Unit Sales

Unit Sales
A measure of the total sales that a firm earns in a given reporting period, as expressed on a per unit of output basis. Typically, when using or analyzing a unit sales figure, it should be based on a physical product, such as the number of tons of coal sold, rather than on the number of services rendered.

Unit sales, which is a top-line item, is a useful figure for analysts because it enables them to determine average product prices and find possible margin pressure.

For example, assume XYZ Corp. has $250 million in revenue and it sold 5 million units. By taking the ratio of the two ($250 million/5 million), an analyst can see that the average selling price is $50 per unit. Suppose that in the next reporting period, that same firm had an average selling price of $48. The analyst could see this as a red flag, which could warrant more research into the firm.


Investment dictionary. . 2012.

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  • unit — More than one class of securities traded together ( e.g., one common share and three subscription warrants ). Bloomberg Financial Dictionary Securities representing a portion of assets pooled by investors: run by a management company whose share… …   Financial and business terms

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  • Unit price — is a valuation method for buyers who purchase in bulk.ExamplesBuyer seeks to purchase 10000 widgets. Seller One offers 1000 widgets packaged together for $5000. Seller Two offers 5000 widgets packaged together for $25000. Seller Three offers 500… …   Wikipedia

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  • unit share — ➔ Share * * * unit share UK US noun [C] MARKETING ► the number of units of a particular product that have been sold, as a percentage of the total sales of all similar products: »In the laptop category, they have a 9.9% unit share …   Financial and business terms

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