Consolidate

The combining of assets, liabilities and other financial items of two or more entities into one. In the context of financial accounting, the term consolidate often refers to the consolidation of financial statements, where all subsidiaries report under the umbrella of a parent company. These statements are called consolidated financial statements. Consolidation also refers to the merger and acquisition of smaller companies into larger companies. A consolidation, however, differs from a merger in that the consolidated companies could also result in a new entity, whereas in a merger one company absorbs the other and remains in existence while the other is dissolved.

In financial accounting, consolidated financial statements provide a comprehensive view of the financial position of both the parent company and its subsidiaries, rather than one company's stand-alone position. In business, consolidation occurs when two or more businesses combine to form one new entity, with the expectation of increasing market share and profitability, and the benefit of combining talent, industry expertise or technology.


Investment dictionary. . 2012.

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  • consolidate — con‧sol‧i‧date [kənˈsɒldeɪt ǁ ˈsɑː ] verb [intransitive, transitive] 1. to make your position of power or success stronger and more likely to continue: • His successful negotiations with the Americans helped him to consolidate his position. •… …   Financial and business terms

  • consolidate — con·sol·i·date /kən sä lə ˌdāt/ vt dat·ed, dat·ing: to join together into one whole: as a: to combine (two or more lawsuits or matters that involve a common question of law or fact) into one compare class action ◇ Consolidation of matters in the… …   Law dictionary

  • Consolidate — Con*sol i*date, v. t. [imp. & p. p. {Consolidated}; p. pr. & vb. n. {Consolidating}.] 1. To make solid; to unite or press together into a compact mass; to harden or make dense and firm. [1913 Webster] He fixed and consolidated the earth. T.… …   The Collaborative International Dictionary of English

  • Consolidate — Con*sol i*date, a. [L. consolidatus, p. pr. of consolidare to make firm; con + solidare to make firm; solidus solid. See {Solid}, and cf. {Consound}.] Formed into a solid mass; made firm; consolidated. [R.] [1913 Webster] A gentleman [should… …   The Collaborative International Dictionary of English

  • Consolidate — Con*sol i*date, v. i. To grow firm and hard; to unite and become solid; as, moist clay consolidates by drying. [1913 Webster] In hurts and ulcers of the head, dryness maketh them more apt to consolidate. Bacon. [1913 Webster] …   The Collaborative International Dictionary of English

  • consolidate — (v.) 1510s, to compact into one body, from L. consolidatus, pp. of consolidare to make solid, from com together (see COM (Cf. com )) + solidare to make solid (see SOLID (Cf. solid)). Meaning to make firm or strong is from mid 16c. Related …   Etymology dictionary

  • consolidate — *compact, unify, concentrate Analogous words: *integrate, articulate, concatenate: amalgamate, merge, fuse, blend (see MIX): condense, compress (see CONTRACT vb): *weave, knit Contrasted words: melt, *liquefy: * …   New Dictionary of Synonyms

  • consolidate — [v] combine; make firm add to, amalgamate, amass, band, bind, blend, build up, bunch up, cement, centralize, compact, compound, concatenate, concentrate, condense, conjoin, connect, densen, develop, federate, fortify, fuse, harden, hitch, hitch… …   New thesaurus

  • consolidate — ► VERB 1) make stronger or more solid. 2) combine into a single unit. DERIVATIVES consolidation noun consolidator noun. ORIGIN Latin consolidare, from solidus solid …   English terms dictionary

  • consolidate — [kən säl′ə dāt΄] vt., vi. consolidated, consolidating [< L consolidatus, pp. of consolidare < com , together + solidare, to make solid < solidus, solid: see HOLO ] 1. to combine into a single whole; merge; unite 2. to make or become… …   English World dictionary

  • consolidate — 01. Motokazu Corporation has announced plans to [consolidate] its manufacturing and sales subsidiaries in an attempt to increase overall business efficiency. 02. His stupid behavior at the party has certainly [consolidated] his reputation as a… …   Grammatical examples in English

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