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Revenue

Net Revenue Retention (NRR)

Net Revenue Retention (NRR) measures how much recurring revenue a cohort of existing customers generates over a period relative to the start of that period, after expansion, contraction, and churn, and excluding revenue from new customers. It is calculated as (starting MRR + expansion - contraction - churn) / starting MRR; above 100% means the existing base grows on its own even before new sales. In 2026 NRR is widely treated as the defining SaaS quality metric, with best-in-class public companies averaging roughly 120-125% and enterprise medians near 118%.

Source: m3ter.com

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