Revenues

View Financial Glossary Index

Definition

Income that a company gains from business activities, calculated before any expenses are subtracted. Includes all sales and other increases in owner's equity. Increasing revenues over time are generally a good sign of company's growth.

While a bit obvious, if a lemonade company has sold 30 million in revenue and has 10 million in costs of goods sold, the company's revenue is still 30 million. (Expenses are not accounted in Revenue).

Formula

Revenues are from the Income Statement that a firm reports.
Revenues (TTM) are the sum of the last four quarters of a firm's revenue.

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