Many usage-based companies like Twilio don’t disclose ARR as their North Star metric. So, what do they track instead to communicate growth and efficiency to investors?

In episode #314, Ben Murray shares his research from 10-Q filings, press releases, and earnings calls to uncover the seven most common financial metrics that usage-based companies highlight. From revenue growth and gross margin improvements to AI adoption and RPO (Remaining Performance Obligations), you’ll learn what matters most to analysts, investors, and acquirers when ARR isn’t the headline.

This is a must-listen if you’re building a usage-based business model and want to understand how to position your company for valuation and fundraising success.

What You’ll Learn

• Why many usage-based companies don’t lead with ARR or MRR.
• The 7 key metrics
• How AI adoption is becoming a narrative driver in earnings calls.
• Why RPO is gaining importance as a measure of forward visibility and future revenue.

Why It Matters

• For Investors: These metrics provide confidence in growth and scalability, even without ARR disclosures.
• For Founders: Tracking and segmenting these numbers helps communicate the right story to Boards and potential buyers.
• For Valuation: Metrics like RPO and NRR are increasingly driving company valuations in usage-based models.
• For Finance Leaders: Understanding which financial systems and SaaS metrics to track ensures more effective reporting and better alignment with investors.

 Resources Mentioned

The SaaS Metrics Academy: https://www.thesaasacademy.com/

Quote from Ben

“If usage-based companies aren’t tracking ARR, what are they tracking? The answer is seven key metrics that investors want to see — from gross margin to RPO.”