MRR — Monthly Recurring Revenue — is the total predictable subscription revenue a SaaS business earns each month, normalised to a monthly value regardless of whether customers pay monthly, quarterly, or annually.
MRR is the core operating metric for subscription businesses. Related metrics: ARR (Annual Recurring Revenue, typically MRR × 12), New MRR (from new customers), Expansion MRR (from upgrades and add-ons), Contraction MRR (from downgrades), and Churned MRR (from cancellations).
Investors and boards typically judge SaaS health by MRR growth rate, net revenue retention, and MRR-per-customer trends. Nagro Solutions builds MRR reporting into every client SaaS platform we ship.