Managing a trucking operation without understanding your numbers is risky. A clear Profit And Loss Statement For Trucking Company helps you see whether you’re actually making money—or just staying busy.
Many owner-operators and fleet owners generate strong revenue but struggle with profitability. In this detailed guide, you’ll learn how to create, read, and optimize a trucking P&L statement so you can improve margins and make smarter business decisions.
Read too: Top Trucking Companies That Still Have Manual Transmissions
Profit And Loss Statement For Trucking Company – What Is It?
A Profit And Loss Statement For Trucking Company (also called an income statement) summarizes your revenues, expenses, and net profit over a specific period—usually monthly, quarterly, or annually.
It answers three critical questions:
- How much revenue did the business generate?
- What were the total operating costs?
- Did the company make or lose money?
For a general definition of a profit and loss statement, see:
https://en.wikipedia.org/wiki/Income_statement
But trucking has unique cost structures that require industry-specific tracking.
Why Is a P&L So Important in Trucking?
Trucking is a high-revenue, high-expense business. Fuel, maintenance, insurance, and driver wages can quickly eat into margins.
According to industry financial benchmarks:
- Fuel can represent 20–30% of total expenses.
- Driver wages may account for 25–35%.
- Insurance costs have risen significantly in recent years.
Without tracking costs carefully, profit margins—often between 5–15%—can disappear.
What Should Be Included in a Profit And Loss Statement For Trucking Company?
Let’s break it down clearly.
1. Revenue Section
This includes:
- Line haul revenue
- Fuel surcharges
- Accessorial charges (detention, layover)
- Brokered loads
- Other freight income
Example Monthly Revenue:
| Revenue Type | Amount |
|---|---|
| Line Haul | $45,000 |
| Fuel Surcharge | $7,000 |
| Accessorial | $2,000 |
| Total Revenue | $54,000 |
2. Cost of Goods Sold (COGS)
In trucking, COGS typically includes:
- Fuel
- Driver pay (if per load)
- Toll expenses
- Load-specific costs
Example COGS:
| Expense | Amount |
|---|---|
| Fuel | $14,000 |
| Driver Pay | $16,000 |
| Tolls | $1,200 |
| Total COGS | $31,200 |
3. Gross Profit
Formula:
Revenue – COGS = Gross Profit
$54,000 – $31,200 = $22,800
This shows operational profitability before overhead.
4. Operating Expenses
These are fixed or semi-fixed costs:
- Insurance
- Truck payments
- Maintenance
- Office expenses
- Dispatch services
- Accounting
- Permits & compliance
Example:
| Operating Expense | Amount |
|---|---|
| Insurance | $4,000 |
| Maintenance | $2,500 |
| Truck Payment | $3,200 |
| Office & Admin | $1,000 |
| Total Operating | $10,700 |
5. Net Profit
Gross Profit – Operating Expenses = Net Profit
$22,800 – $10,700 = $12,100
This is your true business earnings before taxes.
How Often Should You Prepare a Trucking P&L?
Monthly is ideal.
Why?
- Fuel costs fluctuate weekly.
- Freight rates change seasonally.
- Maintenance expenses vary.
Monthly tracking allows fast adjustments.
Step-by-Step: How To Create a Profit And Loss Statement For Trucking Company
Here is a simple system:
Step 1: Choose Software
Use:
- Accounting software
- Spreadsheet templates
- Trucking-specific bookkeeping tools
Step 2: Record Revenue Weekly
Enter:
- Load payments
- Fuel surcharge
- Detention pay
Consistency prevents errors.
Step 3: Track Fuel Precisely
Fuel is your largest variable cost.
Track:
- Gallons purchased
- Price per gallon
- MPG
Example:
1,800 gallons × $3.80 = $6,840
Improving MPG by just 0.5 can save thousands annually.
Step 4: Separate Fixed vs Variable Costs
Variable:
- Fuel
- Driver pay
Fixed:
- Insurance
- Truck loan
- Office rent
This helps calculate break-even rates.
Step 5: Calculate Cost Per Mile
Formula:
Total Monthly Expenses ÷ Total Miles Driven
If total expenses = $41,900
Miles driven = 12,000
Cost per mile = $3.49
If average revenue per mile is $3.80, your margin is $0.31 per mile.
Common Mistakes Trucking Companies Make
Avoid these:
- Mixing personal and business expenses
- Ignoring small recurring fees
- Not tracking maintenance reserves
- Failing to budget for breakdowns
- Underestimating insurance renewals
Small accounting mistakes compound over time.
What Is a Healthy Profit Margin in Trucking?
Typical net profit margins:
- Owner-operator: 8–15%
- Small fleet: 5–12%
- Large fleets: 3–8%
Higher fuel efficiency and strong rate negotiation improve margins.
Case Study Example
Single-truck owner-operator:
Monthly revenue: $50,000
Total expenses: $44,000
Net profit: $6,000
After optimizing fuel routes and reducing idle time:
Expenses reduced by $2,000
New net profit: $8,000
That’s a 33% increase in profitability.
How to Use Your P&L to Grow
Your Profit And Loss Statement For Trucking Company isn’t just paperwork. It’s a strategy tool.
Use it to:
- Decide when to add trucks
- Negotiate freight rates
- Adjust lanes
- Cut underperforming routes
Data-driven decisions reduce risk.
FAQ – Profit And Loss Statement For Trucking Company
1. What is the difference between revenue and profit?
Revenue is total income from loads. Profit is what remains after expenses.
2. Should I hire an accountant for my trucking company?
Yes, especially as your fleet grows. Compliance and tax strategy matter.
3. How do I calculate cost per mile?
Divide total monthly expenses by total miles driven.
4. What is the largest expense in trucking?
Fuel and driver wages are typically the highest.
5. How often should I review my P&L?
At least monthly. Weekly tracking is even better.
6. Can accounting software generate a P&L automatically?
Yes, most accounting platforms can produce automated reports.
Conclusion
A well-prepared Profit And Loss Statement For Trucking Company gives you clarity, control, and confidence.
It helps you:
- Identify profit leaks
- Improve cost efficiency
- Plan fleet expansion
- Negotiate smarter
Running trucks without reviewing your P&L is like driving without a dashboard.
If this guide helped you understand your trucking finances better, consider sharing it with other owner-operators or fleet managers who want to grow smarter and more profitably.
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