1. What is YoY Increase?

Year-over-year (YoY) increase is a comparison of one year's performance with another's, expressed as a percentage change. It's commonly used in business and economics to measure growth rates.

2. How Does the Calculator Work?

The calculator uses the YoY increase formula:

Where:

• Current Year Value — The measurement for the current period
• Previous Year Value — The measurement for the same period in the previous year

Explanation: The formula calculates the relative change between two annual measurements, showing growth or decline as a percentage.

3. Importance of YoY Calculation

Details: YoY comparisons are valuable because they help eliminate seasonal variations and provide a clearer picture of true growth trends.

4. Using the Calculator

Tips: Enter both current and previous year values. The previous year value cannot be zero (as division by zero is undefined).

5. Frequently Asked Questions (FAQ)

Q1: What's the difference between YoY and QoQ?
A: YoY compares annual periods, while QoQ (quarter-over-quarter) compares consecutive quarters, which may be more affected by seasonality.

Q2: Can YoY be negative?
A: Yes, a negative YoY indicates a decline compared to the previous year.

Q3: When is YoY analysis most useful?
A: For businesses with seasonal patterns, comparing the same period year-to-year provides more meaningful insights than month-to-month.

Q4: What are limitations of YoY analysis?
A: It doesn't show short-term trends and may mask significant changes that occur between annual measurements.

Q5: How is YoY different from CAGR?
A: YoY shows annual changes, while CAGR (Compound Annual Growth Rate) smooths growth over multiple years into a single rate.