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Your result

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Net Profit After Ads

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ROAS

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Cost per Order

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Orders After Returns

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Conversion rate, CPC and returns vary a lot by product, price and season. Use the numbers from your own ads dashboard and store for the most useful answer.

Estimates only. Results are estimates for information only. They are not tax, legal or financial advice, and they do not account for your full circumstances. Please confirm the result with a qualified professional or the official source before you rely on it or act on it.

What this calculator does

A high ROAS on your ads dashboard doesn't always mean you're making money. Product costs, returns, undelivered cash-on-delivery orders and the GST on ad spend all eat into what's left. This calculator starts from your ad budget and cost per click, follows the money through to delivered orders, and shows the profit you actually keep after paying for the ads.

How the numbers are calculated

Clicks = ad spend ÷ cost per click (GST is not part of the CPC).
Orders = clicks × conversion rate.
Orders after returns = orders × (100% − returns/RTO rate).
Revenue = orders after returns × average order value.
Gross profit = revenue × gross margin.
Ad cost = ad spend plus 18% GST (if switched on). Net profit = gross profit − ad cost.
ROAS = revenue ÷ ad cost. Break-even ROAS = 100 ÷ gross margin.

You can check the ROAS side on its own with our ROAS calculator, or work out your CPC from spend and clicks with the CPC & CPM calculator.

Worked example

Example numbers only: a store spends ₹10,000 on ads at ₹5 per click, converts 2% of visitors, has an average order of ₹1,500, a 40% margin and 10% returns, with GST on.

That's 2,000 clicks and 40 orders, of which 36 are kept. Revenue is ₹54,000 and gross profit ₹21,600. The ads cost ₹11,800 with GST, so net profit is ₹9,800. ROAS is about 4.58x against a break-even of 2.5x, and each kept order costs about ₹328 in ads — well under the ₹600 break-even.

How to improve your result

Cut returns and RTO first — confirm COD orders by call or WhatsApp and describe sizes and materials clearly, so fewer orders come back.
Raise your average order value with bundles, combos or a free-shipping threshold.
Improve product pages — clear photos, price and delivery time — so more clicks turn into orders.
Pause ads and products whose cost per order is above your break-even, and retarget people who viewed products or added to cart.
If you are GST-registered, ask your accountant whether you can claim the GST on ad spend as input tax credit. For questions about your ads account, see the Google Ads help centre.

A note on these numbers

The results are estimates based on the averages you enter. Real campaigns move up and down week to week, and this calculator doesn't include fixed costs like rent, salaries or payment gateway fees. If you'd like help running profitable paid ads for your store, talk to us.