Revenue growth rate is the percentage change in revenue from one period to the next: this period's revenue minus last period's, divided by last period's, times 100.
Revenue growth rate = (Revenue this period − Revenue last period) ÷ Revenue last period × 100
On the sample data below, six months come to 33.23%.
Why it matters
It is the most quoted business number. Month-on-month growth shows momentum; growth against the same month last year removes seasonality.
Worked example
The table shows the columns this metric needs from six months of a made-up subscription brand. Add each column up over the six months, then put the totals into the formula:
| Month | Revenue (net of discounts) |
|---|---|
| 2026-01 | ₹4,12,000 |
| 2026-02 | ₹4,38,500 |
| 2026-03 | ₹4,71,200 |
| 2026-04 | ₹4,55,800 |
| 2026-05 | ₹5,02,300 |
| 2026-06 | ₹5,48,900 |
(₹5,48,900 − ₹4,12,000) ÷ ₹4,12,000 × 100 = 33.23%
Add up first, then divide. Averaging the six monthly figures gives a slightly different answer, because it counts a small month the same as a large one.
Month by month
| Month | Revenue growth rate |
|---|---|
| 2026-01 | — |
| 2026-02 | 6.43% |
| 2026-03 | 7.46% |
| 2026-04 | -3.27% |
| 2026-05 | 10.20% |
| 2026-06 | 9.28% |
Revenue growth rate calculator
How to read it
Month-on-month growth is noisy. Compare the same month of the previous year when your business is seasonal, or use compound monthly growth rate to summarise several months.
Common mistakes
- Months have different numbers of days and weekends. A 31-day month after February looks like growth.
- Do not average monthly growth rates to summarise a period; use the compound rate.
- Growth from a tiny base is not comparable to growth from a large one.
Calculate revenue growth rate in Excel, SQL or Python
The quickest version, for the sample sheet laid out as in the CSV (headers in row 1, months in rows 2 to 7):
=(B7-B2)/B2- Revenue growth rate in Excel and Google Sheets — per-month formula and zero-safe version
- Revenue growth rate in SQL — query by month and for the period
- Revenue growth rate in Python (pandas) — pandas script with expected output
Related metrics
See all business metrics, or the statistics methods that sit behind them.
Questions people ask
- What is revenue growth rate?
- Revenue growth rate is the percentage change in revenue from one period to the next: this period's revenue minus last period's, divided by last period's, times 100.
- How do you calculate revenue growth rate?
- Revenue growth rate = (Revenue this period − Revenue last period) ÷ Revenue last period × 100. For example, with six months of sample data: (₹5,48,900 − ₹4,12,000) ÷ ₹4,12,000 × 100 = 33.23%.
- What is the revenue growth rate formula in Excel?
- With the sample data laid out as in the downloadable CSV, =(B7-B2)/B2 gives the figure for the whole period (format the cell as a percentage). For one month, use =(B3-B2)/B2 and fill it down.
- What is a good revenue growth rate?
- There is no figure that is right for every business: it depends on your products, prices and channels. Month-on-month growth is noisy. Compare the same month of the previous year when your business is seasonal, or use compound monthly growth rate to summarise several months.
Check how stable it is
A metric moves for ordinary reasons as well as real ones. These methods separate the two: the spread shows what a normal month looks like, the moving average smooths it, the z-score flags a month that is out of line and the trend line shows the direction.
Guides
About the data on this page
The figures come from a small made-up dataset, printed above in full so you can check every number by hand. Download it as monthly.csv. The results are computed from those rows when the page is built, and the Excel formulas, SQL and Python on these pages are run against the same rows before publishing, so the code and the answers agree.
To get these numbers from your own data without writing formulas, try AnalyzeIt: ask in plain words and it shows the working behind every figure.
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