Net worth

Common stockholders' equity which consists of common stock, surplus, and retained earnings. The New York Times Financial Glossary

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net worth ˌnet ˈworth noun [uncountable] ACCOUNTING FINANCE

the value of a company calculated by taking its total liabilities away from its total assets:

• At that time, the company had assets of $5.9 million and a net worth of $11,000.

ˌnegative ˌnet ˈworth ACCOUNTING FINANCE

the amount by which a company's liabilities are greater than its assets:

• It was not unusual for cable television companies to have negative net worth because of high start-up costs.

ˌpositive ˌnet ˈworth ACCOUNTING FINANCE

the amount by which a company's assets are greater than its liabilities:

• He couldn't say whether the company will have a positive net worth after the audit is completed.

ˌtangible ˌnet ˈworth ACCOUNTING FINANCE

net worth that is calculated without considering assets that do not have clear and easily measured financial value, such as goodwill:

• Tangible net worth is a key measure of a company's financial health.

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   A measure of the difference between the total value of assets and possessions and total indebtedness. Also known as net assets.

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net worth UK US noun [C or U] FINANCE, ACCOUNTING

► the value of the assets and money that a person or business has, after their debts are taken away: »

He is one of Britain's richest people, with a net worth of about £70 million.

→ See also HIGH NET WORTH INDIVIDUAL(Cf. ↑high net worth individual), NEGATIVE NET WORTH(Cf. ↑negative net worth), POSITIVE NET WORTH(Cf. ↑positive net worth)