How does the system calculate Annual Recurring Revenue (ARR)?

Written By ScaleXP Customer Success (Super Administrator)

Updated at July 15th, 2025

Annual recurring revenue is generally calculated as monthly recurring revenue
multiplied by 12.


In the ScaleXP system, two views of ARR are provided:


ARR_ Annual Recurring Revenue:   This is the default MRR defined on your customer tab multiplied by 12.  Revenue is based on the assumptions that you have defined in the reports with the ‘global’ assumptions (shown by the globe :) ). See Customers tab: where to configure and review revenue and customer information, MRR, ARR 

ARR - Annual Recurring Revenue from P&L.   This data is calculated from Total Revenue, from your P&L, multiplied
by 12.


Either definition is available in a pre-configured graph.    Read more about graphs in the Dashboards section.