RRI Function in Excel: Equivalent Annual Growth Rate (CAGR)

RRI Function in Excel: Equivalent Annual Growth Rate (CAGR) featured illustration

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⏱ 2 min readUpdated 5 October 2026

FinancialLevel: IntermediateAvailable in: Excel 2013+

In this article
  1. Syntax
  2. Examples
  3. Example 1
  4. RRI in practice
  5. Where you will use it
  6. Worked example
  7. Mistakes people make
  8. Related functions
  9. Continue learning

RRI returns the constant growth rate needed to go from a start value to an end value — i.e. CAGR in one function.

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Syntax

=RRI(nper, pv, fv)
Argument What it means
nper Number of periods (years).

Examples

Example 1

=RRI(5, 1000000, 1800000)

Revenue from ₹10L to ₹18L in 5 years: about 12.5% CAGR.

RRI in practice

Where you will use it

  • CAGR of sales
  • Growth rate of an investment
  • Compare growth across years

Worked example

YearsStartEndFormulaResult
5100000180000=TEXT(RRI(A2,B2,C2),"0.00%")12.47%
35080=TEXT(RRI(A3,B3,C3),"0.00%")16.96%
1010000002500000=TEXT(RRI(A4,B4,C4),"0.00%")9.60%

Results calculated in Excel.

Mistakes people make

MistakeWhat to do instead
Wrong period countNumber of periods = years between, not number of data points
Negative valuesNot meaningful

POWER · RATE · XIRR

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📎 Practice files for this article

  • 📗
    Practice workbook: Financial: EMI, SIP, NPV, IRR, depreciation23 tasks on realistic sales data — type your formula, the Check column turns green when it is right. Answers sheet included.
    ⬇ XLSX · 35 KB

Free to use for learning. Files with macros (.bas) are plain text — import them with Alt+F11 → File → Import File, and always test on a copy.

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