Revenue Growth Calculator — Growth Rate & CAGR
Find the percentage growth between two revenue periods — enter previous and current revenue to get the growth rate and absolute change instantly, plus CAGR when the span covers multiple years.
Revenue increased period-over-period
- 1
Revenue change
650,000 − 500,000 = 150,000 - 2
Growth rate
150,000 ÷ 500,000 × 100 = 30Percentage change in revenue relative to the previous period.
How does this calculator work?
Revenue growth rate = ((current − previous) / previous) × 100. For multi-year spans, CAGR = (current / previous)^(1/n) − 1 gives the equivalent annual rate. Enter previous and current revenue (and number of years for CAGR) to get both metrics instantly.
Formula
How this is calculated
Revenue growth rate measures how fast revenue increased (or declined) from one period to the next. The formula divides the change in revenue by the previous period's revenue and expresses the result as a percentage. A positive value means growth; negative means contraction. The calculation makes no assumptions about what drove the change — it simply compares two snapshots.
When the comparison spans more than one period, the simple period-over-period rate overstates the average annual pace because it ignores compounding. The compound annual growth rate (CAGR) solves this: it is the single constant annual rate that would turn the previous revenue into the current revenue over exactly n periods, computed as (Current / Previous)^(1/n) − 1. CAGR is the standard metric for comparing growth trajectories across companies or time windows of different lengths.
Both metrics assume only two data points (start and end). They say nothing about what happened in between — a company could dip and then recover sharply while still showing a healthy CAGR. For a fuller picture, look at year-over-year growth rates for every intermediate period.
Frequently asked questions
It depends on industry maturity and company stage. Early-stage startups often target 20–100 %+ annually, while large established companies may consider 5–15 % healthy. Comparing against your sector benchmark and prior-year trajectory is more useful than any single threshold.
Use CAGR when comparing growth over periods longer than one year or when benchmarking two companies with different measurement windows. For a single quarter-over-quarter or year-over-year comparison, simple growth rate is sufficient.
No — it computes nominal (unadjusted) growth from the figures you enter. To measure real (inflation-adjusted) growth, deflate both revenue figures by the appropriate price index before entering them.
Also known as
TG we-Calculate Editorial Team. (2026). Revenue Growth Calculator — Growth Rate & CAGR [Online calculator]. TG we-Calculate. https://we-calculate.com/calculator/revenue-growth-calculator
TG we-Calculate Editorial Team. "Revenue Growth Calculator — Growth Rate & CAGR." TG we-Calculate. 2026. https://we-calculate.com/calculator/revenue-growth-calculator.
TG we-Calculate Editorial Team, "Revenue Growth Calculator — Growth Rate & CAGR," TG we-Calculate, 2026. [Online]. Available: https://we-calculate.com/calculator/revenue-growth-calculator
@misc{wecalculate_revenue_growth_calculator, title = {Revenue Growth Calculator — Growth Rate & CAGR}, author = {{TG we-Calculate Editorial Team}}, howpublished = {\url{https://we-calculate.com/calculator/revenue-growth-calculator}}, year = {2026}, note = {TG we-Calculate} }
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