The Revenue Waterfall and Forecast chart provides a time-based view of both awarded revenue and projected future revenue. This visualization helps teams understand when revenue is expected to land and how forecasted pipeline contributes to future performance.
Each bar in the chart represents the total revenue associated with a specific period of performance (PoP), displayed by month or quarter depending on the selected zoom level.
Overview
The Waterfall chart combines two types of revenue:
Revenue Type | Definition |
Won Revenue | Revenue from opportunities whose status is Won or Awarded. This represents confirmed bookings. |
Forecasted Revenue | Probability-weighted revenue from opportunities that are Open or Submitted but not yet awarded. |
This provides a complete view of both secured revenue and projected pipeline contribution.
How to Use the Waterfall Chart
View revenue details
Hover over any bar to see:
Total revenue for the period
Number of contributing opportunities
Top contributing opportunities
This helps identify which pursuits are driving revenue in each time period.
Drill down into revenue contributors
Click on any bar to view a detailed breakdown of:
Individual opportunities contributing to that period
Revenue allocation per opportunity
Contribution to total forecast or bookings
This allows capture managers and leadership to validate forecast assumptions.
Opportunity Eligibility
An opportunity must contain sufficient data to calculate revenue allocation in order to appear in the Waterfall and Forecast chart.
Opportunities are excluded if required revenue calculation fields are missing.
Important:
Opportunities with an award date in the past are excluded from forecast calculations and only contribute to Won Revenue.
Required Opportunity Fields
The following fields are required for an opportunity to be included:
Field | Purpose |
Contract Start Date | Defines the beginning of the period of performance |
Contract End Date | Defines the end of the period of performance |
Estimated Contract Value | Determines the total revenue to be allocated across the contract duration |
These fields allow NextStage to accurately calculate and distribute revenue over time.
Automatic Period of Performance Estimation
If Contract Start Date and Contract End Date are not explicitly defined, NextStage will estimate the Period of Performance using available data.
Example
If an opportunity has:
An Award Date
A Contract Term (in months)
But does not have Contract Start Date or End Date, NextStage will automatically estimate:
Contract Start Date = Award Date
Contract End Date = Award Date plus Contract Term
This ensures the opportunity can still be included in revenue forecasting.
How Revenue and Forecast Are Calculated
NextStage calculates revenue allocation using the following methodology:
Step 1: Determine Period of Performance
NextStage identifies the full contract duration using:
Contract Start Date and Contract End Date
orAward Date and Contract Term
Step 2: Distribute Revenue Across Time
The Estimated Contract Value is evenly distributed across each month of the Period of Performance.
Revenue is prorated when necessary for partial months at the beginning or end of the contract.
Step 3: Apply Win Probability
For opportunities that are not yet Won, NextStage applies the opportunity’s win probability (Pwin).
This produces a probability-weighted forecast value.
Example:
Estimated Contract Value: $1,000,000
Win Probability: 50%
Forecasted Revenue Contribution: $500,000
Step 4: Aggregate Revenue by Time Period
Revenue is aggregated and displayed by:
Month
orQuarter (depending on zoom level)
The dashboard can also display data using:
Calendar year
orFiscal year settings
Why This Matters
The Revenue Waterfall and Forecast helps teams:
Understand when revenue is expected to land
Validate pipeline forecast accuracy
Identify revenue gaps
Support executive pipeline reviews
Improve capture planning and prioritization
This visualization provides a clear, data-driven view of both secured revenue and future pipeline contribution.