ROAS 100% is not the breakeven point — what most ad reports get wrong

I keep hearing this line in marketing reviews: "Our ad ROAS is 300%, so we're profitable." For a 50% gross margin product, that's true. For a 20% gross margin product, that's a loss. The same line, the same number, opposite conclusions. This isn't an exotic edge case. ROAS alone tells you nothing about whether you're profitable. The math is small but it almost never gets put on the same slide as the ROAS number itself. ROAS 100% is not the breakeven point ROAS divides ad-attributed revenue (pre-