Glossary

MRR — Monthly Recurring Revenue.

The normalized monthly value of all active subscriptions. Quarterly and yearly plans get divided. Trials and one-time charges are excluded.

Definition

MRR is the sum of monthly-equivalent recurring revenue from active subscriptions at a point in time. Annual plans divide by 12, quarterly by 3. Discounts apply. Setup fees and one-time charges are excluded.

Why it matters

MRR removes timing noise so growth is comparable month over month. It splits into new, expansion, contraction, and churn the four levers behind every subscription P&L. Investors and operators read it before anything else.

How Azotte handles it

MRR is calculated from the subscription state, not pieced together from invoices. Splits new, expansion, contraction, churn derive from lifecycle events. Reports cover currency, region, plan, and storefront.

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