# ARR

> ARR is a recurring-revenue metric, calculated as MRR × 12. Only meaningful for subscriptions. Never for transactional revenue.

Source: https://lopifi.com/glossary/arr
Part of: Lopifi — US GAAP books on autopilot, reviewed by a CPA (https://lopifi.com)

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**What is arr?** ARR is a recurring-revenue metric, calculated as MRR × 12.

## Formula

`MRR × 12`

## Note

Only meaningful for subscriptions. Never for transactional revenue.

- **Category:** Recurring revenue
- **Specified in:** [Metric definitions](https://lopifi.com/md/docs/domain/10-metrics)
- **Rendered by:** [metric-definition](https://lopifi.com/md/components/metric-definition), [revenue-tracker](https://lopifi.com/md/components/revenue-tracker)
- **Related:** revenue