I’ve been a holder of Xero for a decade. Reporting the churn...

I’ve been a holder of Xero for a decade. Reporting the churn rate as a monthly rate is nothing new. They have always reported it this was as it is the industry norm. The churn rate may be up slightly on the last couple of years but it is still below the pre-covid average so still a low rate by historical standards for the company. The subscriber growth reported is post churn. Its comparing subscribers at the end of the year to the start (= new subs - losses). I’m very please with this report. They’re heading in the right direction with profitability and keeping expenses under control. We’re not in an environment of basically free money anymore. Companies need to be fiscally responsible and not aggressively pursue growth at any cost. They are doing a good job balancing growth and profitability. The rule of 40 is a well accepted target with tech companies.