Revenue Growth Percentage Formula
Then multiply the result by 100 to calculate the total revenue growth as a percentage.
Revenue growth percentage formula. In this example divide 2 million by 10 million to get 0 2. How to calculate revenue growth rate. Calculate the revenue growth rate by subtracting the first month revenue from the second month revenue. To calculate revenue growth as a percentage you subtract the previous period s revenue from the current period s revenue and then divide that number by the previous period s revenue.
The answer is 130 000 100 000 30 000. This means the company grew its total revenue by 20 percent from one year to the next. So if you earned 1 million in revenue last year and 2 million this year then your growth is 100 percent. Revenue month b revenue month a revenue month a x 100 revenue growth rate.
The revenue growth formula. Divide the result by the first month revenue and then multiply by 100 to turn it into a percentage. Then multiply 0 2 by 100 to get 20 percent.