Profit & Loss Report

See your revenue, expenses, and net income.

“We’re bringing in money, but it feels like there’s never anything left.” Sound familiar? Revenue doesn’t equal profit — you need to see what’s actually happening between money coming in and money going out.

The Profit & Loss (P&L) report — also called an Income Statement — shows exactly that: your revenue, your costs, and what’s left over. It answers the simplest question in business: “Did we make money or lose money?”

Accessing the P&L

1. Go to Reports in the sidebar
2. Click Profit & Loss
3. Select your date range

Report structure

The P&L follows a standard structure:

Revenue
  - Product Sales
  - Service Revenue
  - Other Income
= Gross Revenue

Less: Cost of Goods Sold (COGS)
  - Materials
  - Direct Labor
= Gross Profit

Less: Operating Expenses
  - Payroll
  - Rent
  - Utilities
  - Marketing
  - Software
  - Insurance
  - Professional Services
= Operating Income (EBIT)

Less: Other Expenses
  - Interest Expense
  - Depreciation
= Net Income (Profit/Loss)

Key metrics

Metric	Formula	What It Tells You
Gross Revenue	Sum of all income	Total money earned
Gross Profit	Revenue - COGS	Profit before overhead
Gross Margin	Gross Profit / Revenue	Efficiency of production
Operating Income	Gross Profit - OpEx	Profit from core operations
Net Income	Total Revenue - Total Expenses	Bottom line
Net Margin	Net Income / Revenue	Overall profitability

Date ranges

Select from preset or custom ranges:

Preset	Period
This Month	Current month to date
Last Month	Previous full month
This Quarter	Current quarter to date
Last Quarter	Previous full quarter
This Year	January 1 to today
Last Year	Previous full year
Custom	Any date range you specify

Comparison views

Compare performance across periods:

Year-over-Year

1. Select a date range
2. Click Compare
3. Choose “Previous Year”
4. See side-by-side columns with variance

Month-over-Month

Compare any two months to see:

• Revenue growth/decline
• Expense changes
• Profit improvement

Budget vs. Actual

If you’ve set a budget:

1. Click Compare → Budget
2. See actual vs. budgeted amounts
3. Variance shown as $ and %

Drill-down

Click any line item to see details:

Account detail

Clicking “Software Expenses: $2,450” shows:

• Individual transactions
• Dates and vendors
• Running balance

Transaction list

From the detail view:

• Click any transaction to see the journal entry
• Jump to the invoice, bill, or bank transaction

Export options

Format	Use Case
PDF	Share with stakeholders, attach to emails
Excel	Further analysis, custom formatting
CSV	Import into other systems
Google Sheets	Collaborative editing

Scheduled exports

Set up automatic exports:

1. Click Schedule
2. Choose frequency (weekly, monthly)
3. Select format
4. Enter email recipients
5. Reports are sent automatically

Cash vs. Accrual

Toggle between accounting methods:

Method	Revenue Recognized	Expenses Recognized
Cash	When received	When paid
Accrual	When earned	When incurred

Your default method is set in Settings → Accounting. The toggle lets you see both views without changing your books.

Why it matters

Cash basis may show:

• Lower revenue (unpaid invoices excluded)
• Lower expenses (unpaid bills excluded)

Accrual basis shows:

• True earned revenue
• True incurred expenses
• More accurate matching

Categorization impact

The P&L is only as accurate as your categorization:

• Uncategorized transactions appear as “Other Income” or “Other Expenses”
• Review and categorize regularly for accurate reporting
• Use bank rules to automate recurring categorization

Go to Banking → Transactions to categorize.

Common questions

Why doesn't my P&L match my bank balance?

The P&L shows income and expenses, not cash flow. Differences include:

• Unpaid invoices (accrual basis)
• Accounts payable (bills not yet paid)
• Loan principal (not an expense)
• Owner draws (not an expense)
• Asset purchases (capitalized, not expensed)

What's the difference between COGS and Operating Expenses?

COGS (Cost of Goods Sold) are costs directly tied to producing what you sell—materials, direct labor. Operating expenses are overhead—rent, utilities, marketing. COGS varies with sales volume; OpEx is more fixed.

How do I add budget figures?

Go to Settings → Accounting → Budgets. Enter monthly budget amounts per category. Then use Compare → Budget on reports.

Why are some categories missing?

Only categories with transactions in the selected period appear. To see all categories (including zeros), click Show All Accounts.

Balance Sheet

See your assets, liabilities, and equity.