Profit Factor Calculator
Compare the sums of winning and losing closed trades.
How it works
Use closed-trade outcomes after fees, funding and other trading costs. Sum winners and absolute losers separately. Do not subtract those costs again if your trade results already include them. Deposits and withdrawals are not trade outcomes.
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How the Profit Factor Calculator works
This profit factor calculator divides the total profit of winning closed trades by the absolute total loss of losing closed trades. Enter both non-negative totals in the same currency. A factor of 1.5 means the sample earned 1.50 for each 1.00 lost; it is a ratio, not a return percentage.
How to calculate profit factor after trading costs
Start with each closed trade's result after commissions, funding and other trading costs. Add the positive results to the winning-profit total. Add the absolute values of negative results to the losing-loss total. Profit factor = winning profit ÷ losing loss; sample net profit = winning profit − losing loss. Do not include deposits, withdrawals or unrealized positions.
Example: winning results of 800, 500 and 200 total 1,500. Losing results of −600 and −400 total 1,000 in absolute losses. Profit factor is 1,500 ÷ 1,000 = 1.5, and the sample's net profit is 500. When costs are already included in those trade results, do not deduct them a second time.
Zero losses, no data and factors below one
With losses greater than zero, a factor above 1 means the sample's winning profit exceeded its losses, 1 means the totals matched, and below 1 means a net loss. If winning profit is zero and losses are positive, the factor is 0. These statements describe the entered sample, not future performance.
Both totals equal to zero produce an undefined ratio, not a factor of 0. Positive profits with zero losses also have no finite ratio. The calculator labels these cases separately rather than printing infinity as though it were a measured score.
Profit factor is different from expectancy and drawdown
Profit factor uses aggregate amounts and does not know the number or order of trades. It cannot measure return on your deposit, the average result per trade or the worst decline in account equity. A few large winners can dominate a small sample.
Use risk/reward and expectancy to study the relationship between win rate and payoff. Use drawdown recovery for the gain needed after an account loss, and risk of ruin for a separate model of a sequence of trades. Neither a high factor nor a sample without losses proves a strategy will remain profitable.
FAQ
Is profit factor the same as win rate?
No. Win rate counts winning trades as a share of all trades. Profit factor compares the money won with the money lost, so the size of wins and losses matters. These two amount inputs alone cannot recover the win rate.
Should I enter a negative losing-loss total?
No. Enter the absolute total as a non-negative number. A report showing −1,000 in losses becomes 1,000 in the losing-loss field.
Does this use gross or net trade results?
Use results after trading costs, then group the resulting winners and losers. Report labels such as Gross Profit often mean the aggregate of winning results; verify how your platform treats commissions and funding before copying its totals.