Profit and Loss Template

How to use the Profit and Loss templates

Here are the steps to follow to effectively use your templates:

1. Download the Excel file
2. Use the monthly or annual worksheet, depending on what type of statement you want to produce
3. Replace all the blue cells that contain hardcoded numbers with your company’s information
4. Double check to ensure all the formulas in black cells working properly
5. Save as a new file and consider saving a version as PDF as well as XLS

The two types of templates included in the file are shown below.

#1 Monthly Profit and Loss template (P&L template)

The monthly P&L template is perfect for businesses that require regular reporting and detail.  By showing all of the information in a series of monthly columns, much more detail is visible than if only the annual figures were shown.

The monthly profit and loss template is perfect for small, medium and large businesses as it can easily be adjusted to add or eliminate detail as required.

Click on the image of the statement below to download the Excel file.

#2 Annual Profit and Loss template (P&L template)

For businesses that have been in operation for several years, it may be helpful to show an annual (full year or year to date) statement.  The annual profit and loss template below follows the same format and structure as the monthly version, however, it doesn’t have a total column at the end that sums up each of the periods.

This template is ideal for any size business and can easily be changed by adding or removing line items (rows) as necessary.

Click on the screenshot below of the annual P&L template to download a free copy of the Excel file.

Components of the template

While each income statement is unique to every company, there are many common line items that you will see over and over again.

The most common P&L line items include:

• Revenue streams (also called sales streams)
• Returns, Refunds, Discounts
• Total Net Revenue
• Cost of Goods Sold
• Gross Profit
• Advertising & Promotion
• Depreciation & Amortization
• Rent and Office
• Salaries, Benefits & Wages
• Telecommunication
• Travel
• Utilities
• Selling, General & Administrative (SG&A)
• Earnings Before Interest & Taxes (EBIT)
• Interest Expense
• Earnings Before Taxes (EBT)
• Income Taxes
• Net Earnings

How to modify the Profit and Loss template (P&L template)

All the templates included in the free Excel file can be easily edited and changed to suit your own business.

If you require more line items, simply insert additional rows in the section where you need to add revenues or expenses.  Then check to make sure the formulas adding up the totals capture those new rows.

If you need to remove line items from the templates, simply delete unnecessary rows and ensure all formulas are still working properly.

To learn more about the details of financial reporting, check out PWC’s free guide to financial statement presentation https://www.pwc.com/financial-statement-presentation.

Additional resources

Thank you for checking out CFI’s free templates for making your own annual and monthly P&L statements in Excel.  To keep learning and advancing your career as a certified financial analyst, these additional resources will be helpful:

• Analysis of financial statements
• What is financial modeling?
• Valuation methods
• DCF financial modeling guide