Revenue

Revenue is the total money a company brings in from selling its products or services, before any expenses are subtracted. Think of it as the top line of a company's income statement—the starting point before you account for costs like salaries, rent, or materials. You'll see revenue reported in quarterly earnings reports and annual filings, and it matters because it shows whether a business is actually attracting customers and growing. A company might report $500 million in revenue one year and $600 million the next, signaling expansion. However, high revenue doesn't guarantee profit—a company could spend more than it earns and still lose money. That's why investors look at both revenue and profitability together.