How to Calculate % Change in Excel

Understanding how to calculate percentage change in Excel is a fundamental skill for anyone working with data. Whether you're tracking revenue growth, monitoring budget fluctuations, or analysing trends over time, this simple formula can reveal meaningful insights at a glance.

In this guide, we’ll walk through the standard method for calculating percentage change, step by step. You’ll learn how to apply the formula, format the results correctly, and use it across multiple rows of data. We’ll also explore how this calculation can support decision-making in finance, sales, and operations—plus answer some of the most common Excel-related questions.

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How to Calculate % Change in Excel Step by Step

Calculating percentage change in Excel revolves around a single, elegant formula: =(New Value – Old Value)/Old Value. It’s the foundation for measuring growth, decline, or stability between two data points.

Input Your Data

Begin by entering your values into Excel. Suppose you’re a small business owner tracking annual revenue. Place your old value; say, £75,000 from 2023—in cell A1, and your new value—£90,000 from 2024—in cell B1. Clear labelling keeps your spreadsheet organised and reduces errors. See the screenshot below for an example setup.

Apply the Formula

Move to cell C1 and type =(B1-A1)/A1. Hit Enter, and Excel performs the calculation: (£90,000 – £75,000) / £75,000 = 0.2. This raw result represents a 20% increase, but it’s not yet formatted for easy reading. Here’s how it looks initially.

Format as Percentage

To make it intuitive, right-click cell C1, select “Format Cells,” then choose “Percentage” under the “Number” tab. Set decimal places to zero for simplicity (20%) or two for precision (20.00%). Click OK, and the cell updates. This step transforms a decimal into a percentage your audience can grasp instantly.

Extend with Fill Handle

Working with multiple rows? Excel’s fill handle saves time. If A2 has last month’s sales (200 units) and B2 has this month’s (250 units), apply =(B2-A2)/A2 in C2 for 0.25 (25%). Click the tiny square at C2’s bottom-right and drag down to copy the formula across your dataset; perfect for analysing trends over weeks or years. See it in action.

Handle Variations

The formula adapts to diverse scenarios. For a non-profit tracking volunteer hours (50 last quarter, 45 this quarter), =(45-50)/50 in C3 yields -0.1, or -10% after formatting; a decline made visible. Add real-world context like revenue or sales data, and you’ve got a tool for any numeric shift. Here’s a negative change example.

Pro Tips: Avoid division-by-zero errors by ensuring old values aren’t zero; use an IF statement like =IF(A1=0,"N/A",(B1-A1)/A1) if needed. For large datasets, freeze panes (View > Freeze Panes) to keep headers visible while scrolling. These tweaks make your work efficient and polished.

Potential Business Applications

Percentage change in Excel isn’t just a technical trick; it’s a lens for understanding performance across sectors. Here’s how it applies broadly, with examples to spark ideas for your own work.

Financial Analysis

A retailer might calculate a 12% sales increase from Q1 (£200,000) to Q2 (£224,000), revealing seasonal trends or marketing wins. This helps forecast inventory needs or adjust pricing strategies without tying to one industry.

Sales Performance Tracking

Imagine a consultancy tracking client hours; 100 in January, 115 in February. A 15% uptick (=(115-100)/100) signals growth, prompting resource planning or staff training to sustain momentum.

Budgeting and Planning

A non-profit sees donations drop from £10,000 to £9,500 year-over-year (=(9500-10000)/10000 = -5%). This flags a need to rethink fundraising or cut costs, a universal challenge for resource-strapped teams

Monitoring Trends

Government analysts might track service usage; say, library visits rising from 1,000 to 1,050 monthly (=(1050-1000)/1000 = 5%). Small shifts like this inform policy or staffing decisions over time.

Whether you’re comparing annual revenue, assessing programme impact, or spotting operational shifts, percentage change turns raw data into actionable stories. Curious about deeper applications? Contact us to see how we can help you grow your business!