How profit is calculated
Profit = Revenue − Refunds − Costs of each sale − Ad spendCosts of each sale are the product, shipping and payment fees for every order. Refunds are revenue you gave back.
The result is what the campaign earned for you after everything it cost. Fixed costs such as rent or salaries are not included here; the full calculator can add them.
Why ROAS isn’t enough
ROAS only compares revenue with ad spend. Profit also counts what the products cost, so it shows whether the campaign was worth running.
Questions
What is a good profit margin for ads?
It depends on your business. What matters first is that it is positive: a negative margin means the campaign loses money on every sale.
Why do I need refunds?
Refunded sales count as revenue in your ad platform, but you give the money back. Leaving them out makes profit look higher than it is.
Can I check many campaigns at once?
Yes, in the app: import your Ads Manager export and every campaign gets its profit, break-even and a pause / fix / scale suggestion.