Year comparison
The yoy ( english Year-over-year (YOY), year-on-year ) compares a determined for a given year by the appropriate value of one or more prior years. YOY comparisons are primarily used in connection with the performance of investments on a daily, monthly or quarterly basis. Every measured event that occurs annually can be compared on a YOY basis. Year-over-year is not to be confused with year-to-date : Here the change in the current value at the beginning of the current (business) year is measured.
Owners, managers and stakeholders can use YOY comparisons to find out whether the performance of the company or division has improved or worsened. For example, if the sales of a business area increased in the third quarter of YOY, this means that the sales of the business area in the third year are higher than those in the second and first year.
| category | Q3 2010 | Q3 2011 | YOY | Q3 2012 | YOY |
|---|---|---|---|---|---|
| sales | € 100,000 | € 110,000 | + 10.00% | € 130,000 | + 18.18% |
| Profit | € 1,000 | € 1,250 | + 25.00% | € 900 | - 28.00% |
By referring to accumulated figures during the year , the volatility of year-on-year figures is greater than in full fiscal years ( year ending comparisons) and less than in a period-to-previous period comparison.
Individual evidence
- ↑ Investopedia definition (Engl.)
- ↑ Year-Over-Year Growth Rate (Engl.)