Quarterly revenue growth is an increase in 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 additional stakeholders an idea of how much a company's sales are increasing over time.
TradersPro displays the Sales Growth change of the most recent quarter over the prior quarter.
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 a clear picture of its growth rate.
For example, Exxon Mobil generated $66.2 billion in revenue for the three months ended September 30, 2017, and $58.7 billion for the three months ended September 30, 2016. Therefore, the company saw quarterly revenue growth of 12.78%. Over time, if this rate continues, it will be an excellent investment. Zooming out and calculating quarterly growth rates for a multi-year period can provide even more insight than simply a six- or 12-month period.