Sales Revenue Growth Rate
So if you earned 1 million in revenue last year and 2 million this year then your growth is 100 percent.
Sales revenue growth rate. 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. Net sales are total sales revenue less returns allowances and discounts. As a more contextual metric revenue growth rate helps startups measure comparative progress month over month instead of an absolute figure current revenue which can be deceiving if tracked by itself. Revenue growth rate is an indicator of how well a company is able to grow its sales revenue over a given time period.
While the revenue is an actual number the revenue growth rates simply compares the current sales figures total revenue with a previous period typically quarter to quarter or year to year.