The TrueProfit P&L Report is a store-level report that breaks your store's profit down line by line, from Gross Sales at the top to Net Profit at the bottom, so you can see exactly where money comes in and where it goes. Use it to check whether your store is truly profitable, spot which costs are eating your margin, and decide where to cut or scale.
1. Revenue Section
Gross Sales
Gross Sales is the total sales value before subtracting any deductions:
Refunds
Discounts
Returns
Chargebacks
Transaction fees
Taxes (depending on the report or metric)
Source from: Shopify Orders
Helps you:
See your total sales before any deductions
Use it as a baseline to evaluate revenue and profit
Discounts
Discounts are the total amount reduced from your orders through discount codes or promotions.
Source from: Shopify Orders
Helps you:
See how much revenue is reduced by discounts
See how discounts affect your profit
Returns
Returns are the total value of orders or products that customers return and get refunded.
Source from: Shopify Analytics
Shopify Sales finance report
Helps you:
See how much revenue is lost from returns
Understand how returns affect your profit
Identify issues with products or customer expectations
Taxes Collected
Taxes Collected are the taxes you charge customers at checkout.
Source from: Shopify Analytics
Helps you:
See how much tax you collect from customers
Separate taxes from your actual revenue
Understand how taxes affect your reported revenue
Shipping Charged
Shipping Charged is the fee you charge customers for delivery. This is income, not a cost.
Source from: Shopify Analytics.
Helps you:
See how much customers pay for shipping
Compare what you charge with your actual shipping costs
Decide if you should adjust your shipping fees or offer free shipping
Revenue
Revenue is the total amount you earn from orders. It includes taxes and shipping fees that you charge your customers, and excludes discounts and returns.
It is equivalent to Total sales in Shopify.
Revenue = Gross Sales – Discounts – Returns + Taxes Collected + Shipping Charged
Source from: Shopify Orders
Helps you:
See how much customers pay for your products
Track your store's total sales performance
2. Cost of Goods Sold Section
COGS
Cost of Goods Sold (COGS) is the direct cost to produce or acquire the products you sell. See how to set up COGS in the app
COGS = (Cost per unit × Units sold) − Cost of returned units
Cancelled orders that were never fulfilled are excluded
For bundle products, the bundle cost setup applies
Source from: Manual input, Shopify, or connected integrations
Helps you:
See how much your products cost you
Calculate your gross profit accurately
Understand if your product pricing is profitable
Shipping Costs
Shipping Costs are the costs you pay to deliver orders to customers. See how to set up shipping costs in the app
Source from: Synced from connected integrations or based on your shipping cost settings
Helps you:
See how much you spend on shipping orders
Include shipping costs in your profit calculations
Understand how shipping affects your profit
Transaction Fees
Transaction Fees are the fees charged by payment providers (such as PayPal or Stripe) and Shopify fees for third-party payments for each order. Learn more
Transaction Fees = Payment Gateway Fee + Shopify Fee for 3rd-Party Payments
Source from: Shopify Payments, connected integrations, or manual configuration
Helps you:
See how much you pay in transaction fees
Include payment fees in your profit calculations
Understand how payment methods affect your profit
Handling Fees
Handling Fees are the costs to prepare orders for shipping, including boxing and packaging.
Source from: Manually added by you through:
+ Custom cost (variable cost per order)
+ Shipping cost (extra weight per unit)
+ COGS (extra unit price)
Helps you:
See how much you spend on processing and packing orders
Include handling costs in your profit calculations
Know the real cost of each order
3. Advertising Costs and Custom Costs Section
Total Ad Spend
Total Ad Spend is the total amount you spent on advertising across all channels.
Source from: Synced from all connected ad platforms
Facebook ads
Google ads
Tiktok ads
......
