{"id":5793,"date":"2024-01-11T14:00:00","date_gmt":"2024-01-11T19:00:00","guid":{"rendered":"https:\/\/theforage.wpengine.com\/?p=5793"},"modified":"2024-07-23T12:54:13","modified_gmt":"2024-07-23T16:54:13","slug":"profit-and-loss-statement","status":"publish","type":"post","link":"https:\/\/theforage.wpengine.com\/skills\/profit-and-loss-statement","title":{"rendered":"What Is a Profit and Loss (P&L) Statement?"},"content":{"rendered":"\n

A P&L statement, also known as a profit and loss statement or income statement, is a financial document that explains a company’s financial health for a given accounting<\/a> period. Finance<\/a> professionals often use P&L statements in investment banking<\/a>, corporate finance, accounting, and small business decisions. <\/p>\n\n\n\n

P&L Meaning <\/h2>\n\n\n\n

P&L stands for profit and loss \u2014 a P&L statement details a company’s financial position for a given accounting period, such as a quarter, month, or year. Put simply, this statement shows the company’s profits and losses for the period. <\/p>\n\n\n\n

Sometimes, finance professionals call P&L statements income statements since the term profit<\/em> is interchangeable with net income<\/em>. Other names you might hear for a profit and loss statement include: <\/p>\n\n\n\n