=(New_Value - Old_Value) / Old_Value To calculate percentage change: subtract the Old Value from the New Value, divide by the Old Value, and format the cell as a Percentage (Ctrl+Shift+%). Formula: =(B2 - A2) / A2.
How to Calculate Percentage Change in Excel & Google Sheets
Calculating percentage change (percentage increase or decrease) is one of the most common tasks in financial analysis, monthly sales reporting, and budget variance tracking.
1. The Core Formula
$$\text{Percentage Change} = \frac{\text{New Value} - \text{Old Value}}{\text{Old Value}} = \frac{\text{New Value}}{\text{Old Value}} - 1$$
=(B2 - A2) / A22. Practical Business Revenue Example
| Year / Quarter | Prior Period Revenue (A) | Current Period Revenue (B) | Formula (C) | Result | Type of Change |
|---|---|---|---|---|---|
| Q1 to Q2 2026 | $125,000 | $155,000 | =(B2 - A2) / A2 | +24.0% | 📈 Increase |
| Q2 to Q3 2026 | $155,000 | $139,500 | =(B3 - A3) / A3 | -10.0% | 📉 Decrease |
| Product Launch | $40,000 | $92,000 | =(B4 - A4) / A4 | +130.0% | 🚀 Surge |
3. Handling Zeroes and Blanks with IFERROR
=IFERROR((B2 - A2) / A2, "N/A")4. Handling Negative Base Numbers (Profit & Loss Variance)
If an operating division was in a net loss position last year (-$50,000) and made a profit this year (+$25,000), the standard formula produces a confusing negative percentage.
Use the ABS (Absolute Value) formula in the denominator:
=(New_Value - Old_Value) / ABS(Old_Value)(25000 - (-50000)) / ABS(-50000)=75000 / 50000$\rightarrow$+150.0%improvement.
Frequently Asked Questions
Why do I get a #DIV/0! error when calculating percentage change?
If the old value is 0 or blank, division by zero occurs. Wrap your formula in IFERROR: =IFERROR((New - Old) / Old, "N/A").
How do I format the cell as a percentage in Excel and Sheets?
Select the cell and press Ctrl + Shift + % (Windows) or Cmd + Shift + % (Mac), or click the '%' icon on the toolbar.
How do I handle percentage change when old values are negative?
Use the absolute value function ABS in the denominator: =(New_Value - Old_Value) / ABS(Old_Value).