What is Profit and Loss Statement (P&L) in Retail? Explained

report that summarizes a company's revenues, costs, and expenses over a specific period, usually a fiscal quarter or year. The statement provides a comprehensive view of a business's financial performance, indicating whether it has generated a profit or incurred a loss during the specified timeframe. The P&L statement typically includes revenue or sales, cost of goods sold (COGS), gross profit, operating expenses, net income, and other relevant financial metrics. It serves as a vital tool for stakeholders, including investors, analysts, and business owners, to assess a company's profitability and make informed decisions about its financial health and future strategies.