LTM (Last Twelve Months), also sometimes known as the trailing or rolling twelve months, is a time frame frequently used in connection with financial ratios, such asrevenuesorreturn on equity(ROE), to evaluate a company’s performance during the immediately preceding 12-month time period. This ...
To calculate TTM revenue, simply add up the previous four quarters of revenues: TTM Revenue = current Q earnings + Q-1 earnings + Q-2 earnings + Q-3 earnings. So, if XYZ Corp. generated $29.4 billion in revenue in Q1, $33.5 billion in Q4, $30 billion in Q3, and $21.9 billion i...
While calendarization adjusts financial statement data for a fiscal year, LTM takes the preceding 12 months’ data to use for calculating financial metrics such as earnings, EBITDA, or revenue. Although the last 12 months may be a relatively short period to evaluate a company’s performance, it...