P&L (Profit and Loss) report enables tracking of income and expenses over time. We recommend generating the report regularly to rate your business profitability, compare ingredient costs with revenue, or plan a budget.
P&L report will highlight the strengths and weaknesses of the business, allowing for strategic adjustments if necessary. For example, you might reduce product costs or introduce new services.
💡 Sales data is added to the P&L immediately after closing orders at the register.
How the Report is Generated
Data in the report is displayed based on the accrual date.
The accrual date is the date of the financial obligation, not the date of the actual payment. For example, the rent might have been paid in September, but the obligation to pay it arose in August. If needed, specify the accrual date when adding transactions in the management console or at the register.
If you don't specify an accrual date, Poster will use the transaction date as the accrual date. For supply transactions, the supply date will be considered the accrual date for the payment.
☝️ The report does not display rows with zero values. So, if there were no costs in receipts or expense transactions during the period, those figures will not appear in the P&L.
Each value in the report is shown in both currency and percentages. The percentage is calculated from the total income amount.
What Makes Up the P&L
Revenue
Revenue of products and dishes sold: total revenue from sales, including online payments and additional payment methods, minus all discounts, promotions, and bonus payments. Check sales reports by station and category.
Revenue from services: total service charge fees, delivery commissions, and other related income over the selected period.
Transactions: total amount of income with categories included in P&L, excluding Supply and Cash Shift categories.
Cost
This section includes the cost of goods sold, inventory results, and storage deductions:
Cost of products and dishes sold: total cost of goods sold in receipts for the selected period.
Results of inventory checks: total cost equivalents of inventory check shortages and surpluses over selected period.
Stock deductions: cost equivalents of manual stock deductions.
Transactions with categories included in P&L's Cost block excluding Supply and Cash Shift categories.
Margin
Margin on products and dishes sold is calculated by the formula: Margin = Revenue – Cost.
You can view the margin by stations and menu categories.
Expenses
Stock deductions with reasons marked as Expenses can be shown here.
Transactions with categories included in P&L under Expense block excluding Supply and Cash Shift categories.
Profit before taxation
Pre-tax Profit is calculated as:
Pre-tax Profit = Revenue – (Cost + Expenses)
Taxes
This section shows the total amount of taxes for the period, broken down by each tax type.
Profit after taxation
Post-tax Profit is calculated as:
Post-tax Profit = Pre-tax Profit – Taxes
With all these metrics, you can analyze expenses and income to calculate, for example, ROI (Return on Investment) — the percentage of business profitability. To do this, click Export and download the Excel spreadsheet with the profit and loss report.
Calculate the ROI by the formula: ROI = (Income – Expenses) / Expenses * 100%.
To plan investments, also review cash flow report and account balances. Prepare your account for accurate P&L reporting and ensure it includes all your business expenses and income.
💡 Transactions and stock deductions related to 2 locations at the same time are placed in the 'Uncategorized' column.
Feel free to contact our customer support if you have any questions or concerns. We're available in chat @joinposter.com and email contact@joinposter.com
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