Helps you:
See how much you spend on advertising
Include ad costs in your profit calculations
Understand how ads impact your profit
Custom Cost
Custom Costs are additional expenses that are not automatically tracked. Examples include software fees, influencer payments, rent, staff salaries, or agency fees. Set up Custom Costs
Source from: Based on your Custom Costs setup
Helps you:
Include all your costs in profit calculations
Track expenses that are not automatically synced
See your true profit
Taxes Paid
Taxes Paid are the taxes your business pays to the government.
Source from: Manually added in Custom Costs (Tax Paid category)
Helps you:
See how much tax you pay
Include taxes in your profit calculations
Understand your profit after tax
4. Total Costs and Profit Section
Total Costs
Total Costs are the sum of all expenses
Total Cost = Cost of Goods Sold + Handling Fees + Shipping Cost + Ad Spend + Transaction Fees + Custom Costs (Taxes Paid are included in Custom Costs)
Helps you:
See where your money goes
See which costs impact your profit the most
Tips
Tips are optional amounts that customers add to their orders at checkout.
Source from: Shopify Orders
Helps you:
See how much extra income you receive from tips
Understand customer satisfaction and support
Include tips in your total revenue
Gift Card Sales
Gift Card Sales are the total value of gift cards you sell to customers.
Source from: Shopify Orders
Helps you:
See how much revenue comes from gift cards
Understand how gift cards contribute to your cash flow
Track gift card sales separately from product sales
Note: Gift card sales are not product revenue yet. Revenue is recognized when customers use the gift card.
Gross Profit
Gross Profit is the profit you make after subtracting product costs and direct order costs from your sales.
Gross Profit = Revenue + Tips + Gift Card Sales - COGS - Shipping Costs - Transaction Fees - Handling Fees
Helps you:
See how much profit you keep from each order after product and order costs
See if your pricing covers your direct costs. If Gross Profit is negative, the order costs more than what you earned
Net Profit
Net Profit is the profit you keep after deducting all costs.
Net Profit = Revenue + Tips + Gift Card Sales − Total Costs (if Taxes Collected is excluded)
Net Profit = Revenue + Tips + Gift Card Sales − Taxes Collected − Total Costs (if Taxes Collected is included)
Whether Taxes Collected is included depends on your Calculation Preferences.
Source from: Calculated from Shopify Orders + all connected cost sources
Helps you:
See if your store is profitable after all costs
Net Profit Margin
Net Profit Margin is the percentage of your revenue that remains as profit after all costs.
For example, a 20% margin means you keep $20 profit for every $100 in revenue.
Net Profit Margin = [ Net Profit / Revenue ] * 100
Helps you:
Understand how much money you actually keep after all costs.
Use this to decide if your business model is sustainable.
High: You keep a good amount of profit → Safer to scale your business
Low: Most of your revenue is eaten by costs → Hard to grow profitably
Frequently asked questions
Why are the numbers in my P&L Report different from my Orders Report?
The two reports don't count the same orders. Your P&L Report leaves out cancelled and refunded orders, while your Orders Report includes them, so the Orders Report shows a higher order count, and because other metrics build on that order set, those numbers differ, too. Both are correct; they just answer different questions.
2. What does gross profit mean in TrueProfit's P&L report?
Gross Profit is what's left from your revenue (plus tips and gift card sales) after subtracting your product and direct order costs: COGS, shipping costs, transaction fees, and handling fees. It shows how profitable your sales are before advertising and overhead.
Gross Profit = Revenue + Tips + Gift Card Sales − COGS − Shipping Costs − Transaction Fees − Handling Fees
3. How is gross profit different from net profit?
Gross Profit subtracts only product and direct order costs (COGS, shipping, transaction fees, handling). Net Profit goes further. It also subtracts Ad Spend, Custom Costs, the taxes you collect, so it reflects everything you actually keep.
Net Profit = Gross Profit − Ad Spend − Custom Costs − Taxes Collected
4. Why is my Net Profit lower than my Shopify sales?
Because sales aren't profit. TrueProfit subtracts the real costs Shopify's sales figure doesn't include: COGS, shipping, ad spend, transaction fees, and custom costs. See Understanding your TrueProfit numbers vs Shopify.