Year 1

Item Jan Feb Mar April

Revenue
- Product Sales
- Service Revenue
Total Revenue 0 0 0 0
Cost of Goods Sold (COGS)
- Direct Material Costs
- Direct Labor Costs
- Other Direct Costs
Total COGS 0 0 0 0
Gross Profit 0 0 0 0
Operating Expenses
- Sales & Marketing Expense
- General & Admin Expense
- R&D Expense
Total Operating Expenses 0 0 0 0
EBIT (Operating Income) 0 0 0 0
Interest Expense
EBT (Earnings Before Tax) 0 0 0 0
Income Tax Expense
Net Income 0 0 0 0
May June July Aug Sept Oct Nov Dec

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
Year 2
Jan Feb Mar April May June July Aug

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
 Year 3
Sept Oct Nov Dec Jan Feb Mar April

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
May June July Aug Sept Oct Nov Dec

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
Year 4
Jan Feb Mar April May June July Aug

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
 Year 5
Sept Oct Nov Dec Jan Feb Mar April

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
May June July Aug Sept Oct Nov Dec

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0

0 0 0 0 0 0 0 0
 Year 1 Year 2
Item
Revenue
- Product Sales 0 0
- Service Revenue 0 0
Total Revenue 0 0
Cost of Goods Sold (COGS)
- Direct Material Costs 0 0
- Direct Labor Costs 0 0
- Other Direct Costs 0 0
Total COGS 0 0
Gross Profit 0 0
Operating Expenses
- Sales & Marketing Expense 0 0
- General & Admin Expense 0 0
- R&D Expense 0 0
Total Operating Expenses 0 0
EBIT (Operating Income) 0 0
Interest Expense 0 0
EBT (Earnings Before Tax) 0 0
Income Tax Expense 0 0
Net Income 0 0
Year 3 Year 4 Year 5

0 0 0
0 0 0
0 0 0

0 0 0
0 0 0
0 0 0
0 0 0
0 0 0

0 0 0
0 0 0
0 0 0
0 0 0
0 0 0
0 0 0
0 0 0
0 0 0
0 0 0
 Revenue:
Product Sales: Revenue generated from the sale of products.
Service Revenue: Revenue from offering services (if applicable).
Total Revenue: The sum of all revenue streams. This will be the top-line number.
Cost of Goods Sold (COGS):
Direct Material Costs: The cost of raw materials used to produce the product.
Direct Labor Costs: The cost of labor directly involved in producing the product or service.
Other Direct Costs: Any other costs directly related to producing the product (e.g., shipping, fac

Gross Profit: Calculated as Total Revenue - Total COGS. This shows how much profit the compa
Operating Expenses:
Sales & Marketing Expense: Costs related to marketing campaigns, salesforce compensation, a
General & Admin Expense: Overhead expenses, such as salaries, rent, utilities, and other corpo
R&D Expense: Research and development costs if applicable to the business (important for tech

EBIT (Earnings Before Interest and Taxes): This is the company’s operating income, calculat
Interest Expense: The interest cost incurred on any debt the company holds.
EBT (Earnings Before Tax): Calculated as EBIT - Interest Expense. This is the income before ta
Income Tax Expense: The estimated tax based on the applicable tax rate (calculated on EBT). It c
Net Income: This is the bottom line, calculated as EBT - Income Tax Expense. Net income repres

How to Use This Template:

 Update Each Year: For each year, input the respective values for revenue, costs, and expenses.
Forecasting: If you're projecting future performance, you can forecast the values based on trends,
Adjust Categories: You can customize the expense and revenue categories as per your business (

This Income Statement Template helps you structure the company's financial performance over a

If you need help filling it out or with specific assumptions, feel free to reach out!
e number.

product or service.
oduct (e.g., shipping, factory overhead).

w much profit the company makes after covering its direct production costs but before other operating expense

alesforce compensation, advertising, etc.

utilities, and other corporate expenses.
iness (important for tech and biotech companies).

erating income, calculated as Gross Profit - Total Operating Expenses. It reflects the company’s profitabil

s is the income before taxes are applied.

e (calculated on EBT). It can vary based on the country and applicable tax laws.
pense. Net income represents the company's total profit or loss after all expenses and taxes.
e, costs, and expenses.
values based on trends, market data, or your business plan.
es as per your business (e.g., if the company doesn’t have R&D or has additional revenue sources, adjust accor

ncial performance over a 5-year period and is useful for both historical analysis and financial projections.
other operating expenses.

the company’s profitability from its core operations.

nue sources, adjust accordingly).

financial projections.
 Year 1 Year 2
tem
Assets
Current Assets
- Cash and Cash Equivalents
- Accounts Receivable
- Inventory
- Prepaid Expenses
- Other Current Assets
Total Current Assets 0
Non-Current Assets
- Property, Plant, and Equipment
- Intangible Assets
- Investments
- Other Non-Current Assets
Total Non-Current Assets 0
Total Assets 0

Liabilities
Current Liabilities
- Accounts Payable
- Short-Term Debt
- Accrued Expenses
- Current Portion of Long-Term Debt
- Other Current Liabilities
Total Current Liabilities 0
Non-Current Liabilities
- Long-Term Debt
- Deferred Tax Liabilities
- Other Non-Current Liabilities
Total Non-Current Liabilities 0
Total Liabilities 0

Equity
- Common Stock
- Retained Earnings
- Additional Paid-in Capital
- Treasury Stock
- Other Equity
Total Equity 0
Total Liabilities and Equity 0
Year 3 Year 4 Year 5

