Quarterly Revenue Growth

What is 'Quarterly Revenue Growth'

Quarterly revenue growth is an increase of a company's sales when compared to a previous quarter's revenue performance. The current quarter's sales figure can be compared on a year-over-year basis or sequentially. This helps to give analysts, investors and participants an idea of how much a company's sales are increasing over time.

BREAKING DOWN 'Quarterly Revenue Growth'

When looking at a company's quarterly or annual financials, it is not enough to just look at the revenue for the current period. When investing in a company, an investor wants to see it grow or improve over time. Looking at the financials in comparison to a previous quarter will give participants a much better idea of how well a company is doing.

For example, if Exxon Mobil generated $91.3 billion in revenue during its fourth quarter of 2005 and $82.2 billion in the third quarter that year, the company saw quarterly revenue growth of 11% sequentially. If Exxon Mobil generated $80.2 billion in the fourth quarter of 2004, the company would have seen its revenue increase 13.8% on a year-over-year basis.

RELATED TERMS
  1. Revenue

    The amount of money that a company actually receives during a ...
  2. Quarter On Quarter - QOQ

    A measuring technique that calculates the change between one ...
  3. Year Over Year - YOY

    A method of evaluating two or more measured events to compare ...
  4. Quarterly Earnings Report

    A quarterly filing made by public companies to report their performance. ...
  5. Quarter To Date - QTD

    A time interval that captures all relevant company activity that ...
  6. Income Statement

    A financial statement that measures a company's financial performance ...
Related Articles
  1. Stock Analysis

    The Biggest Risks of Investing in Under Armour Stock (UA)

    Read more about the risks for investors buying into Under Armour stock in 2015. The company is priced high to its earnings, which presents a special risk.
  2. Fundamental Analysis

    Understanding the Income Statement

    The best way to analyze a company—and figure out if it's worth investing in—is to know how to dissect its income statement. Here's how to do it.
  3. Stock Analysis

    3 Things You Should Know About PayPal's IPO (PYPL)

    Read about what investors should consider before the PayPal IPO, including the company's strong revenue growth, business growth and competition.
  4. Markets

    Introduction To Fundamental Analysis

    Learn this easy-to-understand technique of analyzing a company's financial statements and reports.
  5. Options & Futures

    Advanced Financial Statement Analysis

    Learn what it means to do your homework on a company's performance and reporting practices before investing.
  6. Investing

    How to Prepare for the Low Return Environment Ahead

    Learn about the big takeaway from this week’s chart: Investors aiming for higher returns over the next five years should be prepared to stomach more volatility.
  7. Investing

    Can the U.S. Consumer Continue to Hold Up the World?

    Seven years into the recovery, a key driver of economic growth continues to demonstrate a frustrating conundrum: Consumer spending remains respectable.
  8. Investing Basics

    Growth Investing: 3 Tips to Consider

    Learn the basics of growth investing, and discover three tips for avoiding the risk of losing money while employing a growth investment strategy.
  9. Economics

    A Statistic About the U.S. Economy that May Surprise You

    Learn why many commentators seem to be pessimistically focused on the U.S. economy’s weak wage growth and manufacturing sector trouble.
  10. Investing News

    Growth Investing: Famous Growth Investors (PRGFX)

    Find out who were the most famous growth investors of their time, and learn about the investment strategies that made them successful.
RELATED FAQS
  1. When does a growth stock turn into a value opportunity?

    Learn how fundamental analysts use valuation measures, such as the price-to-earnings ratio, to identify when a growth stock ... Read Answer >>
  2. How attractive is the food and beverage sector for a growth investor?

    Learn how the food and beverage sector's volatility makes it attractive to growth investors, and discover how these investors ... Read Answer >>
  3. How attractive is the retail sector for a growth investor?

    Learn how retail's volatile nature makes it attractive to growth investors, and discover the strategies these investors employ ... Read Answer >>
  4. What techniques are most useful for hedging exposure to the insurance sector?

    Learn how investing style, whether growth-oriented or conservative, determines what strategies an investor uses to hedge ... Read Answer >>
  5. What average annual growth rate is typical for the banking sector?

    Learn the typical average annual growth rate for the banking sector and why regulatory requirements have a profound effect ... Read Answer >>
  6. What level of annual growth is common for companies in the Internet sector?

    Learn what level of annual growth is common for companies in the Internet sector in terms of revenue growth and earnings ... Read Answer >>
Hot Definitions
  1. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  2. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
  3. Society for Worldwide Interbank Financial Telecommunications ...

    A member-owned cooperative that provides safe and secure financial transactions for its members. Established in 1973, the ...
  4. Generally Accepted Accounting Principles - GAAP

    The common set of accounting principles, standards and procedures that companies use to compile their financial statements. ...
  5. DuPont Analysis

    A method of performance measurement that was started by the DuPont Corporation in the 1920s. With this method, assets are ...
  6. Call Option

    An agreement that gives an investor the right (but not the obligation) to buy a stock, bond, commodity, or other instrument ...
Trading Center