Revenue

Definition

Revenue (revenue stream) are all financial rewards (expressed in monetary amounts, cash equivalents or otherwise) that a company generates (receives as a form of payment) from each Customer Segment in which it operates.

Revenues may be in the form of lump-sums from sales, regular fees etc. Revenues have a natural decomposition into sales volumes (number of clients) and revenue per sale (number of products sold, revenue per product etc). A metric that is commonly used to capture revenue in a comprehensive way is Customer Lifetime Value which attempts to cumulate total profit from the lifetime of the client relationship

See Also

• Revenue Risk