Remaining Performance Obligation (RPO)
Nov 05, 2024•25 min•Ep. 59
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Episode description
The Remaining Performance Obligation (RPO) metric has become a more standard metric that public company Wall Street analysts have started to follow closely to help evaluate the bookings growth of recurring revenue companies. CAC and Growth cover the following topics regarding RPO including:
- Why was the Remaining Performance Obligation created
- What does the Remaining Performance Obligation (RPO) metric tell investors
- How is RPO calculated
- The difference between RPO and deferred revenue
- How multi-year agreements impact both the RPO and Deferred Revenue calculations
If you are interested in how public company analysts use the RPO metric or are just a student of the SaaS industry - this episode dives deep into an increasingly important SaaS investor metric!
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