Profitability Calculator
Enter the initial value and the final value to calculate the profit and the profitability as a percentage.
Profit: $200.00
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How it works
Profitability measures the return of an investment relative to the amount initially applied. The formula is profitability (%) = (final value − initial value) / initial value × 100. A negative result indicates a loss (the final value ended up lower than the initial one). The profit in absolute terms is simply final value − initial value. Example: you invested 1,000 and cashed out 1,150: the profit was 150 and the profitability, 15%. If you had cashed out 800, the result would be −20%. Notice the asymmetry: after a 20% loss, you need a 25% gain to get back to the starting value (800 → 1,000). The calculation is gross: it does not subtract taxes, fees or inflation, and it does not account for time. 15% in 3 months and 15% in 3 years are very different returns; to compare different periods, use the Compound Interest Calculator.