Depending on which accounting methods are used, there are different ways to calculate this number. Regardless of how you calculate it, it needs to be a solid number. Some companies may run a negative revenue and there must be a solid reason as to why before going further. When looking at revenue, you may hear it referred to as top line in quick conversation.
There are many different metrics used in detailing how a company is doing and one of the most common, if not the most, is revenue. This is essentially how much money the company makes from their sales. You want to see a company have a positive and growing revenue and if there is not, you may want to look deeper to understand why. Revenue is also used in many different ratios to help compare apples to apples in the market.