It stands for statement of income; a financial statement (forming part of a set of financial statements prepared and maintained by an entity) that displays an entity’s income and expenses, and net results for a respective period, interim or full year. It mainly shows the income and expense items relating to the core operations/ activities of a business or non-business entity. Its bottom line reflects the final results (profits or losses) achieved by the entity over the span of a predefined period.

More specifically, the income statement (statement of income, SOI) displays an entity’s revenue, costs, gross profit, selling and administrative expenses, as well as other items of expenses and income, taxes paid, and net profit.

The income statement, along with balance sheet (statement of financial position) and cash flow statement, helps users of financial statements analyze and understand the financial performance and health of a given entity (the preparer).

It is also referred to as a profit and loss statement or simply as P&L.

SOI may also refer to segment operating income.