Revenue Growth Metrics to Track

Core Growth Metrics

MRR and ARR – Level of recurring revenue. Net new MRR – New + Expansion − Contraction − Churn in a period; the main “growth” number. MRR growth rate – (Ending MRR − Starting MRR) ÷ Starting MRR, often reported month-over-month or year-over-year. Net revenue retention – For a cohort, (Starting MRR + Expansion − Churn − Contraction) ÷ Starting MRR; >100% means expansion outweighs churn.

Quick Ratio

Quick ratio = (New MRR + Expansion MRR) ÷ (Churned MRR + Contraction MRR). A ratio >1 means you’re adding revenue faster than you’re losing it; >4 is often considered strong. It’s a simple health check for growth vs leak.

What to Watch

Track growth by segment and plan to see where growth comes from. Monitor trend: is net new MRR increasing or shrinking? Use net revenue retention and quick ratio together: NRR shows cohort expansion; quick ratio shows overall momentum. Set targets (e.g. 10% MoM MRR growth, 110% NRR) and review weekly or monthly.