How to Generate Profit and Loss Report

Overview:

The Profit and Loss (P&L) Report, also known as the Income Statement, is one of the most essential financial reports for any business. It summarizes revenues, costs, and expenses over a specific period—helping users assess operational efficiency, profitability, and performance trends. In QNE AI Cloud Accounting, generating this report is simple, fast, and customizable.

This guide walks you through the steps to generate a P&L report, tailor it to your needs, and use it effectively in business decisions.

Scenario:

You’re the finance officer of a growing SME that needs to review financial performance for Q1 of the current fiscal year. Your goal is to generate a Profit and Loss Report to present to stakeholders, showing how income compares to expenses, and where profit or loss stands for the period.

Procedure:

1. In the navigation pane, go to Reporting > Report Center.

2. Click on the General Ledger tab at the top of the Report Center.

3. Scroll down and click the expand icon (+) beside Statement of Comprehensive Income to view available formats.

4. Select one of the following Report Options/Format:

• Statement of Comprehensive Income – Standard profit and loss report.
• With Budget – Includes budget vs. actual comparison.
• Comparison – Compares two reporting periods.
• 12 Months – Displays a monthly breakdown over a year.

5. Customize the report using the available filters:

• Date Range (e.g., 01/01/2025 to 03/31/2025)
• The Show Level option lets you choose how detailed your financial report appears:
  • Level 1 – Main Categories 
    Shows only the highest-level account groups (e.g., Assets, Liabilities) and the first layer of account classes directly under them.
  • Level 2 – Subcategories 
    Expands the report to include individual accounts under each account class from Level 1.
  • Level 3– Full Detail 
    Displays all account levels, from top groups down to the third level or subsidiary ledgers, such as specific expense types, bank accounts, or customer accounts.
• In the Options section, choose to:
  • Include or exclude zero-balance accounts
  • Show or hide calculated ratios
  • Include or exclude inactive accounts
    

6. Preview or Inquire the Report

• Click Preview to view a printable version.
• Click Inquiry (if available) to view the system's internal report display.
  

7. Export or Print the Report. Use the available options to export the report (e.g., PDF, Excel) or print it directly for distribution.

Application:

Example:

An internal auditor requests a streamlined Profit and Loss Report excluding zero balances and inactive accounts.

To generate this:

• Select Statement of Comprehensive Income standard format.
• Set the Show Level to 3 for full ledger detail.
• In the Options section:
  • Uncheck Include Zero
  • Hide calculated ratios
• Click Preview for a clean, printable version.