FREE TOOL · NO SIGN-UP

Revenue Target Calculator

Work back from your profit goal to the revenue you need.

Your numbers

Change any value to update your estimate.

Currency changes the label only. No exchange conversion or local tax rules are applied.

Selected currency
Selected currency
Percent (%)

Required revenue

AED 50,000.00
Variable costs at targetAED 20,000.00

An illustration based on your inputs, not a quote or recommendation.

Read the formula and assumptions below before making a decision.

Revenue Target: worked example

This is an illustrative scenario using the default inputs, not your personal result. Amounts use AED for illustration; the general formula also accepts your own figures in the selected currency.

Example inputs
InputExample value
Fixed costs for the periodAED 20,000.00
Target profit for the periodAED 10,000.00
Variable costs as a share of revenue40%

Required revenue: AED 50,000.00

  • Variable costs at target: AED 20,000.00

Before you use this estimate

Keep fixed costs, profit and variable cost share on one period. Check whether the assumed cost ratio remains realistic at the resulting sales volume.

Why does a higher variable cost share increase the revenue target?

A smaller part of each sale remains to cover fixed costs and profit. Dividing by the remaining contribution share accounts for this relationship.

How the calculation works

Revenue = (fixed costs + target profit) / (1 − variable cost ratio).

Assumptions & limitations

Use one consistent period. Assumes the variable cost share stays constant; excludes tax unless included in your inputs.

Use the result thoughtfully

Try a second scenario to see how a change in costs, timing or contributions affects the result. Keep all amounts in one currency and use consistent periods. Confirm important figures against your own records before acting.

Last reviewed: 3 November 2026 · Method and example review by CashOrbits.
Full precision is used for calculations; displayed amounts are rounded.