retained earnings


Earnings not paid out as dividends but instead reinvested in the core business or used to pay off debt. On the balance sheet, retained earnings appear under shareholders' equityalso called earned surplus or accumulated earnings or unappropriated profit.

Use retained earnings in a sentence

The company credited half of the sales of its new products to retained earnings in order to further enhance the product for its second version.

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You should try to hold on to your retained earnings and put them to good use on your next big project.

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Our retained earnings were a lot higher than I thought and it meant that we would be going far in our company.

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