EnableYourData.com

KPI · Finance

Revenue growth: formula and example.

Revenue growth is the percentage increase or decrease in revenue compared with an equivalent earlier period, usually the same year, quarter or month last year. It is the most widely used measure of how fast a business is growing. Revenue growth only reflects volume and price, not profitability.

Revenue growth formula

(Revenue current period − revenue comparison period) ÷ revenue comparison period × 100%

Worked example

Acme Groothandel had revenue of €10,800,000 in 2024 and €12,000,000 in 2025. Revenue growth is (€12,000,000 − €10,800,000) ÷ €10,800,000 × 100% = 11.1%.

Fictitious figures for Acme Groothandel, a sample wholesaler.

How to read this KPI

Positive revenue growth means you sold more, or at higher prices. Always compare months and quarters with the same period last year to rule out seasonal effects. Where possible, split growth into price, volume, new customers and existing customers, and read it alongside inflation and the margin trend.

Pitfalls with revenue growth

  • Comparing a month with the previous month in a seasonal business, instead of with the same month last year.
  • Not separating growth from acquisitions from organic growth.
  • Missing the effect of price increases: revenue can grow while the volume sold falls.

SQL & DAX

Calculating revenue growth in SQL and DAX

Two examples on a fictitious data warehouse for Acme Groothandel: a PostgreSQL query and a measure for a Power BI model. Adjust table and column names to your own model.

SQL · PostgreSQL
WITH yearly AS (
  SELECT date_trunc('year', entry_date)::date AS year, SUM(amount) AS revenue
  FROM gl_entries
  WHERE account_group = 'revenue'
  GROUP BY 1
)
SELECT year,
       revenue,
       LAG(revenue) OVER (ORDER BY year) AS revenue_prev_year,
       ROUND(100.0 * (revenue - LAG(revenue) OVER (ORDER BY year))
             / NULLIF(LAG(revenue) OVER (ORDER BY year), 0), 1) AS growth_pct
FROM yearly
ORDER BY year;
DAX · Power BI
Revenue = CALCULATE(SUM(GL[Amount]), GL[AccountGroup] = "revenue")

Revenue Growth % =
VAR PrevYear = CALCULATE([Revenue], SAMEPERIODLASTYEAR('Date'[Date]))
RETURN DIVIDE([Revenue] - PrevYear, PrevYear)

In ENABLE

Tracking this KPI in ENABLE

Plain-language questions

Ask for revenue growth per month, customer or product in the SQL Explorer with AI. The AI writes the SQL, you see the query and run it yourself; the AI only receives metadata.

Read more →

In your Power BI dashboard

Define the KPI as a measure in your Power BI model and show it in the portal, with "Last refreshed" next to it. Access profiles and optional row-level security decide who sees which figures.

Read more →

Custom dashboards (pilot)

Add the KPI as a tile to a custom dashboard, compared with last year. The Dashboard Builder is a pilot and can be switched on per client.

Read more →

Monthly targets

With the built-in Targets app you set a target for the KPI per month, so you see actuals and target side by side.

Read more →

FAQ

Frequently asked questions

How do you calculate revenue growth?

Subtract last period's revenue from this period's revenue, divide the difference by last period's revenue and multiply by 100%. Going from €10,800,000 to €12,000,000 is growth of 11.1%.

What is the difference between revenue growth and profit growth?

Revenue growth measures the increase in sales, profit growth the increase in what is left after costs. Revenue can grow while profit falls, for example when growth is bought with heavy discounts or extra costs.

How do you calculate average annual revenue growth over several years?

Use the compound annual growth rate (CAGR): (ending revenue ÷ starting revenue) to the power of 1 divided by the number of years, minus 1. If revenue grows from €10,000,000 to €12,100,000 in two years, CAGR is 10% a year. A simple average of the yearly percentages gives a distorted picture.

Use AI on your own data. Securely, and without the headache.

In an online demo we show how ENABLE makes your data securely available and how you build on it: describing an app in the AI Builder, plain-language questions, dashboards and APIs. And how we set it up and manage it for you.