ARR
Annual recurring revenue from subscription-style contracts.
Definition and context : ARR
- Definition
- ARR stands for annual recurring revenue. It is a common metric for software and services businesses that sell repeatable contracts and want to show the expected revenue run-rate over a year.
- Why it matters
- ARR is a shorthand for scale and retention, but it only matters if the underlying revenue is durable and collectible.
- Aliases
- annual recurring revenue
- Related topics
- SaaS · Enterprise revenue · Growth quality