In The Red

Business, Legal & Accounting Glossary

Definition: In The Red


In The Red


Full Definition of In The Red


In the red means to record a deficit or to be losing money. The term in the red comes from the traditional practice of showing negative numbers in red ink. In the red can be compared to in the black, which means to be profitable. In the red is often used when a company has moved from making a profit to recording a loss, or vice versa. For example, “Acme has been in the red for the past few years, but this year it’s likely to be profitable.” In the red is a vague term. It typically means that the company recorded a net loss for its fiscal year; but in the red might also mean, say, the company posted an operating loss over some other time-span. Thus it’s best to avoid using in the red, except as a lively way to inform readers about a company’s nonsuccess.


Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/in-the-red/
Modern Language Association (MLA):
In The Red. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
March 29, 2024 https://payrollheaven.com/define/in-the-red/.
Chicago Manual of Style (CMS):
In The Red. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/in-the-red/ (accessed: March 29, 2024).
American Psychological Association (APA):
In The Red. PayrollHeaven.com. Retrieved March 29, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/in-the-red/

Definition Sources


Definitions for In The Red are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 9th February, 2020 | 0 Views.