3 ms·
Good Riddance. ARR is one of those 'fake' metrics like 'EBITDA' that mean nothing but numbers with make up. a more reflective number is last year revenue + rev
by dzonga 1y ago
Good Riddance. ARR is one of those 'fake' metrics like 'EBITDA' that mean nothing but numbers with make up.
a more reflective number is last year revenue + revenue growth rate. and yeah costs / growth of costs.
- some_random 1y agoHmm that makes sense, but it probably would be best to measure cash flow instead of revenue year over year, maybe some kind of Earnings Before Interest, Taxes, Depreciation, and Amortization. Alternatively you could skip all of that and just go with yearly revenue like you said although that could obviously be gamed with some stupid one-off sales and fees so maybe some kind of Annual Recurring Revenue metric would be more useful?