What is year over year growth formula?

[Samuel]

I keep hearing about year over year growth formula, but I’d like to understand exactly how it’s calculated. What’s the correct formula for YoY growth, and how do you interpret the result?


For example, if a company’s revenue increased from one year to the next, how do we find the percentage growth?

 

[Rick_Grimes]

I usually calculate year-over-year growth like this:
(ThisYear−LastYear)/LastYear×100(This Year - Last Year) / Last Year × 100(ThisYear−LastYear)/LastYear×100
So if I made $120K this year and $100K last year, that’s a 20% YoY growth.

 

[Lucas]

Year-over-year (YoY) growth measures how much a value, such as revenue or profit, has increased or decreased compared to the same period in the previous year. It is calculated using the formula: (Current Year Value – Previous Year Value) ÷ Previous Year Value × 100. This percentage shows the rate of growth or decline, helping businesses analyze performance trends over time.

 

[Sophie]

Annual (YoY) growth is used to demonstrate the percentage change in something over a period of one year. The formula isCurrent year value Less Last year value)/Last year value x 100.

 

[nikhilrajoria]

YoY Growth=Current Year ValuePrevious Year Value – Current Year Value×100YoY Growth=Previous Year ValueCurrent Year ValuePrevious Year Value×100

It is used to determine the degree of increase or decrease of a given metric (e.g., revenue or profit) over the same period as last year.