Annual Recurring Revenue (ARR)

Annual Recurring Revenue (ARR) is the predictable revenue that a business expects to earn from all active subscriptions over a one-year period. ARR is a key metric used to measure long-term financial performance, helping businesses understand their growth and revenue potential on an annual scale.

ARR is typically calculated by taking the value of a subscription’s monthly recurring revenue (MRR) and multiplying it by 12. This gives a normalized view of the yearly revenue generated from recurring subscriptions.

For example:

• If a customer subscribes to a plan that generates $500 in MRR, the ARR is $500 × 12 = $6,000.
• If a customer is on a yearly evergreen subscription that pays $2,400 upfront, the ARR is $2,400.

To view your ARR report from your SubscriptionFlow account, follow these steps:

1. Login to your SubscriptionFlow account and Click on ‘Reports’ from the left-hand side navigation menu.

2. You will be redirected to the Reports Page.

    

3. Under the ‘Revenue’ category, click on ‘ARR’.

4. This will open the Annual Recurring Revenue report page.

    

5. Here, you can view ARR data displayed through graphs and breakdowns by year.

    

6. Hover over the graphs to view additional details for each data point.

    

   
   

7. Click on “Customize report” to apply filters, which will be applied on data in the subscriptions table.

8. To download the report, click on the ‘CSV’ button.