PNL stands for Profit and Loss, which is a financial statement that summarizes the revenues, costs, and expenses a specific period of time, such as a month or a year. The PNL statement is also known as an income statement or a statement of profit and loss.

The PNL statement is a key financial document used by businesses, investors, and analysts to evaluate the financial performance of a company or investment. It provides a summary of the company’s revenues and expenses, which can be used to determine the net profit or loss for the period.

The PNL statement typically includes the following components:

Revenues: This includes all the income generated by the company, such as sales, interest, and dividends.

Costs and expenses: This includes all the costs incurred by the company, such as the cost of goods sold, operating expenses, and taxes.

Net profit or loss: This is the difference between the revenues and the costs and expenses. If the revenues exceed the costs and expenses, the company has a net profit. If the costs and expenses exceed the revenues, the company has a net loss.

The PNL statement is an important tool for evaluating the financial health and performance of a company or investment. It can be used to identify trends, assess the effectiveness of business strategies, and make informed investment decisions.