Year Over Year Growth — Smart Financial Analysis
Calculate YoY growth and CAGR for revenue, users, profit, and any metric. Free year-over-year growth calculator.
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Year-over-year (YoY) growth measures the percentage change between a current period and the same period one year earlier. YoY compares the same period year-to-year (e.g., Q1 2025 vs Q1 2024), eliminating seasonality. YoY shows year-by-year changes that can fluctuate. YoY removes seasonal bias — comparing Q4 retail to Q3 would mislead.
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Why: Year-over-year (YoY) growth measures the percentage change between a current period and the same period one year earlier. Formula: ((Current - Prior) / Prior) × 100. It eliminat...
How: Enter Prior Period Value, Current Period Value, Metric Name to get instant results. Try the preset examples to see how different scenarios affect the outcome, then adjust to match your situation.
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📋 Quick Examples — Click to Load
📊 Current vs Prior Period
Compare prior and current period values
📊 Growth vs Base
Breakdown of base vs growth
📊 Growth Rate Over Periods
Trend projection
📊 Metric Benchmarks
Typical YoY growth benchmarks
YoY Growth
Revenue grew 20.00% year-over-year. Absolute change: 200,000.00. CAGR (3 periods): 6.27%.
For educational purposes only — not financial advice. Consult a qualified advisor before making decisions.
💡 Money Facts
Year Over Year Growth analysis is used by millions of people worldwide to make better financial decisions.
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YoY Growth = ((Current - Prior) / Prior) × 100. CAGR = ((Ending/Beginning)^(1/n) - 1) × 100. Year-over-year growth eliminates seasonal bias and reveals true annual performance. SEC filings, McKinsey reports, and S&P Global rely on YoY for apples-to-apples comparison. Healthy SaaS targets 10-25% YoY; GDP typically grows 3-5%. CAGR smooths multi-year growth into a single constant rate.
Sources: SEC filings, McKinsey, S&P Global.
Key Takeaways
- • YoY = ((Current - Prior) / Prior) × 100 — removes seasonal bias
- • CAGR = ((Ending/Beginning)^(1/n) - 1) × 100 — smoothed multi-year rate
- • YoY vs QoQ: YoY compares same period year-to-year; QoQ compares consecutive quarters
- • Compare YoY to industry benchmarks and your own history
Did You Know?
How Does YoY Growth Work?
The Formula
YoY Growth = ((Current - Prior) / Prior) × 100. Example: $1.2M vs $1M → (1.2M - 1M) / 1M × 100 = 20%.
Seasonality
Comparing Q4 retail to Q3 would mislead. YoY compares Q4 2025 to Q4 2024 — same seasonal context.
CAGR vs YoY
CAGR smooths multi-year growth: ((Ending/Beginning)^(1/n) - 1) × 100. Use for 3+ year trends.
Expert Tips
YoY Benchmarks by Sector
| Sector | Low | Typical | High |
|---|---|---|---|
| SaaS | 10% | 15-25% | 50%+ |
| Retail | 1-3% | 3-7% | 10%+ |
| GDP | 0-2% | 3-5% | 5%+ |
| Startups | 15-30% | 50-100% | 200%+ |
Frequently Asked Questions
What is YoY growth?
Year-over-year (YoY) growth measures the percentage change between a current period and the same period one year earlier. Formula: ((Current - Prior) / Prior) × 100. It eliminates seasonal effects and reveals true annual performance trends. Used in SEC filings, earnings reports, and business dashboards.
YoY vs QoQ?
YoY compares the same period year-to-year (e.g., Q1 2025 vs Q1 2024), eliminating seasonality. QoQ (quarter-over-quarter) compares consecutive quarters (Q1 vs Q4), which can be distorted by seasonal patterns. YoY is preferred for annual performance; QoQ shows short-term momentum.
What is good YoY growth?
Context matters. Healthy SaaS companies often target 10-25% YoY revenue growth. GDP typically grows 3-5% annually. Early-stage startups may aim for 50%+ YoY. Mature industries: 2-5% is solid. Compare to industry benchmarks and your own historical performance.
YoY vs CAGR?
YoY shows year-by-year changes that can fluctuate. CAGR (Compound Annual Growth Rate) smooths multi-year growth into a single constant rate: ((Ending/Beginning)^(1/n) - 1) × 100. Use YoY for annual snapshots; use CAGR for long-term trend analysis over 3+ years.
Why is YoY useful?
YoY removes seasonal bias — comparing Q4 retail to Q3 would mislead. YoY aligns comparable periods. It's the standard in SEC filings, investor communications, and McKinsey-style business analysis. Investors and boards rely on YoY for apples-to-apples performance evaluation.
Negative YoY growth?
Negative YoY indicates decline vs. prior year. Causes: market contraction, increased competition, strategic pivots, or comparison to an unusually strong prior year. Analyze context: industry benchmarks, multiple periods, and segment breakdowns. Consecutive negative YoY warrants deeper investigation.
Key Statistics
Official Data Sources
⚠️ Disclaimer: This calculator is for educational purposes only. YoY and CAGR are historical metrics and do not predict future performance. Consult a financial professional for investment or business decisions. Not financial advice.
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