ 1 ÷ profit margin (e.g. a 25% margin needs at least 4x ROAS just to break even).