SaaS & retention
Net Revenue Retention Calculator
Track recurring revenue retained from an opening customer cohort after churn, downgrades, and expansion, excluding new customers.
Use NRR to evaluate growth or shrinkage within existing customers. Use customer churn when you need the share of accounts lost instead of retained revenue.
What the result means
NRR above 100% means existing-cohort expansion exceeded churn and contraction in recurring revenue. Below 100% means that cohort shrank. Neither result describes customer acquisition or total company growth.
The formula
((Opening recurring revenue - churned revenue - contraction revenue + expansion revenue) / opening recurring revenue) * 100
Results are displayed to at most two decimal places. Calculations use the unrounded inputs.
A worked example
Put the formula to work
- Opening cohort recurring revenue (currency)
- 50,000
- Recurring revenue lost to churn (currency)
- 2,000
- Recurring revenue lost to contraction (currency)
- 1,000
- Expansion recurring revenue (currency)
- 8,000
Net revenue retention: 110%
An opening cohort of 50,000 loses 3,000 and expands by 8,000, ending at 55,000 for 110% NRR.
How to use this calculator
- Freeze the opening customer cohort and its recurring-revenue basis.
- Separate full churn from contraction so losses are counted once.
- Add expansion only from accounts in that opening cohort.
- Divide ending cohort recurring revenue by its opening value and multiply by 100.
Why this number matters
NRR shows whether the installed customer base sustains or expands its revenue independently of new-customer sales.
Input definitions
- Opening cohort recurring revenue (currency)
- Starting cohort MRR or ARR; keep that same recurring-revenue basis for every movement. Must be greater than zero.
- Recurring revenue lost to churn (currency)
- Opening recurring revenue removed by fully churned accounts; do not include these losses again as contraction.
- Recurring revenue lost to contraction (currency)
- Downgrade and seat-reduction losses from retained opening accounts, measured against opening revenue.
- Expansion recurring revenue (currency)
- Added recurring revenue from the opening customer cohort only, not newly acquired customers.
Assumptions and limitations
- All movements must use the same MRR or ARR basis, not a mixture of invoices and run rates.
- This simplified bridge uses nonoverlapping losses against opening revenue; raw event streams may need netting first.
- Currency changes, reactivations, and acquisitions need a documented cohort policy.
- A few large expansions can mask widespread customer losses.
Methodology
The default result and worked example use the same calculation functions as the interactive tool. The formula cannot verify the quality or scope of your source data.
Read our calculation methodology
Last updated .