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Profitability

The Profitability Dashboard provides a comprehensive analysis of revenue, profit margins, and financial performance over time. It helps finance teams and business leaders track key profitability metrics, compare actual vs. budgeted performance, and analyze product-level profitability to drive strategic decisions.

Key Performance Indicators (KPIs)​

  • Revenue: The total income generated from sales of goods and services before deducting expenses. It reflects overall business performance and market demand.
  • EBIT (Earnings Before Interest & Taxes): A measure of operational profitability that excludes interest and tax expenses, providing insight into core business earnings.
  • Net Income: The total profit or loss after all expenses, taxes, and costs have been deducted from revenue. A negative net income signals financial challenges, while a positive value indicates profitability.
  • Gross Margin: The percentage of revenue remaining after subtracting the cost of goods sold (COGS). A higher gross margin indicates greater efficiency in managing production and operational costs.
  • Return on Equity (ROE): A measure of financial performance indicating how much profit a company generates with the shareholders’ invested capital. A higher ROE suggests better returns for investors.
  • Return on Assets (ROA): Evaluates how efficiently a company uses its assets to generate profit. It is calculated as Net Income / Total Assets. A higher ROA indicates better asset utilization.
  • Gross Margin Progression: Tracks the monthly changes in gross margin, helping to identify trends and fluctuations in profitability.
  • Budget vs. Actual Analysis: Compares planned budgets with actual financial performance, highlighting variances to improve forecasting and financial planning.
  • Net Income Progression: Displays the trends in net income and expenses over time, providing insights into financial stability and growth.
  • Profitability by Product: Analyzes the profit contribution of different products, helping to identify high-margin and underperforming products for better business decisions.

Benefits of this Dashboard​

  • Enhanced Financial Performance Tracking: Provides a clear view of revenue, profit margins, and net income, allowing better assessment of business health.
  • Improved Cost Management: Helps identify inefficiencies in operational costs and cost of goods sold, leading to optimized resource allocation.
  • Data-Driven Decision Making: Supports strategic planning by offering insights into revenue trends, budget variances, and product profitability.
  • Optimized Product Profitability: Highlights the most and least profitable products, enabling pricing adjustments and better product mix strategies.
  • Better Budgeting & Forecasting: Analyzes budget deviations to refine financial planning and improve future business projections.

Filtering​

You can filter the dashboards using these filtering panels:

  • Fiscal year
  • Fiscal Period
  • Company