Profit/Loss Report
Profit/Loss Report — simple guide for claimed shop owners
What this page is for View month-by-month profit and loss for your shop so you can understand profitability, track trends, and make quick decisions about pricing, stocking, staffing, and promotions. The report brings together revenue, direct costs, salaries, and other operating expenses and presents them as clear numbers and charts for each month.
Top summary (what you see immediately)
Overview chart — visual monthly comparison of Revenue, Costs, and Profit/Loss across the selected period.
Monthly cards — for each month you’ll see:
Total Revenue
Total Expenses (other operating expenses)
Total Salaries
Total Costs (COGS / direct costs)
Profit or Loss amount and status (Profit / Loss)
Monthly mini-chart — daily breakdown inside each month (if daily data exists).
Quick actions — links to Sales Report, Expense Manager, and Employee Management.
Why it matters: shows whether your business is making money over time, which months are seasonal, and which cost lines need attention.
Do this now: open the latest month card and check whether Profit/Loss status is Profit (green) or Loss (red). If loss, check whether it’s driven by low revenue or high costs.
How to use — step-by-step
Open: Dashboard → Reports → Profit/Loss Report (for your claimed shop).
Select date range (if available) or use the default period shown (e.g., last 12 months).
Read the Overview chart — compare revenue vs costs across months.
Open a month card for details: revenue, expenses, salaries, costs, and profit/loss.
Inspect the monthly mini-chart (daily series) to find specific days that contributed most.
Use quick actions to jump to Sales, Expenses, or Employee pages to drill into underlying data.
Export or copy the numbers into your bookkeeping system (if export exists).
What each metric means (plain definitions)
Total Revenue: All income from sales and services for the month.
Total Costs / Cost of Goods Sold (COGS): Direct costs for goods sold (supplier price, input materials, purchase taxes where applicable).
Total Salaries: Sum of wages, payroll taxes, and direct employee-related costs recorded for the month.
Total Expenses (Operating Expenses): Rent, utilities, marketing, commissions, payment gateway fees, and sundry expenses.
Profit/Loss:
Profit/Loss = Total Revenue − (Total Costs + Total Salaries + Total Expenses)Profit Margin (%):
(Profit / Total Revenue) × 100(useful to compare months and targets).
Charts & visuals — what they show and what to act on
Overview Chart (Revenue / Costs / Profit-Loss)
What it shows: side-by-side monthly bars for Revenue, Costs, and Profit/Loss.
Why it matters: quickly spot months where revenue fell or costs spiked.
Do this now: if revenue is steady but profit falls, focus on cutting costs or investigating one-off expense spikes.
Monthly line charts (daily breakdown)
What it shows: revenue, costs, profit/loss per day within the month.
Why it matters: identifies particular days (promotions, events) that moved the needle.
Do this now: if you see a sale day with high returns or low margin, review price/discount applied.
Colored month cards
Green for Profit, Red for Loss — immediate visual cue for action.
Drill-down & tables (where to find details)
Monthly cards include a table listing the numeric values and a summary sentence.
Daily data (if available) shows per-day revenue/cost lines used to make the monthly chart.
View linked records: from totals you can jump to the underlying daily-sales, expense entries, or payroll records to verify and correct entries.
Plain formulas and example calculations
Key formulas
Gross Profit =
Total Revenue − Total CostsNet Profit (Profit/Loss) =
Gross Profit − (Total Salaries + Operating Expenses)Profit Margin (%) =
(Net Profit / Total Revenue) × 100
Example (digit-by-digit)
Revenue = ₹300,000
Costs = ₹180,000 → Gross = 300,000 − 180,000 = ₹120,000
Salaries = ₹50,000; Expenses = ₹40,000 → Net = 120,000 − (50,000 + 40,000) = ₹30,000
Profit Margin = (30,000 / 300,000) × 100 = 10.00%
Interpretation & recommended actions
Scenario A — Revenue up, Profit down
Cause: Costs or expenses grew faster than sales.
