Profit & Loss Statement

What is Profit & Loss Statement?

Profit & Loss Statement (P&L), also called Income Statement, summarizes revenues, costs, and expenses during a specific period to determine net profit or loss. It shows business performance over time through key metrics like gross profit, operating profit, and net profit. P&L helps stakeholders evaluate profitability, cost management, and operational efficiency. In Tally, P&L is automatically compiled from revenue and expense ledgers.