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Turnover is used to indicate the value of business and trading, and the word revenue show the proceeds received by the firm in the given time phase, which not only shows the profits, but also the amount received by the company. In a comparison of turnover vs revenue, turnover means the number of times the firm earned revenues using the assets it purchased or generated in the business. It may refer to the business activities which may not necessarily include sales. On the other hand, revenue refers to the money earned by the firm through the sale of goods and services for the given price to the customer. It is related to profitability and can be used to calculate gross profit, net profit and the operating profit margin.
The annual turnover is the net sales generated by the company in a year where the profits are the residual earnings of the business left after all the expenses have been made. The turnover and profit are essentially the start and end of an income statement.
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