1. What Is Turnover Increase Percentage?

Turnover increase percentage measures the growth rate of business revenue or sales over a specific period. It's a key performance indicator that helps businesses track their growth trajectory and financial health.

2. How Does The Calculator Work?

The calculator uses the percentage increase formula:

Where:

• New Turnover — Current period revenue/sales
• Old Turnover — Previous period revenue/sales

Explanation: This formula calculates the relative change between two values, expressing the increase as a percentage of the original value.

3. Importance Of Calculating Turnover Increase

Details: Tracking turnover increase helps businesses measure growth performance, set realistic targets, make informed strategic decisions, and compare performance against industry benchmarks.

4. Using The Calculator

Tips: Enter both turnover values in the same currency units. Ensure the old turnover value is greater than zero for accurate calculation.

5. Frequently Asked Questions (FAQ)

Q1: What's considered a good turnover increase percentage?
A: This varies by industry, but generally, a positive percentage indicates growth. Industry benchmarks and historical performance should be considered when evaluating results.

Q2: Can the result be negative?
A: Yes, if new turnover is less than old turnover, the result will be negative, indicating a decrease rather than an increase.

Q3: Should I use gross or net turnover?
A: For accurate growth measurement, use the same type of turnover (either gross or net) for both values to ensure consistency.

Q4: What time periods should I compare?
A: Common comparisons include year-over-year, quarter-over-quarter, or month-over-month, depending on your business cycle and reporting needs.

Q5: How does inflation affect turnover increase?
A: For real growth measurement, consider adjusting for inflation. Nominal increases may not reflect true growth if prices have risen significantly.