Return on Investment (ROI) Calculator
Calculate your Return on Investment (ROI) to measure how profitable an investment has been. Enter your initial investment and total return to instantly calculate your ROI percentage and net profit using your preferred currency.
How to Use
Enter your total investment cost.
Enter the total return from your investment.
Click Calculate ROI.
Your ROI percentage will appear instantl
ROI Calculator
Enter your investment amount and return below to calculate your return on investment (ROI), profit or loss, and ROI percentage.
Example Calculation
This example shows how the ROI Calculator works using sample figures.
Example
Investment Cost: £1,000
Total Return: £1,500
Result
Net Profit: £500
ROI: 50%
Calculation Formula
Net Profit = Total Return − Initial Investment
ROI (%) = (Net Profit ÷ Initial Investment) × 100
For this example:
ROI = (£500 ÷ £1,000) × 100 = 50%
This example demonstrates how ROI is calculated. Enter your own investment cost and total return into the calculator above to calculate your result instantly.
What Do These Results Mean?
Initial Investment – The amount of money originally invested or spent.
Total Return – The total value received from the investment, including the original investment and any profit or loss.
Net Profit – The amount gained or lost after subtracting the initial investment from the total return.
ROI – The percentage gain or loss compared with the original investment. A positive ROI indicates a gain, while a negative ROI indicates a loss.
ROI Calculation Explained
The ROI Calculator compares the amount invested with the return received to show whether the investment produced a gain or loss and how large that result is relative to the original investment.
Investment Amount
The total amount of money invested or spent.
Return Amount
The total amount received back from the investment.
Profit or Loss
The difference between the return amount and the original investment.
ROI Percentage
ROI expresses the profit or loss as a percentage of the original investment amount.
Interpreting the Result
A positive ROI means the return was greater than the investment. A negative ROI means the investment resulted in a loss.
ROI Terms Explained
Understand the key financial terms used in the ROI Calculator.
ROI (Return on Investment)
A percentage used to measure the gain or loss from an investment relative to the original amount invested.
Investment
The money, time or resources committed in the expectation of receiving a return.
Return
The amount received back from the investment.
Profit
The amount by which the return exceeds the original investment.
Loss
The amount by which the original investment exceeds the return received.
ROI Percentage
The profit or loss expressed as a percentage of the original investment amount.
Frequently Asked Questions
What is ROI?
Return on Investment (ROI) is a percentage that measures how much profit or loss an investment has generated compared to the amount originally invested. It helps you evaluate the performance and profitability of an investment.
How do you calculate ROI?
What is a good ROI?
A positive ROI means your investment generated a profit. In general, a higher ROI indicates a better return, although what is considered "good" depends on the type of investment, your goals, and the level of risk involved.
Can I use this calculator for any investment?
Yes. This calculator can be used for most types of investments, including stocks, property, business projects, marketing campaigns, equipment purchases, and other investments where you know the initial investment and total return.
ROI is calculated by subtracting the initial investment from the total return to find the net profit. The net profit is then divided by the initial investment and multiplied by 100. See the Example Calculation section above for a worked example.
Disclaimer
The results provided by this calculator are for informational and educational purposes only.
They are estimates based on the values you enter and should not be considered financial, accounting, tax, or legal advice.
Always verify important calculations and consult a qualified professional before making important business or financial decisions.