Finance Dictionary
Revenue
Definition
The income that a business has from its normal business activities, usually from the sale of goods and services to customers.
Deep Dive
Revenue represents the total income generated by a business from its normal operations, primarily from the sale of goods and services to customers, before any expenses are deducted. Often referred to as the "top line," revenue is a foundational metric on a company's income statement, providing an immediate snapshot of its sales volume and market activity. It is a critical indicator of a company's size and market reach, reflecting the total monetary value of transactions over a specific period, such as a quarter or a fiscal year.
Examples & Use Cases
- 1A SaaS company generating $10 million in monthly recurring revenue from its various subscription tiers.
- 2A retail chain reporting $500 million in quarterly revenue from the sale of consumer electronics and accessories across its stores.
Related Terms
SalesGross IncomeProfit