How to Calculate CAGR with RRI in Excel

Measure an online store’s compound annual growth rate, compare periods, and project revenue forward.

You will learn to

• Calculate CAGR between two values
• Measure growth over a shorter window
• Project a future value from CAGR

How it works

Compound annual growth rate (CAGR) is the steady yearly rate that turns a starting value into an ending value. Excel’s RRI(nper, pv, fv) calculates it directly: =RRI(5,184000,412000) returns about 17.49%.

nper is the number of years between the two values — 2026 minus 2021 is 5, not 6. To project forward, grow the latest value by (1 + CAGR) raised to the number of years ahead.

=RRI(A7-A2,B2,B7)