Compare annual recurring revenue between periods to get the growth rate investors benchmark against.
Period-on-period growth expresses the change in annual recurring revenue as a percentage of where it started, so a rise from 10 to 12 and from 100 to 120 both read as 20%. Growth rate is the headline number in every board pack and investor update, and it is the basis of the forecasts built on top of it.
ARR Growth
Growth % = (ARR at end of year − ARR at start of year) ÷ ARR at start of year × 100
Growth % = (ARR at end of year − ARR at start of year) ÷ ARR at start of year × 100 Period-on-period growth expresses the change in annual recurring revenue as a percentage of where it started, so a rise from 10 to 12 and from 100 to 120 both read as 20%.
Growth rate is the headline number in every board pack and investor update, and it is the basis of the forecasts built on top of it.
This calculator takes 2 inputs: ARR at start of year, ARR at end of year. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.