Income Statement Sheet
Updated 24.10.2023
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 |
Gift cards sales (liability) |
Revenue from sales of gift cards (liability) |
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 |
Formula |
Non-operating Revenue (GM3) |
Revenue that comes from non-core business activities |
User entered data |
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||
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 |
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||
EXPENSES |
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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 similar |
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 |
Costs to handle and process orders |
User entered data |
Shipping costs |
Costs to ship products to customers (connected to Ellis) |
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 specifically for promoting Ellis |
Automatic |
Marketing spend (other) |
Other marketing expenses not directly 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 |
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||
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 |
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||
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 |