Action: review supplier invoices, identify one-off expenses, renegotiate rates, or reduce discretionary marketing spend.
Scenario B — Revenue down, Profit stable or up
Cause: Lower sales volume but improved margins (higher prices or lower costs).
Action: consider targeted promotions to recover footfall while preserving margin.
Scenario C — Repeated monthly loss
Cause: structural issue (pricing, location, high fixed costs).
Action: run a 30-day deep-dive: check top-selling SKUs, supplier costs, staff scheduling, and rent/lease terms.
Edge cases & validation
No data for month: the shop may be new, or tracking may be disabled — allow 24–48 hours after setup for data to appear.
Mismatch with accounting: this report uses recorded sales/expense events; if your external accounting system shows different numbers, reconcile by exporting underlying records and matching receipts/invoices.
Zero or negative revenue: verify data feed and sales logs; negative numbers usually indicate refunds/returns — check Returns / Credit Notes records.
Large one-time entries: flagged months may be impacted by a one-off expense (equipment purchase) — treat as separate CAPEX vs OP-EXP when planning.
Simple tips to improve your monthly profit
Raise average selling price on slow-moving SKUs (small price hikes across many SKUs can improve margin).
Negotiate supplier discounts or buy in larger quantities where cashflow permits.
Reduce waste & shrinkage (tighten inventory checks).
Optimize staff scheduling to match peak hours and lower idle wages.
Limit promotional discounts that erode margins; measure ROI of each promotion.
Quick troubleshooting
Overview chart blank / no labels: check the selected date range.
Monthly totals differ from sales report: date boundaries or filters may differ (e.g., invoice date vs payment date). Verify filter settings.
Salaries or specific expense missing: ensure expense items are categorized correctly (Salaries vs Operating Expenses).
Wrong currency or scale: verify shop currency settings and reporting scale (thousands vs units).
Data looks delayed: allow up to 24 hours for some analytics to sync — if still delayed, contact support.
Exporting & sharing (best practices)
Export monthly snapshot (if export feature available) and attach to your accounting software for month-end close.
Save reports: keep a copy of the month summary with the date the report was run and the exchange rate (if foreign costs included).
Share with staff: send the one-month card to store managers and highlight 2–3 actionable items (e.g., change supplier, run campaign).
Action plan — 30 / 60 / 90 minutes
30-minute check
Open current month card. Note profit/loss and margin.
If Loss: open Sales and Expense links to find the largest cost item this month.
Make one quick change (pause ad spend or renegotiate a supplier).
60-minute analysis
Compare this month to the same month last year.
Identify top 3 expense increases and check invoices.
Create a one-page memo of suggested changes and estimated savings.
90-minute corrective steps
Implement the easiest corrective (pricing change, supplier call).
Schedule a follow-up in 7 days to check impact on daily figures.
Document adjustments for month-end reconciliation.
FAQ
Q: Why is profit different from my accountant’s report? A: This report uses events recorded in the shop dashboard (sales, expenses, payroll). Accounting systems may use accrual recognition, tax adjustments, depreciation, or bank reconciliations. Use this report for operational insight and reconcile with accounting during month close.
Q: Can I see profit by product or category? A: If your sales are tagged by product and costs are tracked per SKU, the system may offer product-level reports — check Sales → Product Performance or export sales per SKU and compute contribution margins.
Q: How recent is the data? A: Most entries appear near real-time; some aggregated summaries may update daily depending on sync settings. If you suspect delay, wait 24 hours or contact support.
Q: Does the report show taxes? A: Totals reflect recorded values. Tax treatment depends on how you record sales and costs (tax-inclusive vs exclusive). For tax-ready reports consult your accounting system.
Who should use this and how often
Shop owners / managers: monthly for business decisions; weekly for trend-checks.
Store supervisors / shift managers: weekly quick checks for effect of promotions or events.
Accountant / bookkeeper: monthly reconciliation and month-end close (use exported data for full accounting adjustments).
Final checklist before acting on a month’s report
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