Definition
Profit is the net amount won after subtracting the stake. It is not the same as total payout, because payout includes the original stake returned on a winning bet.
Formula: profit = total payout - stake
For American odds:
profit at positive odds = stake × (odds / 100)
profit at negative odds = stake × (100 / |odds|)
A losing bet has negative profit equal to the stake lost.
Worked Example
A bettor places $110 on a team at -110 odds.
If the bet wins, the sportsbook returns the $110 stake plus $100 in winnings.
Total payout: $210
Profit: $210 - $110 = $100
If the same bet loses, the bettor receives no payout.
Profit: $0 - $110 = -$110
For a $50 bet at +150 odds, the profit on a win is:
$50 × (150 / 100) = $75
Total payout is $125, but profit is $75.
Why It Matters
Profit separates the money earned from the stake that was only returned. Tracking profit helps a bettor compare bet sizes, odds, and results without confusing payout volume for actual net gain.