Is your business profitable?
A simple enough question to answer, right? If revenue exceeds expenses, your business is profitable.
The truth is, it’s not quite that simple.
To fully understand the health of your company, you need to look beyond the basic dollar profit amount. You need to know why your business is profitable, whether your profitability is sustainable, and what your profit is likely to be in the near future.
In other words, you need a full profitability analysis which includes:
Without this information, it can feel like you’re flying blind.
Accounting software like Xero is great because it automates much of the record-keeping.
But, accounting software is only the first step. You still need to do further profitability analysis to get the full picture. For example, your P&L statement in Xero shows your monthly gross profit and net profit, but not your margins.
Out come the spreadsheets, the formulas, the pivot tables, the presentation decks. Hours and hours are spent calculating, checking and double-checking the figures, leaving precious little time for what you actually enjoy about having a business.
The fact is, as a business owner or manager, you’re probably not trained in accounting. Few business people are. That’s why we built the giniPredict Financial Dashboard — to get you the right information in the right format in just a few clicks.
Here, we’ll walk you through the key profitability metrics you need to track and what they mean, and we’ll show you how the giniPredict Financial Dashboard makes profitability analysis so much easier.
Designed for business people who aren’t accountants, the giniPredict Financial Dashboard syncs with Xero and visualises your key profitability metrics in a way that’s easy for everyone to understand.
We get your data from Xero to a live Google Data Studio dashboard in minutes, with charts showing your most up-to-date profit dollar amounts and margins, and how they’re changing over time.
Armed with this profitability analysis, you’ll have a much better understanding of the health of your company, and more control over its performance.
Here’s an explanation of the key profitability metrics to keep track of, all provided in a few clicks with the giniPredict Financial Dashboard:
What it tells you: How profitable your products and services are, and ultimately how sustainable your business model is.
How it’s calculated:
What to look for: Track your gross profit margin over time to ensure it is stable. A volatile gross profit margin is a red flag that your costs are changing, perhaps impacted by market changes.
What it tells you: How efficient your business is, and your ability to turn sales into pre-tax profits.
How it’s calculated:
What to look for: An increasing operating profit margin is a good sign of a healthy company. A stable or decreasing operating profit margin is a red flag that your expenses are creeping up.
What it tells you: The big picture view of your overall profitability.
How it’s calculated:
What to look for: You can benchmark your net profit margin against industry standards to see how your company is performing relative to other players.
This chart shows your income, expenses and net profit month by month, so it’s easy to see which direction your metrics are trending towards, and take any corrective action needed before it’s too late.
In addition to all the above, the giniPredict Financial Dashboard gives you:
And here’s few more reasons why business owners love the giniPredict Financial Dashboard:
✓You always have the latest information at hand.
The data syncs automatically every 12 hours, and can be refreshed in a click.
✓It’s easy to keep all teams and stakeholders informed at every turn.
As a Google Data Studio dashboard, you can share access, send it as a scheduled email, or embed it in presentation decks in a few clicks.
✓It doesn’t require any specialist skills or training to use.
All the profitability analysis and AI predictive analysis is done for you. No coding or programming needed.
The giniPredict Financial Dashboard is free to use. No credit card required.
All you need is a Google account, a Xero account and an internet connection.
To get started, simply log into Google > open our dashboard template > follow the instructions to authorise Xero and Google Data Studio > and voila! AI-powered insights for your data will be populated in a new dashboard before your very eyes.
No more guessing.
It’s time to get full clarity on the financial health of your business with giniPredict.
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