KPI Examples & Definitions
Capital Expenditures (CAPEX)
CAPEX (Capital Expenditures) refers to the funds a company invests in acquiring, maintaining, or improving fixed assets like buildings, equipment, or technology.
Gross Margin
Gross margin, also known as gross profit margin, measures the percentage of revenue left after deducting direct costs of goods or services.
Gross Profit
Gross Profit reflects sales profit after direct production costs are subtracted from revenue.
Gross Revenue Retention (GRR)
Gross Revenue Retention measures the percentage of revenue retained from existing customers over a specific period, excluding any upsell or cross-sell revenue.
Lifetime Value
The revenue customers generate over their entire relationship with a brand.
Monthly Recurring Revenue (MRR)
Monthly Recurring Revenue is a financial metric that quantifies a business's predictable income from subscriptions or ongoing services.
Net Revenue Retention (NRR)
Net Revenue Retention (NRR) measures the revenue retained from existing customers over a specific period, including upsells, cross-sells, downgrades, and churns.
Operating Expenses (OPEX)
Operating Expenses (OPEX) refer to the day-to-day costs a business incurs to keep its operations running smoothly. These expenses include everything from employee salaries to office supplies, rent, utilities, and marketing costs.
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