Meaning & use
accretive
Last updated
Meanings
adjectivenot comparableformal
Causing or producing gradual growth or increase through repeated additions.
Grammar: Often used before a noun or after be; prefer highly accretive over more accretive in careful use.
Patterns
- accretive process
- highly accretive
- be accretive to something
The historian described language change as an accretive process.
Good habits have an accretive effect that appears only after months.
The reforms were accretive to public trust rather than instantly popular.
adjectivenot comparablefinancebusiness
Describing a deal or action that increases a company's earnings, cash flow, or value per share.
Grammar: Common before deal, acquisition, merger, or after be; usually followed by to for the measure increased.
Patterns
- accretive acquisition
- accretive to earnings
- highly accretive deal
The board rejected the plan because it was not accretive to earnings.
An accretive merger can still carry serious integration risks.
Investors asked whether the purchase would be accretive in the first year.
adjectivenot comparabletechnicalspecialist
Relating to the buildup of material in layers, especially in geology or planetary science.
Grammar: Specialist modifier for processes, margins, or growth where material is added gradually.
Patterns
- accretive process
- accretive growth
- accretive margin
An accretive margin forms where sediment is added faster than it is removed.
The model explains the planet's accretive growth from dust and ice.
Researchers measured accretive buildup on the volcanic slope.
Common combinations
- accretive acquisition
- The firm sought an accretive acquisition that would not strain its debt load.
- accretive to earnings
- Analysts said the sale of the division would not be accretive to earnings.
- highly accretive
- A highly accretive deal may still reduce flexibility for future investment.
- accretive process
- Coral growth is an accretive process built from tiny repeated additions.
Synonyms and how they differ
- cumulative
- Cumulative emphasizes a total effect from repeated additions; accretive more often implies steady buildup or a positive financial effect.
- additive
- Additive simply means something is added; accretive suggests the additions create growth over time.
- value-enhancing
- Value-enhancing is a plainer finance phrase; accretive specifically points to added value or earnings.
Opposites
Word family
Commonly confused: accretive or accrual? accretive or dilutive?
accretive vs accrual
Accrual is an accounting amount or method; accretive describes something that produces gradual growth or added value.
accretive vs dilutive
In finance, dilutive is the direct opposite: it reduces earnings or value per share.
Practice
Analysts called the merger ______ because it raised earnings per share.
Choose one answer.
In finance, a deal that raises earnings per share is accretive. Dilutive means the opposite effect; accrued is a verb form or accounting term, not this adjective; abrasive does not fit finance.
Make it your own
Write a sentence using “accretive”, then check it and compare it with the examples above.