Calculate CAC LTV

LTV-to-CAC ratio = expected lifetime gross profit per customer ÷ customer acquisition cost.

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Customer lifetime gross profit

Acquisition cost per customer

Answer

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LTV-to-CAC ratio = expected lifetime gross profit per customer ÷ customer acquisition cost.

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Use gross profit rather than revenue for this definition. You supply the lifetime estimate; no churn stability or future behavior is inferred.

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Updated 2026-09-26

Using Calculate CAC LTV

LTV-to-CAC ratio = expected lifetime gross profit per customer ÷ customer acquisition cost.

Use gross profit rather than revenue for this definition. You supply the lifetime estimate; no churn stability or future behavior is inferred.

Next: ROAS calculator

A worked example

With customer lifetime gross profit = 600, acquisition cost per customer = 150, the ltv to cac ratio is 4.

Next: Payback period calculator

Before you use the result

Use gross profit rather than revenue for this definition. You supply the lifetime estimate; no churn stability or future behavior is inferred.

Example results for customer lifetime gross profit

These examples use Acquisition cost per customer: 150. They are reference calculations, not recommended settings.

Customer lifetime gross profit	LTV to CAC ratio
300	2
600	4
1200	8

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ToolOctopus. “Calculate CAC LTV.” Updated 2026-09-26. https://tooloctopus.com/cac-ltv-calculator.

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