Income Statement Sheet

Updated 31.1.2024

Ellis income statement, or a profit and loss statement (P&L), provides a summary of the revenues, expenses, and profits or losses of an eCommerce business. It is one of the primary financial statements used to report financial performance over a specific accounting period.

In Ellis, income statements are

summarised on a monthly basis per connected ecommerce store.
generated by combining data from Shopify, connected marketing channels, batch imported data such as shipment costs, and manually entered data such as other expenses.
updated once in a day based on created sales and expenses.
calculated with tax-free values.

Profitability trends and visualisations are available under Inventory & Profitability menu in Profitability dashboard.

See more details about setting shipment costs and country specific default shipment costs from Settings.

Income Statement Field Explanations

REVENUES	DESCRIPTION	SOURCE
Point of Sales sales	Sales made through a Shopify PoS.	Automatic
Online sales	Sales made through online channels.	Automatic
Expired Gift Card Balance	Expired gift card balance allocated on the gift card creation month.	Automatic
Returns	Amount of money returned due to product returns	Automatic
Other revenues	Any other additional sources of revenue outside Ellis connected sales channels.	User entered data
Total Revenues	Sum of all the revenues minus returns.	Formula
Non-operating Revenue (GM3)	Revenue that comes from non-core business activities	User entered data

COSTS & GROSS PROFITS	DESCRIPTION	SOURCE
Cost of goods sold	Cost to produce goods that were sold. If product costs are not set, default product margin % is used to set a cost.	Automatic
Cost of goods sold (other revenues)	Cost related to 'Other revenues'	User entered data
Product Gross Profits (GM1)	Gross profit from products. Total Revenues - Cost of goods sold	Formula
Product Gross Margin (GM1) %	Gross margin percentage for products. Product Gross Profits / Total Revenues x 100	Formula

EXPENSES
FIXED COSTS	DESCRIPTION	SOURCE
Rent	Cost of leasing the business space	User entered data
Insurance	Premiums paid for insurance coverage	User entered data
Fees (banking, licences, etc.)	Costs related to banking, licences and other similar expenses.	User entered data
Other fixed costs	Any other fixed business expenses	User entered data
Total Fixed Costs	Sum of all fixed expenses	Formula
VARIABLE COSTS	DESCRIPTION	SOURCE
Payroll	Salaries, wages, and other compensation	User entered data
Handling costs	Order handling and processing costs by using the shipping cost import data or the default handling cost value.	Automatic
Shipping costs	Cost of delivering the orders by using the shipping cost import data or the default shipping cost values.	Automatic
Payment costs	Costs related to processing payments.	User entered data
Utilities	Costs of utilities such as electricity, water, etc.	User entered data
Equipment and supplies	Costs of tools, equipment, and supplies used in the business	User entered data
Marketing spend (connected to Ellis)	Marketing costs from sources connected to Ellis.	Automatic
Marketing spend (other)	Other marketing expenses from channels not connected to Ellis.	User entered data
Other expenses	Any other variable expenses.	User entered data
Total Variable Costs	Sum of all variable expenses	Formula
Total Expenses	Sum of both fixed and variable expenses. Total Fixed Costs + Total Variable Costs	Formula

OPERATING GROSS MARGIN	DESCRIPTION	SOURCE
Operating Gross Profits (GM2)	Profits before interest, taxes, and other similar deductions. Total Revenues - Total Expenses	Formula
Operating Gross Margin (GM2) %	Percentage of operating gross margin. Operating Gross Profits / Total Revenues x 100	Formula

NET PROFIT MARGINS	DESCRIPTION	SOURCE
EBITDA	Profits before interest, taxes, depreciation, and amortization. Operating Gross Profits + Non-operating Revenue	Formula
Interest	Cost of borrowed capital or loan interest	User entered data
Taxes	Taxes owed to the government	Automatic
Net Profit / Losses	Final profit or loss after all deductions. EBITDA - (Interest + Taxes)	Formula
Net Profit Margins (GM3) %	Percentage of net profit margins. (Net Profit / Total Revenues) x 100	Formula