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3 days left in the year…3 days of financial statement basics to get you off on the right foot in 2026.
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Alright, let’s get into it.
Most business owners look at the Profit and Loss statement to answer one question: Did we make money? That question matters, but it is not the most important one. The real value of the P&L is showing you where your business decisions are working and where they are quietly costing you cash.
Revenue tells a story about demand, pricing, and consistency. Expenses tell a deeper story about discipline. When you review your P&L, focus first on trends, not totals. Compare this month to last month and this quarter to last quarter. Look for expense lines that creep up slowly. Those are usually the biggest profit killers because they go unnoticed or you begin noticing other jumps that do not align with what forecasts projected.
Gross margin deserves special attention. If revenue is growing but margin is shrinking, you are working harder for less return. That often points to pricing issues, higher vendor costs, or inefficiencies in delivery. Net income matters, but gross margin tells you whether the business model itself is healthy.
For newer leaders, the P&L helps build awareness. For experienced leaders, it should drive action. A strong P&L review ends with decisions. What expenses need reviewed? Where can pricing be adjusted? Which services or products actually create profit?
At the start of the year, commit to reviewing your P&L monthly with intent. Do not just scan it. Use it to ask better questions and make cleaner decisions.
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Over the next year, Roku predicts that 100% of the streaming audience will see ads. For growth marketers in 2026, CTV will remain an important “safe space” as AI creates widespread disruption in the search and social channels. Plus, easier access to self-serve CTV ad buying tools and targeting options will lead to a surge in locally-targeted streaming campaigns.
Read our guide to find out why growth marketers should make sure CTV is part of their 2026 media mix.
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