Free ROAS calculator · No signup
ROAS Calculator.
Return on ad spend, calculated honestly. Enter spend, revenue, and gross margin. The calculator returns ROAS, the break-even ROAS your margin actually requires, and whether you are generating profit or quietly losing money.
Result
ROAS
3.00x
Break-even ROAS
1.82x
What your margin actually needs.
Gross profit (before ads)
$16,500
Net after ad spend
$6,500
Ad spend / revenue
33.3%
Verdict
Healthy
Reading the verdict
Your 3.00x ROAS is comfortably above the 1.82x your margin requires. The harder question is how much further you can push spend before the curve flattens.
How ROAS is calculated
The formula.
ROAS = revenue from ads ÷ ad spend. Expressed as a multiple. A $30,000 return on $10,000 of spend is a 3.0x ROAS.
The number ignores cost of goods, fulfilment, and overhead. It tells you what came back from the platforms, not what hit the bank account.
Break-even ROAS.
Calculated as 1 ÷ gross margin. A business running 50 percent gross margin needs at least a 2.0x ROAS to clear cost of goods. Anything less means every order loses money.
The break-even number is what most agency dashboards quietly skip. Without it, ROAS targets are arbitrary.