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StockCram is not a broker-dealer, investment adviser, or financial institution. All content is for educational and informational purposes only and should not be construed as personalized investment advice. Consult a qualified financial professional before making investment decisions. Past performance does not guarantee future results.Simple Definition
Total money a company brings in before paying any expenses.
Why It Matters
Revenue is the top line - how much a company sold before any costs. Apple's $380+ billion annual revenue makes it one of the largest companies in the world. Revenue growth is often the first thing investors check. A company can cut costs to boost short-term profits, but sustainable revenue growth is harder to fake and signals real demand.
Key Points
- Revenue ≠ Profit. A company can have huge revenue and still lose money (see: many tech startups)
- 'Top line' growth means revenue growth; 'bottom line' growth means profit growth
- Recurring revenue (subscriptions, services) is more valuable than one-time sales - it's more predictable
Related Terms
Common Questions
Total money a company brings in before paying any expenses. Revenue is the top line - how much a company sold before any costs. Apple's $380+ billion annual revenue makes it one of the largest companies in the world.
Revenue is the top line - how much a company sold before any costs. Apple's $380+ billion annual revenue makes it one of the largest companies in the world. Revenue growth is often the first thing investors check. A company can cut costs to boost short-term profits, but sustainable revenue growth is harder to fake and signals real demand.
Revenue ≠ Profit. A company can have huge revenue and still lose money (see: many tech startups)
'Top line' growth means revenue growth; 'bottom line' growth means profit growth
Recurring revenue (subscriptions, services) is more valuable than one-time sales - it's more predictable