ROI Calculator
Calculate return on investment (ROI), net gain or loss and total return from an investment. Enter your initial investment and final value to estimate your investment performance.
Calculate your investment return
Enter amounts in Indian rupees (₹). Results update instantly.
What is Return on Investment (ROI)?
Return on investment (ROI) is a financial metric used to compare the gain or loss from an investment with its original cost. It is commonly expressed as a percentage. Businesses and individuals use ROI to review the outcome of projects, marketing campaigns, equipment purchases and other investments.
This free ROI calculator uses the initial investment and final value you enter to estimate the net gain or loss and simple ROI percentage. A positive ROI means the final value is higher than the initial investment; a negative ROI means the final value is lower.
How to use this ROI Calculator
- Enter initial investment: Add the original amount invested, in rupees.
- Enter final value: Add the current or ending value of that investment.
- Review the result: The calculator shows ROI as a percentage and the net gain or loss in rupees.
- Compare scenarios: Change the values to compare different investment outcomes.
- Reset when needed: Use Reset values to clear both fields to zero.
ROI calculation formula
Simple ROI compares the net gain or loss with the original investment.
Final value − Initial investment(Net gain or loss ÷ Initial investment) × 100Important: This calculator uses a simple, non-annualized ROI formula. It does not calculate annualized returns or account for multiple deposits, withdrawals, fees, taxes, inflation or risk. For investments with multiple cash flows or different holding periods, a different method may be needed.
ROI calculation example
Suppose a business invests ₹10,000 in equipment or a project and the resulting value is ₹12,500. The net gain is ₹2,500 and the simple ROI is 25%.
| Initial investment | ₹10,000 |
|---|---|
| Final value | ₹12,500 |
| Net gain | ₹2,500 |
| Simple ROI | 25% |
How to interpret ROI
- Positive ROI: The final value is greater than the initial investment, indicating a gain before any unentered costs.
- Zero ROI: The final value equals the initial investment, so there is no gain or loss in this simple calculation.
- Negative ROI: The final value is lower than the initial investment, indicating a loss.
- Compare like with like: Consider time period, risk, fees and cash-flow timing before comparing different investments.
Frequently asked questions
What does ROI stand for?
ROI stands for return on investment. It measures the gain or loss relative to the original investment amount.
How do I calculate ROI percentage?
Subtract the initial investment from the final value, divide the result by the initial investment and multiply by 100.
Can ROI be negative?
Yes. ROI is negative when the final value is lower than the initial investment.
What is a good ROI?
There is no single good ROI for every situation. It depends on the investment type, time period, risk, costs and available alternatives.
Does this calculator show annualized ROI?
No. It calculates simple, non-annualized ROI. Annualized return requires the investment holding period and may require a different formula.
Does ROI include fees and taxes?
Not automatically. For a more realistic estimate, account for relevant fees, taxes and other costs in the final value or adjust your figures before calculating.
General educational information only. This calculator is not investment advice and does not predict future performance.