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like-for-like sales

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Financial Dictionary

Like-for-Like Sales

The portion of current sales achieved through activities that are comparable to the activities of the previous year.

Investopedia Commentary

Using like-for-like sales is a method of valuation that attempts to exclude any effects of expansion, acquisition, or other events that artificially enlarge the company's sales. For example, if you are trying to compare the turnover of company ABC from this year to last year, it makes sense to exclude from the equation any sales resulting from acquisitions this year.

Related Links

P/S Ratio: A Useful Way to Size Up Stocks (Sometimes)
Great Expectations: Forecasting Sales Growth
Understanding The Income Statement
Advanced Financial Statement Analysis

See also: Acquisition, Gross Sales, Merger, Same-Store Sales, Valuation

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