[merlindru]

it's just extrapolation.

it's

    (revenue of this month) * 12

in other words, "if every month was as good as this one, here's how much we'd make in a year"

that means, of course, if you make $1000 in january, your RRR is $12000.

...even if you end up making $0 every other month and thus only $1000 total that year.

thats why RRR is perhaps harmful. especially when it's not growing. it can be much bigger than the actual revenue. in anthropics case it's rapidly climbing, though, so it underestimates revenue if that growth keeps up

[rhubarbtree]

Yes, the temptation is that you bring all revenue forward at any cost so you can pump value at an IPO etc