Financial Ratio Calculator
Current, quick, cash, debt/equity, gross/net margin, ROA, ROE, and asset turnover.
Written by Golam Rabbani, Founder & Lead Engineer
How to use this financial ratio calculator
- Fill in any of the balance sheet and income statement fields you have on hand.
- You do not have to fill every field — ratios that cannot be calculated will show a dash.
- Press Calculate ratios to see liquidity, leverage, profitability, and efficiency ratios.
- Use Copy all ratios to put the full breakdown on your clipboard, or Reset to start over.
About this financial ratio calculator
Financial ratios convert raw balance sheet and income statement figures into comparable indicators of liquidity, leverage, profitability, and efficiency. The definitions used here follow CFA Institute and Investopedia conventions: current ratio = current assets ÷ current liabilities; quick ratio = (current assets − inventory) ÷ current liabilities; debt-to-equity = total liabilities ÷ shareholder equity; gross margin = (revenue − COGS) ÷ revenue; net margin = net income ÷ revenue; ROA = net income ÷ total assets; ROE = net income ÷ shareholder equity; asset turnover = revenue ÷ total assets.
Worked example. A company reports cash $50k, receivables $20k, inventory $30k, total current assets $120k, total current liabilities $60k, total liabilities $200k, total assets $500k, equity $300k, revenue $800k, COGS $480k, net income $80k. Current ratio = 120 ÷ 60 = 2.00 (healthy). Quick ratio = (120 − 30) ÷ 60 = 1.50. Debt-to-equity = 200 ÷ 300 = 0.67. Gross margin = (800 − 480) ÷ 800 = 40.0%. Net margin = 80 ÷ 800 = 10.0%. ROA = 80 ÷ 500 = 16.0%. ROE = 80 ÷ 300 = 26.7%. Asset turnover = 800 ÷ 500 = 1.60.
Ratios are only useful in comparison — to prior periods, to peers in the same industry, or to a target threshold (current ratio ≥ 1.5, D/E ≤ 2.0 are typical guides). All math runs locally.
FAQ
- Which ratios does this tool compute?
- Ten in total: current, quick, and cash ratios (liquidity); debt-to-equity and debt-to-assets (leverage); gross margin, net margin, ROA, and ROE (profitability); and asset turnover (efficiency).
- Why do some ratios show a dash?
- A ratio is only computed when every input it needs is provided and the denominator is non-zero. Fill in more fields — for example, you need both revenue and net income to get net margin.
- What benchmarks should I use?
- Common guides: current ratio 1.5-3.0, quick ratio ≥ 1.0, D/E < 2.0 (industry-dependent), gross margin 30-60% for product companies, ROE 10-20% for mature businesses. Always compare to industry peers — capital-intensive industries have very different "normal" values.
- What is the difference between ROA and ROE?
- ROA (return on assets) measures profit relative to every dollar of assets, regardless of how they are financed. ROE (return on equity) measures profit relative to shareholders' invested capital and is leveraged by debt.
- Should I use total liabilities or interest-bearing debt for D/E?
- Conventions differ. CFA materials usually use total liabilities. If you want a purer leverage view, replace total liabilities with long-term debt + short-term debt in the input field.
- Does the tool save my financial data?
- No. All values are computed in your browser; nothing is uploaded, logged, or stored between visits.