Business Pitch Dictionary by pitch.dog
Assets, liabilities & equity · Core

Retained earnings

Also called: accumulated earnings

ELI5

Accumulated profit or loss retained in the business after distributions and adjustments.

Used in conversation

“The headline changes once we calculate retained earnings consistently.”

Pitch context

You will see “Retained earnings” in financial models, budgets, board packs and investor materials when the discussion reaches assets, liabilities & equity.

Why it matters: In assets, liabilities & equity, different calculation boundaries, periods or accounting treatments can change the number and the decision.

Caution

Calculation, recognition and disclosure can vary by accounting framework, company policy and reporting context.

Sources & evidence · 4

Direct term-level sources and supporting source families.