You only had one number to tell you whether your revenue base is healthy, net revenue retention would be it. In just a few minutes, I'll show you exactly how to calculate NRR and what it means for your growth. I'm Haagen Fulford, the data analyst here at RevPartners, and I build revenue models and reporting frameworks for our partners. Today, we're going to look at the right side of the reoccurring performance model, ending MRR and net revenue retention calculations. Here's the full reoccurring revenue performance model that we visited last time. The right side is where we track recurring revenue after a customer goes live, capturing net renew, cross sell upgrades, downgrades, and churn. This is where we measure the health of our existing base. Think of it as part of the funnel that never stops. Once a customer sign, the goal is to expand their value, protect revenue, and minimize leakage. When we plug in actual data, you can see each quarter starting MERP, net new, upgrades, downgrades, and churn. And that all rolls into the ending MERP. And finally, net revenue retention, the percentage that tells us how much of our base we're keeping and expanding. Looking at these six quarters, NRO ranges from 93.9 to 97.5. That's a narrow band, but notice the dip in q four twenty four and the recovery in q two twenty five. Those swings tell a story about retention, health, and where we might need to dig deeper. So the ending MER calculation. The first step is calculating ending MER, which is starting MER, net new, upgrades, downgrades, and churn. So for example, in q two twenty five, we had 12,028,000, net new was 418,000, upgrades a 122,000, downgrade 63, churn three eighty seven. This brings us to 12.1 in ending MERV, our new starting MERV for the next quarter. This number is critical because it's the baseline for all future retention and growth calculations. Next, we'll calculate net revenue retention. The formula for this is starting MERR plus upgrades and downgrades and showing divided by your starting MERR gives you your net revenue retention. So, again, in our example, we take the 12,028,000 plus the 122,000 from upgrades, downgrades, and churn to get 97.27. Here's why this matters. Older 100% NRR means your base is expanding without new customers. Under 100% NRR, you're shrinking unless you add new customers. For better market leaders, this single metric tells you whether you're building a growth engine or just replacing what's leaking. By tracking NRR every quarter, you get an unfiltered view of your customer's face. No spin, no hiding behind new deals. And in our next video, we'll unpack what's driving all of our numbers from the left side to the right side of this model by looking at the secondary KPIs so you can take targeted action to improve your NRR.