Percentage Increase Calculator

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Reviewed by: David Chen, CFA | Last updated: October 2025

Use the Percentage Increase Calculator to quickly determine the percentage change between two values. This is essential for tracking growth, measuring returns, and analyzing data trends over time.

Percentage Increase Calculator

Percentage Increase Calculator Formula

Percentage Increase $(\%) = \frac{V_{final} – V_{initial}}{V_{initial}} \times 100$
Formula Source: Investopedia, Wikipedia

Variables

The calculation relies on two key variables:

  • Initial Value ($V_{initial}$): The starting quantity, price, or amount before the change occurred.
  • Final Value ($V_{final}$): The ending quantity, price, or amount after the change has taken place.

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What is Percentage Increase?

Percentage increase (or percentage change) is a measure of the relative difference between an older (or initial) value and a newer (or final) value. It expresses this difference as a fraction of the initial value, multiplied by 100 to convert it into a percentage format. It is a standardized way to compare changes across different metrics, regardless of their scale.

In finance, this metric is crucial for determining portfolio returns, market growth, or expense inflation. For instance, if an investment grows from $100 to $120, the percentage increase is 20%. If the final value is lower than the initial value, the calculator will return a negative result, indicating a percentage decrease.

How to Calculate Percentage Increase (Example)

Suppose your company’s revenue increased from $150,000 in Year 1 to $210,000 in Year 2. Here’s how to calculate the percentage increase:

  1. Determine the Initial and Final Values: $V_{initial} = 150,000$ and $V_{final} = 210,000$.
  2. Calculate the Absolute Change: Subtract the initial value from the final value: $210,000 – 150,000 = 60,000$.
  3. Divide the Change by the Initial Value: $\frac{60,000}{150,000} = 0.4$.
  4. Convert to a Percentage: Multiply the result by 100: $0.4 \times 100 = 40\%$.
  5. Result: The revenue saw a 40% percentage increase.

Frequently Asked Questions (FAQ)

How do I calculate a percentage decrease?
The same formula is used. If the final value is smaller than the initial value, the result will naturally be a negative percentage, indicating a decrease.
Is percentage increase the same as CAGR?
No. Percentage increase is a single-period or total change measurement. Compound Annual Growth Rate (CAGR) measures the average annual growth rate over multiple periods, assuming compounding.
What happens if the initial value is zero?
The formula involves division by the initial value. Mathematically, division by zero is undefined, and our calculator will display an error, as a percentage increase from zero is not meaningfully calculable.
Why is this metric important for investors?
Investors use percentage increase to standardize returns. A 10% gain on a $100 stock is directly comparable to a 10% gain on a $1000 stock, allowing for clear performance evaluation.
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