RPO Explained: The Overlooked SaaS Metric That Signals Growth

RPO—Remaining Performance Obligations—might not be a term you hear often in private SaaS, but public companies are required to disclose it, and it’s becoming a critical forward-looking metric. In episode #300, Ben Murray breaks down the RPO concept, how it's calculated, and why it matters in understanding your future revenue. Whether you’re preparing for due diligence or just want a stronger grip on your revenue story, understanding RPO can give you an edge. What You’ll Learn What “Remaining Performance Obligations (RPO)” means in SaaS How RPO connects to deferred revenue and unbilled contract amounts Why RPO is considered a forward-looking visibility metric Real-world RPO definition from Snowflake When RPO might apply to private SaaS companies — especially with multi-year deals Why It Matters A rising RPO often signals strong future revenue durability Adds context to your SaaS metrics Valuable in due diligence, PE conversations, and strategic exits Resources Mentioned Blog Post: Deep dive on RPO with real-world examples and use cases: https://www.thesaascfo.com/understanding-remaining-performance-obligations-in-saas/