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Profit and Loss = P&L (Finance)

Created by Arthur Aslanyan (Nafta College) on Feb 08, 2020

Synonym: Statement of Income = Profit and Loss = P&L

Specific Financial Statement showing the Company’s Revenues and Expenses during the Accounting Period:

Balance		Formula
Base Metrics	Additional Metrics
Total Revenue	= Top Line	Total Revenue = Sales + Non-Operating Revenue
	Sales
	Non-Operating Revenue
	COGS	Direct Expenses
Gross Income		= Sales − COGS
Gross Margin		= Gross Income / Sales · 100 %
	SG&A
EBITDA		= Gross Income – SG&A = Sales − COGS – SG&A
EBITDA Margin		= EBITDA / Sales · 100 %
	D&A
Operating Income		= EBITDA − D&A = Sales − COGS – SG&A − D&A
Operating Margin		= Operating Income / Sales · 100 %
	Non-operating Expenses	Impairment Loss, non-recurring expenses etc.
EBIT		= EBITDA – D&A + Non-Operating Revenue – Non-Recurring Expenses = Total Revenue − COGS – SG&A – D&A - Non-Recurring Expenses
	Interest
EBT		= EBIT − Interest
	Income Tax	= EBT · IncomeTaxRate
Net Income	= Bottom Line	= EBT − Income Tax
Profit Margin		= Net Income / Total Revenue · 100 %
	NOPAT	= Net Income − after-tax Non-Operating Revenue + after-tax Non-Recurring Expenses + after-tax Interest
	Retained Earnings	= Net Income − Dividends

Link to the Cash Flow

OPEX		SG&A + D&A
OCF		= Net Income + Non-Cash Expenses − ( Closing Working Capital - Opening Working Capital )
FCF		= OCF + ( Income from Fixed Assets sold - CAPEX )
NCF		= FCF - Dividends + Loan-in - Loan-out
Closing Cash Balance	(indirect from P&L)	= Opening Cash Balance + FCF − Dividends + Loan-in − Loan-out

See also

Business / Business Administration / Financial Management / Financial Accounting / Financial Statement

[ Balance sheet ] [ Changes in Equity ] [ Profit and Loss (P&L) ] [ Cash Flow ]

[ R&D record in P&L ]

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