PROFIT AND LOSS ACCOUNT

The profit and loss (P&L) statement is a financial statement that summarizes the revenues, costs
and expenses incurred during a specific period, usually a fiscal quarter or year. The P&L statement
is synonymous with the income statement.

These records provide information about a company’s ability or inability to generate profit by
increasing revenues, reducing costs or both. Some refer to the P&L statement as a statement of
profit and loss, income statement, statement of operations, statement of financial results or income,
earnings statements or expense statements.

For non-profit organizations, revenues and expenses are generally tracked in a financial report
called the statements of activities. P&L management refers to how a company handles its P&L
statement through revenues and cost management.

INTERPRETATIONS OF THREE COMPANY’S PROFIT AND

LOSS STATEMENT:

OIL INDIA LTD

Net Revenue/ Net sales are the sales made by the company in a given accounting period
after accounting for returns/ warranty replacements, etc. For the year 2020, the Net Sales of
the company was Rs.9947.57. This includes revenue from main business lines. The
company has its other income of Rs.11483.69 which includes incomes from ancillary
activities of the company. In this year the company has total expenses of Rs.5360.23. The
company has P/L before exceptional extraordinary items and Tax is Rs. 1693.89. The Profit
before Tax of the company was Rs.5283.23 which indicates that the company is profitable
as a whole. For the year 2019, the Net Sales of the company was Rs.9863.23. The total
expenses of the company was Rs.5197.37. For the year 2018, the Net Sales of the company
was Rs.11623.38. The total expenses of the company was Rs.7459.28. For the year 2017,
the Net Sales of the company was Rs.9486.75. The total expenses of the company was
Rs.6162.28. For the year 2016, the Net Sales of the company was Rs.7292.19. The total
expenses of the company was Rs.4508.51. Interest expense incurred on bank loans, credit
facilities, etc. Profit Before Tax (PBT) helps investors to analyze whether company is
profitable as a whole. For each year the interpretation has changes from the year 2016-
2020. But we can state that the year 2020 has the highest profit year than other years. The
equity share capital for the year 2020 is also greater than the other years which indicates
that the share price of the company changes in every year.
GUJARAT MINERAL DEVELOPMENT CORPORATION LTD :
Net Revenue/ Net sales are the sales made by the company in a given accounting period
after accounting for returns/ warranty replacements, etc. For the year 2020, the Net Sales of
the company was Rs.5029.28. This includes revenue from main business lines. The
company has its other income of Rs.5020.67 which includes incomes from ancillary
activities of the company. In this year the company has total expenses of Rs.70.48. The
company has P/L before exceptional extraordinary items and Tax is Rs. 580.90. The Profit
before Tax of the company was
Rs.1782.49 which indicates that the company is profitable as a whole. For the year 2019,
the Net Sales of the company was Rs.3816.67. The total expenses of the company was
Rs.44.38. For the year 2018, the Net Sales of the company was Rs.3125.56. The total
expenses of the company was Rs.45.16. For the year 2017, the Net Sales of the company
was Rs.3040.39. The total expenses of the company was Rs.63.31. For the year 2016, the
Net Sales of the company was Rs.2832.08. The total expenses of the company was
Rs.39.24. Interest expense incurred on bank loans, credit facilities, etc. Profit Before Tax
(PBT) helps investors to analyze whether company is profitable as a whole. For each year
the interpretation has changes from the year 2016-2020. But we can state that the year 2020
has the highest profit year than other years. The equity share capital for the year 2020 is
also greater than the other years which indicates that the share price of the company
changes in every year.

GUJARAT NARMADA VALLEY FERTILIZERS & CHEMICALS

LTD:
Net Revenue/ Net sales are the sales made by the company in a given accounting period after
accounting for returns/ warranty replacements, etc. For the year 2020, the Net Sales of the
company was Rs.3378.22. This includes revenue from main business lines. The company has
its other income of Rs.3527.88 which includes incomes from ancillary activities of the
company. In this year the company has total expenses of Rs.160.87. The company has P/L
before exceptional extraordinary items and Tax is Rs. 452.28. The Profit before Tax of the
company was
Rs.1312.81 which indicates that the company is profitable as a whole. For the year 2019, the
Net Sales of the company was Rs.2651.70. The total expenses of the company was Rs.85.21.
For the year 2018, the Net Sales of the company was Rs.2071.31. The total expenses of the
company was Rs.57.69. For the year 2017, the Net Sales of the company was Rs.2199.81. The
total expenses of the company was Rs.59.53. For the year 2016, the Net Sales of the company
was Rs.1984.89. The total expenses of the company was Rs.51.94. Interest expense incurred on
bank loans, credit facilities, etc. Profit Before Tax (PBT) helps investors to analyze whether
company is profitable as a whole. For each year the interpretation has changes from the year
2016-2020. But we can state that the year 2020 has the highest profit year than other years. The
equity share capital for the year 2020 is also greater than the other years which indicates that
the share price of the company changes in every year.

FINDINGS OF THE COMPANY’S PROFIT AND LOSS ACCOUNT: