Hacker News new | ask | show | jobs
by avip 2644 days ago
What does "net revenue" stand for? Is that profit?
3 comments

In marketplace e-commerce (I'm thinking Etsy or Amazon), gross revenue might include dollars received for goods sold which is passed on to the actual seller since the platform is a market place i.e. teddy bear is sold for $15 of which $14 goes to the seller so net revenue is $1. So if your costs/COGS were $0.50 your gross profit margin on the net revenue was 50% (much higher than the 3% on total revenue).

Other companies do this when they pass through costs such as in outsourced manufacturing.

He defined the way he uses it in one of his earlier posts: (actual total gross revenue minus any fees, refunds, disputes) https://tik.dev/how-i-acquired-my-first-10-customers-for-cro...
Net revenue is usually top line (sales - COGS), while net profit is bottom line, and in-between are various adjustments like taxes
Net revenue is gross revenue minus certain costs (discounts & refunds), but does not subtract COGS.

What parent comment describes is more akin to EBIDTA.