Example 1 — Positive ROI
Inputs
- initialInvestment
- 100000
- finalValue
- 125000
Result
An investment of ₹1,00,000 that grows to ₹1,25,000 produces a profit of ₹25,000 and an ROI of 25.00%.
Finance
ROI Calculator
Calculate return on investment, profit or loss, and ROI percentage from an initial investment and final value.
ROI Calculator calculator
📊
ROI Calculator
Enter the values below to calculate your result.
₹
₹
📊
Your result will appear here
Enter the required values and click Calculate to see your result.
Advertisement
How does the roi calculator work?
Enter the amount originally invested and the final value of the investment. The calculator subtracts the initial investment from the final value to determine the profit or loss, then expresses that result as a percentage of the initial investment.
Formula
ROI = ((Final Value − Initial Investment) ÷ Initial Investment) × 100Examples
Example 2 — Negative ROI
Inputs
- initialInvestment
- 200000
- finalValue
- 170000
Result
An investment of ₹2,00,000 that falls to ₹1,70,000 produces a loss of ₹30,000 and an ROI of -15.00%.
Example 3 — No Profit or Loss
Inputs
- initialInvestment
- 100000
- finalValue
- 100000
Result
An investment of ₹1,00,000 that remains at ₹1,00,000 produces no profit or loss and an ROI of 0.00%.
About this calculator
An ROI calculator helps you calculate Return on Investment from an initial investment and its final value.
ROI shows the percentage gain or loss relative to the amount originally invested. A positive ROI indicates a gain, while a negative ROI indicates a loss.
ROI can be useful when comparing investments, business projects, purchases and other financial decisions. However, basic ROI does not account for how long the investment was held.
For investments held over different periods, CAGR or another annualized return measure may provide a more useful comparison.
This calculator does not account for taxes, inflation, financing costs, fees, additional investments, withdrawals or other cash flows unless they are already reflected in the initial and final values.
Frequently asked questions
What is ROI?
ROI stands for Return on Investment. It measures the profit or loss from an investment relative to the original amount invested.
How is ROI calculated?
ROI is calculated by subtracting the initial investment from the final value, dividing the result by the initial investment, and multiplying by 100.
Can ROI be negative?
Yes. A negative ROI means the final value is lower than the original investment.
What does a 25% ROI mean?
A 25% ROI means the investment generated a profit equal to 25% of the original investment. For example, a ₹1,00,000 investment with a 25% ROI produces a ₹25,000 gain.
What is a good ROI?
There is no universal good ROI. It depends on the investment type, risk, time period and alternative opportunities.
Does ROI consider time?
No. Basic ROI does not consider how long the investment took to generate the return. CAGR or another annualized return measure can be more useful when comparing investments held for different periods.
Is ROI the same as annual return?
No. ROI measures the total percentage gain or loss, while an annualized return accounts for the investment period.
Advertisement