ROI Calculator

Calculate return on investment (ROI), net profit, total return, and annualized ROI for any business, marketing, or financial investment.

Quick Answer

An ROI calculator measures return on investment by comparing net profit to the cost of the investment.

ROI Formulas

ROI = (Net Profit / Cost of Investment) × 100 Net Profit = Final Value − Initial Investment Annualized ROI = ((Final Value / Initial Value)^(1/years) − 1) × 100

Example: Business Investment

Given

Initial Investment

$50,000

Final Value

$75,000

Time Period

3 years

Steps

  1. 1Net profit = $75,000 − $50,000 = $25,000
  2. 2ROI = ($25,000 / $50,000) × 100 = 50%
  3. 3Annualized ROI = (($75,000/$50,000)^(1/3) − 1) × 100 ≈ 14.47%

Result

ROI: 50% | Annualized ROI: ~14.47% per year

How to Use This Calculator

  1. 1

    Enter the initial investment amount (what you spent).

  2. 2

    Enter the final value or total revenue generated.

  3. 3

    Optionally enter the time period in years for annualized ROI.

  4. 4

    Click Calculate to see ROI, net profit, and annualized return.

Frequently Asked Questions

ROI (Return on Investment) is a measure of how much return you get relative to the cost of an investment. It is expressed as a percentage: ROI = (Net Profit / Cost) × 100.

Related Calculators

Last updated: June 2026