Growth and ARR bridge
How recurring revenue got from where it was to where it is, in four components.
Opening ARR, plus new, plus expansion, less contraction, less churn, equals closing. Four components rather than one net figure, because they represent four different businesses inside one company.
Two companies with identical net growth can be in completely different health depending on the mix.
Where everything sits
How to work this page
Heavy new offsetting heavy churn is a leaky business growing by acquisition spend. It looks the same as steady growth in the net number.
Expansion revenue is the cheapest revenue you will ever get. A rising share is a healthier company.
Downgrades precede cancellations. Contraction rising is an early warning that churn is coming.
Consecutive bridges show whether the mix is stable or deteriorating.
On a phone
Every figure from the desktop appears here, stacked rather than reduced. Tables scroll inside themselves so the page never moves sideways, and figures keep their separators and their alignment at every width.
Questions people actually ask
Contraction, not churn. A customer who stayed and spent less is a different problem from one who left, and merging them loses the distinction.
Churn in the period they left, new in the period they returned. Netting them would hide both events.