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How profit is calculated

Close orders on the POS, and Poster will automatically calculate profit for each receipt.

☝️ To see accurate profit data, make sure accounts are linked to the location in Access → Locations.

To move cash to the Safe account after cash collection and send cashless revenue to the Bank account, use cash shifts.

Profit calculation formula

The Profit indicator in the Reports section is calculated as the difference between revenue and product cost:

 

Profit = revenue – cost of goods sold – taxes – discounts – bonuses – gift cards

For example, you close a receipt on the POS with a discount applied. Poster calculates profit in Reports → Receipts.

Revenue and profit

Profit directly depends on venue revenue. Let’s look at the difference between these metrics.

Gross revenue is the total sales amount before discounts, bonuses, product cost, and other deductions.

Revenue is the total sales amount.

💡 To view turnover for main and additional cash and cashless payments, gross revenue, taxes, food cost, and gross profit, open Reports → Receipts in the management console and click More details ▼ at the bottom of the table.

Revenue in receipts should always be higher than profit because the cost of sold products and dishes is deducted from revenue.

💡 To check the venue’s net profit, including all transactions, open Finances → P&L and review the Profit after tax field.

Revenue and profit can be equal if the cost of goods sold has not been calculated for the items in the receipt.

☝️ Profit from a receipt can be negative if:

  • the cost of sold items is higher than the amount paid by the customer;
  • the receipt was paid fully with bonuses or had a 100% discount;
  • a promotion was applied to the receipt.

For example, if you close a receipt without payment, the revenue for that sale equals $0.

To review the calculation, find the receipt in Reports → Receipts and open the receipt details to check the order total and write-offs.

How to keep profit data accurate

  • Add ingredient and product supplies to stock on time. If ingredients are missing from stock balances, profit calculations for sold dishes will be incorrect.
  • Make sure purchase prices are entered correctly in supplies.

💡 If you made a mistake while adding a supply, edit it in the management console during an open inventory period. The cost of ingredients in closed receipts updates automatically.

  • If your account has multiple storage locations, configure stock deductions correctly.
  • Fill out dishes completely. If ingredients are missing, profit data will be inaccurate.
  • Review expenses and income by transaction category in financial reports.

How to increase profit

One of the simplest ways to improve profitability is increasing the average receipt amount.

The average receipt is the amount a guest spends per visit. It is one of the two main drivers of profit, along with the number of visitors.

For example, if you have 100 guests per day with an average receipt of $30, your daily revenue is $3,000.

If you increase the average receipt to $35, revenue grows to $3,500 without attracting new customers. Over a month, this adds up to an extra $15,000.

Average receipt analysis helps you understand:

  • whether the menu works effectively,
  • how well the staff performs,
  • which promotions actually increase revenue.

Average receipt = total revenue / number of fully paid receipts

Only fully paid receipts are included in the calculation. Open receipts and receipts with a 100% discount are excluded.

How to increase the average receipt

  • Train employees. Instead of asking “Anything else?”, waiters can make specific recommendations such as: “Our signature sauce pairs perfectly with this steak.”, “Would you like to try our new craft beer? It complements this dish really well.” Specific and relevant suggestions work better than general questions.

  • Create combos and sets. Business lunches, breakfasts, and group meal sets are perceived as good value, so guests order them more willingly. Evening combo offers can consistently increase receipt totals during peak hours.

  • Optimize the menu. Highlight the most profitable dishes with design elements, appetizing descriptions, and photos. A well-designed menu acts as a silent salesperson.

  • Launch a loyalty program. Bonuses, discounts starting from a certain order amount, and promotions encourage guests to spend more.

  • Add impulse purchases. Place small add-on items near the POS: chewing gum, candy bars, branded souvenirs. These items have a low cost but noticeably increase receipt totals.

Control open receipts

Open receipts may seem insignificant, but they can distort statistics and create discrepancies in cash reports. If left unchecked, they accumulate and make it harder to track real sales and close shifts correctly.

☝️ To prevent this, enable a restriction in the settings:

Open Settings → Security and enable Prevent closing a cash shift if there are open receipts on the POS. This helps automatically detect issues and keep reports accurate.