Glossary
Glossary term

net turnover

A regulatory term referring to (i) the net turnover, as defined in Article 2, point (5), of Directive 2013/34/EU.

1 official sourcessingle_source

What does net turnover mean?

Net turnover is part of the formal vocabulary used in supply-chain due diligence, adverse-impact governance, and corporate responsibility. For this glossary, the key point is understanding how the source defines the term and where that definition sits within broader compliance or data requirements.

Official definitions by source

CSDDD

Directive (EU) 2024/1760 on corporate sustainability due diligence

(i) the ‘net turnover’, as defined in Article 2, point (5), of Directive 2013/34/EU; or (ii) where the company applies international accounting standards adopted on the basis of Regulation (EC) No 1606/2002 of the European Parliament and of the Council (47) or is a company within the meaning of point (a)(ii), the revenue as defined by or within the meaning of the financial reporting framework on the basis of which the financial statements of the company are prepared;

Reference: Article 3, point m

View official source

Why it matters in practice

In practice, this term matters when mapping who is responsible for obligations, declarations, market placement, recordkeeping, or due-diligence steps within supply-chain due diligence, adverse-impact governance, and corporate responsibility.

Minespider commentary

For Minespider, net turnover is best treated as a responsibility and workflow term. The important question is which actor, document, or compliance step the source is actually assigning through this definition.

Common confusions

  • Assuming the everyday meaning of net turnover is enough without checking the official source definition.
  • Using net turnover as a loose generic label rather than the narrower meaning used in the source text.
  • Confusing net turnover with a neighboring legal actor or responsibility term without checking how the source allocates obligations.