Okuzeka
Accounting & Tax vocabulary · Financial Statements

Revenue

Meaning in accounting & tax, with examples

/ˈrevənuː/nounCore term

In accounting & tax, revenue means: The income a business earns from its normal activities, mainly from selling goods or services, before any costs or expenses are deducted.

In Turkish: hasılat, satış gelirleri, ciro

How it is used

The top line of the income statement. Revenue is recognised, booked and reported. Under IFRS 15 it is recognised when control of the goods or services passes to the customer.

Example sentences

  1. Revenue rose 18 percent in the third quarter, mostly thanks to export sales.

  2. We can't recognise the revenue until the machine is installed at the customer's site.

Common collocations

  • recognise revenue
  • revenue recognition
  • annual revenue
  • revenue growth
  • top line
  • income statementA financial statement that shows a company's revenue, expenses and resulting profit or loss over a period, such as a quarter or a year.
  • expenseA cost a business has used up in a period to earn revenue, such as salaries, rent, electricity or advertising, which reduces profit.
  • gross profitRevenue minus the cost of goods sold, before operating expenses such as rent, salaries and marketing are deducted.
  • deferred revenueMoney received from customers for goods or services not yet delivered. It is recorded as a liability until the company has earned it.
  • net incomeThe profit left after all expenses, interest and taxes have been deducted from revenue for a period. If the result is negative, it is a net loss.

This word in other fields

The same English word can have a different meaning in another field:

More terms: Financial Statements

Practise with graded reading

Reading at the right level is the fastest way to make new words stick. Pick free English books by level:

This page explains English vocabulary for learners. It is not financial advice.