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Glossary
Growth

Revenue Growth

How fast the company's sales are expanding year-over-year

Definition

Revenue growth measures the percentage increase in a company's top-line sales from one period to the next (usually year-over-year).

(Current Revenue − Prior Year Revenue) ÷ Prior Year Revenue × 100

Example

If revenue was $10B last year and $13B this year, growth = 30%.

Typical range

Mature large-caps: 3-8%; growth companies: 15-50%+

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