Business Profit Forecast
Project gross, operating and net profit from forecast revenue.
About Business Profit Forecast
Profit is walked down the income statement, subtracting COGS, operating expenses and then tax from revenue. A realistic profit forecast shows whether the business model scales or only looks good at the top line.
Formula
Business Profit Forecast
Gross = revenue - COGS; Operating = gross - opex; Net = operating - tax
- COGS
- Direct cost of the goods or services sold
Worked example
With the default values below, Business Profit Forecast returns Operating Profit of $60,000. Change any input above and every figure here is recalculated in your browser.
Inputs used
- Forecast revenue
- 250,000
- Cost of goods
- 100,000
- Operating expenses
- 90,000
- Tax rateaccepts 0–60 %
- 21 %
Results
- Gross Profit
- $150,000
- Operating Profit
- $60,000
- Estimated Tax
- $12,600
- Net Profit
- $47,400
Step by step
- 1Values used
- 2Business Profit Forecast
- 3Operating Profit= 60,000
- 4Gross Profit= 150,000
- 5Estimated Tax= 12,600
- 6Net Profit= 47,400
Assumptions and limits
- The result is derived only from the 4 inputs listed above. Anything not among them is not part of the calculation.
- In particular, this calculator does not take inflation or compounding frequency into account.
- Figures are rounded for display to whole numbers, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
- This is an estimate for general information and not professional financial, tax or legal advice. See the full disclaimer for the limits that apply to this kind of calculator.
How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.
Frequently Asked Questions
How is Business Profit Forecast calculated?
Gross = revenue - COGS; Operating = gross - opex; Net = operating - tax Profit is walked down the income statement, subtracting COGS, operating expenses and then tax from revenue.
Why does Business Profit Forecast matter?
A realistic profit forecast shows whether the business model scales or only looks good at the top line.
What values do I need to enter?
This calculator takes 4 inputs: Forecast revenue, Cost of goods, Operating expenses, Tax rate. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.
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