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How MarginPatrol Calculates Profit

MarginPatrol starts with Shopify sales, subtracts discounts and refunds, then subtracts product costs, actual shipping costs, payment fees and ad spend.

Key Points

  • Net revenue = product sales + shipping charged - discounts - refunds.
  • Profit before ads = net revenue - product costs - shipping costs - payment fees.
  • Profit after ads = profit before ads - ad spend.
  • Taxes are excluded from MarginPatrol operating profit in v1.
  • This is operating profit for daily monitoring, not tax or accounting profit.