100.00% is the example result. Net revenue retention includes expansion and subtracts contraction and churn from the starting cohort. New-customer revenue belongs outside that cohort.
Net revenue retention includes expansion and subtracts contraction and churn from the starting cohort.
Separating growth, retention and subscription capacity
Net revenue retention includes expansion and subtracts contraction and churn from the starting cohort. New-customer revenue belongs outside that cohort. Recurring revenue should be compared across the same starting cohort. Expansion, contraction and churn change retention in different directions. Adding new customers to a retained-customer calculation can conceal losses in the original population.
What the model includes
Result = (([Starting recurring revenue] + [Expansion revenue] − [Contraction revenue] − [Churned revenue]) ÷ ([Starting recurring revenue])) × 100 Match the unit of the plan: users, seats, subscriptions and revenue are not interchangeable. A purchased seat can remain unused even when the invoice is fully paid. Annual prepayment also changes cash timing without changing monthly recurring value. Read the result beside the renewal schedule and account concentration. A short measurement window may miss seasonal usage or contracts that have not yet reached their renewal date.
Example with the supplied inputs
Starting recurring revenue: 100000; Expansion revenue: 12000; Contraction revenue: 5000; Churned revenue: 7000. Result: 100.00%. The values are illustrative.
Compare one changed input
Starting recurring revenue changes from 100000 to 110000. The result becomes 100.00%. All other inputs remain fixed.
Calculation rule
Result = (([Starting recurring revenue] + [Expansion revenue] − [Contraction revenue] − [Churned revenue]) ÷ ([Starting recurring revenue])) × 100
Inputs and output
| Input | Example value | Entry convention |
|---|---|---|
| Starting recurring revenue | 100000 | Use starting recurring revenue on the currency and period basis shown by the formula. Keep gross amounts, net amounts and unit amounts distinct; the page does not fetch a price or exchange rate. |
| Expansion revenue | 12000 | Use expansion revenue on the currency and period basis shown by the formula. Keep gross amounts, net amounts and unit amounts distinct; the page does not fetch a price or exchange rate. |
| Contraction revenue | 5000 | Use contraction revenue on the currency and period basis shown by the formula. Keep gross amounts, net amounts and unit amounts distinct; the page does not fetch a price or exchange rate. |
| Churned revenue | 7000 | Use churned revenue on the currency and period basis shown by the formula. Keep gross amounts, net amounts and unit amounts distinct; the page does not fetch a price or exchange rate. |
Output: 100.00% is the example result. Net revenue retention includes expansion and subtracts contraction and churn from the starting cohort. New-customer revenue belongs outside that cohort. Use the formula to distinguish a cash amount, count, percentage or ratio.
How to use the page
Collect the inputs
Gather Starting recurring revenue, Expansion revenue, Contraction revenue. Use one period and the units shown in the form.
Run the calculation
Enter the values and select the action. The calculation rule above explains how the inputs produce the result.
Compare a scenario
Change Starting recurring revenue on its own, keeping the other inputs fixed. Read both results before changing another assumption.
Worked example
With the example inputs listed above, the result is 100.00%.
Change Starting recurring revenue from 100000 to 110000 while keeping every other value fixed. The result becomes 100.00%. This comparison isolates that input; it does not forecast how other variables will respond.
Check the stated formula, units and limits before using the result in a decision.
Keep the displayed formula, input units and model scope with the result. Corrections or questions can be sent through the request section on this page.
Content updated: October 11, 2026