Financial statements: Profit & Loss, Balance Sheet, Cash Flow and more
The financial statements are the reports you'll open most. This article explains what each one shows and what its key numbers mean. Open any of them from Reports in the left sidebar.
Profit & Loss
Income, expenses and net profit for any period. The key numbers are Revenue, Expenses, Net profit and Profit margin.
The statement runs from Income, through Cost of services to Gross profit, then Operating expenses to Net profit. An "Uncategorized" line with a Needs review tag holds transactions that still need a category. Profit & Loss has the most options of any report. See Read and adjust a report (in the article "Read, adjust, save and export a report").
Balance Sheet
What you own, what you owe and your equity on a date. The key numbers are Total assets, Total liabilities, Equity and Current ratio, which is your current assets divided by your short-term debts.
- Date. Today, or the end of last month, quarter or year.
- Compare. Adds the earlier date and a Change column.
- Key numbers.
- Hint. Select any line or amount to see the transactions behind it.
The sheet lists Current assets, Fixed assets, Liabilities and Equity, and ends with Total liabilities and equity, which always equals Total assets.
Statement of Cash Flow
Where cash came from and where it went. The key numbers are Cash from operations, Net change in cash and Ending cash.
Choose the method at the top right:
- Indirect starts from net profit and adjusts it to cash.
- Direct lists the actual cash you received and paid, and reconciles to net profit at the bottom.
Both methods group activity into Operating, Investing and Financing, and both end at the same cash balance.
Expense Categories
Spending by category, largest first. The key numbers are Total expenses, Biggest category and Daily average.
Click a category to see its transactions.
Revenue by Client
Who you earn the most from. The key numbers are Total revenue, Top client and Clients billed. Each client shows the number of invoices, the amount and their share of your revenue.
Profit & Loss by Class
Profit for each class, with an Unclassified column for anything without one. This report lives with your classes, so opening it takes you to the Profit & loss by class tab under Accounting. See Profit & loss by class in the Accounting guide.
Year-End Summary
Your year by quarter, with margins. Choose this year to date or last year.
Common questions
Why doesn't my Profit & Loss match my bank balance?
They measure different things. Profit & Loss counts income and expenses. Your bank balance also moves for things that aren't either, such as loan repayments, owner draws, transfers and equipment purchases. The Statement of Cash Flow explains the gap between the two.
Where is Profit & Loss by Class?
Under Accounting, then Classes, on the Profit & loss by class tab. Choosing it on the Reports page takes you there.
Updated on: 07/10/2026
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