Covista Communications (Covista Communications) Retained Earnings : $-38.72 Mil (As of Apr. 2005)

Covista Communications Retained Earnings Chart

Covista Communications Annual Data
	Trend	Jan96	Jan97	Jan98	Jan99	Jan00	Jan01	Jan02	Jan03	Jan04	Jan05
Retained Earnings		Get a 7-Day Free Trial					-11.29	-23.26	-32.66	-33.61	-38.94

Covista Communications Quarterly Data
	Jul00	Oct00	Jan01	Apr01	Jul01	Oct01	Jan02	Apr02	Jul02	Oct02	Jan03	Apr03	Jul03	Oct03	Jan04	Apr04	Jul04	Oct04	Jan05	Apr05
Retained Earnings	Get a 7-Day Free Trial															-35.61	-36.76	-38.99	-38.94	-38.72

Covista Communications Retained Earnings Calculation

Retained Earnings is the accumulated portion of net income that is not distributed to shareholders. Because the net income was not distributed to shareholders, shareholders' equity is increased by the same amount.

Of course, if a company loses, it is called retained losses, or accumulated losses.

Covista Communications  (OTCPK:CVST) Retained Earnings Explanation

Historically profitable companies sometimes have negative retained earnings. This is because they have cumulatively paid out more to shareholders than they reported in profits.

For example, in 2011, Microsoft had negative retained earnings. This does not mean the company lost more money than it made over the years. It just means it paid out more money than it earned.

If a company has negative retained earnings, investors should check the 10-year financial results. They should not assume that negative retained earnings prove a company has generally lost money in the past.

Of course, many companies with negative retained earnings have indeed lost money in the past.

Retained Earnings: Warren Buffett's Secret.

One of the most important indicators of durable competitive advantage. Net earnings can be paid out as dividends, used to buy back shares or retained for growth.

If the company loses more than it has accumulated, retained earnings is negative.

If a company isn't adding to its retained earnings, it isn't growing its net worth.

Rate of growth of retained earnings is good indicator whether it's benefiting from a competitive advantage.

Microsoft is negative because it chose to buyback stock and pay dividends.

The more earnings retained, the faster it grows and increases growth rate for future earnings.

Covista Communications (Covista Communications) Business Description