Profit and Loss Report

The Profit and Loss report reflects revenue and expenses and allows you to see net profit for the selected period. In the report, the profit is based on the Shipments, while the losses are derived from the Outgoing Payments and Write-offs. 

To view the Profit and Loss report, select Financials → Profit and Loss.

• Viewing the report
• Expense items
• Expense items customization

Viewing the report

Use the filters to sort the data you need. Click to save the search parameters. Click to customize the report. 

The following indicators are specified in the report:

• Revenue = Shipment − Returns. The moment of revenue recognition is considered to be the creation of a Shipment, not the receipt of money.
• Cost — the cost of sold products.
• Gross profit = Revenue − Cost.
• Operating expenses — the expenses amount except Product Purchases, Taxes, Transfers, and Returns.
• Operating income = Gross profit − Operating expenses. This is profit before tax. Incomes not related to the company's core activities are not taken into account.
• Taxes — the total amount of Payments Made, where the expense item Taxes is indicated.
• Net income = Operating income − Taxes.

There are more settings related to the Profit and Loss report you need to know:

• Print the reports in Excel, PDF, Open Office Calc.
• Receive automatic reports by email

Expense Items

In the Profit and Loss report, the following expense items are considered:

• Expenses for purchases,
• Expenses for returns,
• Taxes,
• Transfers,
• Marketing and Advertising,
• Rent,
• Salary.

The expense items are indicated in the Payments Made — Outgoing Payment and Outgoing Cash Payment. In the Payments Made, the expense item Expenses for purchases is indicated automatically by default and can be changed. If the payment is based on a Return, the expense item Expenses for returns is indicated automatically and cannot be edited.

Expense items customization

You can add, edit, and delete expense items according to your needs.

1. In the Kladana workspace, select the Outgoing Payment or Outgoing Cash Payment you need.
2. In the Expense Item field, click .
3. In the opened window:
   
   • Edit the name of existing expense items if necessary.
   • Click +Expense Item to add a new one.
   • Click  to delete the item.
4. Click Save.