Revenue vs. earnings

Revenue is money coming in; earnings are what remains after costs.

Revenue is the top line

Revenue is the money a company brings in from selling goods or services. It shows demand, but it does not show whether the company kept any of that money.

Earnings are after costs

Earnings, often called profit or net income, are what remain after expenses such as wages, materials, interest, and taxes. A company can have huge sales and still lose money.

Read both together

Growing revenue can be encouraging, but costs and margins matter too. Look for the business story behind the numbers instead of one headline figure.

Continue with Stocks lessons.

For education only. Quoliv uses fake money and does not provide personal financial advice.