Current Assets: T
Cash and Cash
Accounts Rece
Inventory: Good
Prepaid Expens
Other Current

Non-Current Ass
Property, Plant
Intangible Asse
Investments: L
Other Non-Curr

Total Assets: This

Liabilities:
Current Liabilitie
Accounts Paya
Short-Term De
Accrued Expen
Current Portion
Other Current

Non-Current Lia
Long-Term Deb
Deferred Tax L
Other Non-Curr

Total Liabilities:

Equity:
Common Stock: T
 Retained Earning
Additional Paid-i
Treasury Stock: T
Other Equity: Oth
Total Equity: The
Current Assets: These are assets expected to be converted into cash or used up within one year (or the oper
Cash and Cash Equivalents: Money available for operations (cash in hand, bank accounts, etc.).
Accounts Receivable: Money owed by customers for goods or services delivered.
Inventory: Goods that are held for sale or used in production.
Prepaid Expenses: Payments made in advance for services to be received in the future (e.g., insurance, re
Other Current Assets: Any other short-term assets that can be converted to cash within a year.

Non-Current Assets: These are long-term investments that are not expected to be liquidated within a year.
Property, Plant, and Equipment (PP&E): Long-term physical assets like buildings, machinery, etc.
Intangible Assets: Non-physical assets like patents, trademarks, or goodwill.
Investments: Long-term investments (stocks, bonds, etc.).
Other Non-Current Assets: Any other long-term assets (e.g., long-term receivables).

Total Assets: This is the sum of current and non-current assets. It represents everything the company owns o

iabilities:
Current Liabilities: These are debts or obligations that must be settled within one year.
Accounts Payable: Amounts owed to suppliers for goods or services received.
Short-Term Debt: Loans or financial obligations due within the next year.
Accrued Expenses: Expenses that have been incurred but not yet paid (e.g., wages, taxes).
Current Portion of Long-Term Debt: Portion of long-term debt that must be repaid within the next year.
Other Current Liabilities: Any other short-term obligations.

Non-Current Liabilities: These are obligations not due within one year.
Long-Term Debt: Loans and financial obligations due after one year.
Deferred Tax Liabilities: Taxes that are owed but not due in the current period, typically due to timing diff
Other Non-Current Liabilities: Other long-term obligations (e.g., pension obligations).

Total Liabilities: The sum of both current and non-current liabilities.

Common Stock: The value of the shares issued by the company.

Retained Earnings: Cumulative profits (or losses) of the company that have been reinvested into the busines
Additional Paid-in Capital: Money raised from shareholders in excess of the nominal value of the stock.
Treasury Stock: The company’s own shares that it has repurchased.
Other Equity: Other items affecting equity, such as revaluation reserves, accumulated other comprehensive i
otal Equity: The total ownership value of the company, calculated as Total Assets - Total Li
hin one year (or the operating cycle, whichever is longer).
accounts, etc.).

uture (e.g., insurance, rent).

within a year.

iquidated within a year.

gs, machinery, etc.

hing the company owns or controls.

s, taxes).
aid within the next year.

ypically due to timing differences.

invested into the business.
al value of the stock.

ed other comprehensive income, etc.

otal Assets - Total Liabilities.
 Item Year 1
Operating Activities
Net Income
Adjustments for Non-Cash Items:
- Depreciation and Amortization
- Change in Working Capital
- Other Adjustments (e.g., stock-based compensation,
gains/losses)
Net Cash from Operating Activities
Investing Activities
- Capital Expenditures (CapEx)
- Purchase of Investments
- Sale of Investments
- Other Investing Cash Flows
Net Cash from Investing Activities
Financing Activities
- Proceeds from Issuing Debt
- Repayment of Debt
- Issuance of Stock
- Dividends Paid
Net Cash from Financing Activities
Net Change in Cash
Cash at Beginning of Period
Cash at End of Period
Year 2 Year 3 Year 4 Year 5
 Net Income: This is the starting point (bottom-line profit).
Adjustments for Non-Cash Items:
Depreciation and Amortization: Non-cash expenses that are added back to net inco
Change in Working Capital: Changes in current assets and liabilities (like accounts r
Other Adjustments: This includes adjustments for stock-based compensation, gains o
Net Cash from Operating Activities: This is the cash flow from operations after adjust
Investing Activities:
Capital Expenditures (CapEx): Cash used to purchase property, plant, equipment, or o
Purchase of Investments: Money spent on acquiring other investments.
Sale of Investments: Cash received from selling investments.
Other Investing Cash Flows: Any other cash flows related to investments, such as loan
Net Cash from Investing Activities: The net result of all investing activities (either an
Financing Activities:
Proceeds from Issuing Debt: Cash raised by issuing loans or bonds.
Repayment of Debt: Cash used to pay off debt.
Issuance of Stock: Cash raised by issuing new shares of stock.
Dividends Paid: Cash paid to shareholders as dividends.
Net Cash from Financing Activities: The net result of all financing activities (either an
Net Change in Cash:
Cash at Beginning of Period:
Cash at End of Period:
 e added back to net income.
liabilities (like accounts receivable, inventory, accounts payable, etc.), reflecting how much cash is tied up in th
ed compensation, gains or losses from asset sales, and other non-cash items.
m operations after adjustments.

ty, plant, equipment, or other long-term assets.

vestments.

nvestments, such as loans made to other companies or proceeds from the sale of assets.
sting activities (either an inflow or outflow of cash).

ncing activities (either an inflow or outflow of cash).

much cash is tied up in the business.