ToolNest

Growth Rate Calculator

Total growth and CAGRRuns locally · nothing uploaded

Compound growth per period (CAGR)
14.4714%
Total growth
50%
Average change per period
166.6667

Values implied by the compound rate

PeriodValue
01,000
11,144.71
21,310.37
31,500
Also works as:CAGR calculatorannual growth ratepercent growth calculator

How it works

When to use it

  • Find the compound annual growth rate of revenue, users or GDP.
  • Compare growth over different time spans.

Formula

Total growth = (end − start) ÷ |start| × 100%
Average growth = (end ÷ start)^(1 ÷ periods) − 1

Periods are intervals: 2021 to 2024 is 3, not 4.

Worked example

Given: Start 100, end 150 after 3 periods

  1. Total = 50%.
  2. Average = 1.5^(1/3) − 1 ≈ 14.47%.
  3. Check: 100 × 1.1447³ ≈ 150.

Result: 50% total, about 14.47% per period.

Reading the result

  • Compound growth is more accurate than 50% ÷ 3 ≈ 16.67%.

Limitations

  • Undefined when start and end have different signs.
  • Ignores what happened in between.

How to use

  1. 1Enter the starting and ending values.
  2. 2Enter the number of periods (years, months…).
  3. 3Read the total growth and the compound rate.

FAQ

How is CAGR calculated?

CAGR = (end ÷ start)^(1 ÷ periods) − 1. Growing from 1000 to 1500 over 3 years is about 14.47% per year.

Why not divide total growth by the years?

Growth compounds, so a simple average overstates the yearly rate. CAGR gives the steady rate that produces the same result.