Revenue Growth Calculator
Use this revenue growth calculator to work out the percentage increase or decrease in revenue from period to period.
To calculate revenue growth, enter the initial revenue in the “Initial value revenue” box and the final revenue in the “Final value revenue” box. Enter the number of periods in the “Number of periods” box. The tool will then show the revenue growth rate per period as well as the total growth in revenue as a percentage.
As well as calculating the revenue growth rate using the initial and final revenue values, you can also calculate how much the final revenue would be if the revenue growth rate was increased or decreased. Simply change the revenue growth rate, and the calculator will re-calculate the final revenue value.
Revenue Growth Rate Formula
This calculator uses the following revenue growth rate formula:
- Revenue growth rate = ((Final revenue / Initial revenue)^(1/n)-1)*100
In this formula, n refers to the number of periods.
Let’s look at an example.
If your revenue in January 2020 was $10,000 and your revenue in January 2021 was $20,000, you would calculate your revenue growth rate per month as follows:
Revenue growth rate = (($20,000 / $10,000)^(1/12)-1)*100 = 5.95%
This means that revenue would need to grow at 5.95% per month to go from $10,000 in January of one year to $20,000 in January of the next.