bruttoliikevaihtoa

Bruttoliikevaihto, often translated as gross revenue or gross sales, represents the total income generated by a company from its primary business activities before any deductions are made. It is the sum of all sales of goods and services over a specific period, typically a quarter or a fiscal year. This figure is a key indicator of a company's sales performance and its ability to generate business volume.

Unlike net revenue, which accounts for returns, allowances, and discounts, bruttoliikevaihto presents the top-line figure without considering these subtractions. Therefore, it provides a broader picture of the company's market reach and customer demand. Financial analysts and investors often examine bruttoliikevaihto alongside net revenue to understand the efficiency of sales operations and the impact of customer-related adjustments.

For example, if a company sells products worth €100,000 but also has €5,000 in returns and €2,000 in discounts, its bruttoliikevaihto would be €100,000, while its net revenue would be €93,000. Bruttoliikevaihto is a fundamental metric used in various financial statements and is essential for calculating other important ratios and performance measures. It serves as the starting point for many profit calculations and is a crucial element in assessing a company's overall economic activity.