Business

Revenue Growth Calculator

Find annualized revenue growth and total change between comparable reporting periods.

Use a consistent reporting periodCheck the calculation below
Business dashboard
Business dashboard

Use figures from the same reporting period.

See the method

Enter your business figures

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Your key metric

Your result

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Use the Calculate button to see your result.

Review the method below for assumptions and conventions.

How to use this tool

  1. Enter starting period revenue, ending period revenue, years between periods.
  2. Select Calculate to view the result.
  3. Check the method and assumptions below before using the result.

Input reference and sample values

Use the units and choices shown for each field. Sample values are provided for practice, not as recommendations.

InputFormat and unitsSample
Starting period revenueNumeric value. Unit: money. Must be greater than zero.100000
Ending period revenueNumeric value. Unit: money. Zero or positive.144000
Years between periodsNumeric value. Unit: years. Must be greater than zero. Maximum: 100.2

Result for these sample inputs

20 percent
Total revenue growth (%)
44
Revenue change
44000
Period (years)
2

Annualized growth (CAGR) smooths the change into one constant yearly rate. It does not describe the actual path of revenue.

Select Try the example in the form to load these values and calculate them again. This replaces the current form inputs. Compare the result with the method and worked explanation below.

The method, explained

Revenue CAGR = [(ending revenue ÷ starting revenue)^(1 ÷ years) − 1] × 100. Total growth = (ending revenue ÷ starting revenue − 1) × 100.

A WORKED EXAMPLE

Annual revenue rising from 100,000 to 144,000 over two years has a 20% annualized growth rate and 44% total growth.

What to keep in mind

Compare equal-length reporting periods, such as annual revenue to annual revenue. CAGR smooths intervening fluctuations and is not an actual year-by-year history. Starting revenue must be positive; ending revenue cannot be negative.

Common questions

Why is CAGR different from total growth?

Total growth covers the entire interval. CAGR expresses the constant compounded yearly rate that would connect the endpoints.

Can I enter six months?

Yes. Enter 0.5 years and compare equivalent revenue periods. Annualizing a short or seasonal interval can exaggerate its significance.

Methodology maintained by ClarityKit. How these tools are built and checked.