Revenue and retained earnings provide insights into a company’s financial performance. Revenue is a critical component of the income statement. It reveals the "top line" of the company or the ...

Retained earnings are a type of equity listed in the shareholders’ equity section of a company’s financial statements. Reserves and retained earnings may sound similar, but they are typically ...

Pro-forma earnings are financial statements with hypothetical estimates that provide a "picture" of a company's profits if certain nonrecurring items are excluded. They may allow companies to ...

Here is the formula for calculating dividends: Annual net income minus net change in retained earnings = dividends paid. Image source: Getty Images. Second, the income statement in the annual ...