Report: Annual Run Rate (ARR)
The Annual Run Rate (ARR) report shows your total recurring revenue scaled to a yearly figure — calculated as your Monthly Recurring Revenue (MRR) multiplied by 12.
ARR is a key metric for investors, board reporting, and goal-setting. Use this report to track growth over time and compare your growth against industry peers.
If you're new to ChartMogul, get to know how reports work.
How long does it take to reach $1 million ARR?
Almost half of software companies reach their first million in ten years. Just 3.3% of startups reach $1 million in under a year. 13.4% reach $1 million in under 3 years. And 25.1% reach that figure within 5 years. Read the full report here.
To evaluate your ARR growth compared to industry peers, use Benchmarks. Then, set a target to track your ARR goal.
How ARR Is Calculated and What Counts
- Only active (currently billing) and past due (payment failed but not yet churned) subscriptions contribute to this report.
- Only subscription invoice line items contribute to this metric. One-time (non-recurring) line items do not.
- Subscriptions billed in foreign currencies are converted to your primary currency. Learn more.
How ChartMogul Calculates ARR
ChartMogul calculates ARR as MRR × 12.
How to Filter Report Data
Use the drop-down to show All MRR Movements (every individual MRR change) or Net MRR Movements (the combined result of all gains and losses in a period).
See Report Data to learn how each option affects what the report displays.
Learn More and Take Action
- Read our blog post What is ARR? It’s not as simple as you think.
- Track this metric from your phone with the ChartMogul mobile app.
- See which accounts contribute to the highest ARR growth with our Find out which animal(s) you’re hunting tutorial.