Glossary · Revenue metrics
Monthly recurring revenue (MRR)
Subscription revenue you expect every month, annualized mentally by ×12 for ARR. It shows predictable income, not one-off sales spikes.
Related: Annual recurring revenue (ARR) · Churn rate · Lifetime value (LTV) · Net revenue retention (NRR) · Bookings vs revenue
A bit more nuance▾
- Normalize multi-month prepays into MRR correctly or metrics lie.
- Churn and expansion both flow through MRR growth.
Go deeper▾
Discussion questions▾
- What percentage of MRR would disappear if your top three customers left?
- Where does MRR hide quality problems in your business?
Educational reference only — not legal, tax, or investment advice. Terms vary by country and deal; ask a qualified professional when it matters.