keisoku

Profitability Ratio Calculator

Enter your sales, profit at each stage, total assets, and equity to instantly calculate gross, operating, and net margins along with key profitability ratios such as ROA and ROE.

Input

Enter the amounts from your income statement and balance sheet (units are up to you—just keep them all the same).

$
$
$
$
$
$
$

Result

ROE (return on equity)

18.8%

ROE

18.8 %

ROA

13.8 %

Ordinary profit margin

11.0 %

Profitability ratios

RatioFormulaValue
Gross profit marginGross profit ÷ Net sales35.0 %
Operating profit marginOperating profit ÷ Net sales12.0 %
Ordinary profit marginOrdinary profit ÷ Net sales11.0 %
Net profit marginNet income ÷ Net sales7.5 %
ROA (return on assets)Ordinary profit ÷ Total assets13.8 %
ROE (return on equity)Net income ÷ Shareholders' equity18.8 %

How it works

  • Gross profit margin = gross profit ÷ net sales, operating margin = operating profit ÷ net sales, ordinary profit margin = ordinary profit ÷ net sales, and net profit margin = net income ÷ net sales. Each result is multiplied by 100 and shown as a percentage.
  • ROA (return on assets) here is calculated as ordinary profit ÷ total assets × 100. Some definitions use operating profit or net income in the numerator, so align the formula when comparing figures.
  • ROE (return on equity) is calculated as net income ÷ shareholders' equity × 100. Equity is taken at period end for a simplified calculation, so the value may differ from methods that use the period average.
  • When a denominator such as sales, total assets, or equity is zero or left blank, that ratio is shown as “—” and excluded from the calculation. Enter all amounts in the same unit.
  • Higher profit margins, ROE, and ROA generally indicate better profitability, but appropriate levels vary widely by industry, company size, and economic conditions. Judge against peers and historical trends.
  • Note: results are approximate and do not guarantee any investment decision, credit assessment, or formal financial analysis.