Monthly Recurring Revenue (MRR)

Predictable revenue normalized to a monthly amount

FinanceSalesSaaS / SoftwareCurrencyMonthly

FORMULA

MRR = Sum of Monthly Revenue from All Active Subscriptions

Alternate Calculations

From ARPUNumber of Subscribers × Average Revenue Per User (ARPU)
Net New MRRNew MRR + Expansion MRR - Contraction MRR - Churned MRR

What is Monthly Recurring Revenue?

Monthly Recurring Revenue (MRR) is the total predictable revenue your business expects to earn each month from active subscriptions. It normalizes all recurring charges into a consistent monthly figure, making it the primary revenue metric for subscription businesses. MRR helps track growth, forecast revenue, and evaluate the health of your subscription business. It can be broken down into New MRR, Expansion MRR, Contraction MRR, and Churned MRR.

Chart

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Sample Data

monthmrr
Jan120,000
Feb128,000
Mar135,000
Apr142,000
May155,000
Jun168,000

Required Data Columns

Subscription IDMonthly Plan ValueStatus