Veterinary Income Statement Template

Each month, pull your revenue report from your practice management software and enter totals by service category. Enter COGS line items — medications dispensed, medical and surgical supplies, outside reference lab invoices — in the COGS section so your gross profit calculates correctly. Then enter operating expenses: payroll, rent, utilities, equipment, and overhead. If you want to track by service department, also fill in the Service Line Breakdown sheet. The Dashboard and Annual Summary update automatically as you enter monthly data.

The two benchmarks worth tracking in any veterinary practice are COGS as a percentage of revenue and staff payroll as a percentage of revenue. COGS — primarily medications, supplies, and outside lab fees — should run 20–26% of revenue for a well-managed practice; clinics with heavy pharmacy sales or high reference lab usage may run higher. Staff payroll should sit at 40–45%; above 50% is a warning sign of overstaffing or under-production. Tracking these against revenue by service line also reveals where margin is strongest — surgery and wellness exams typically carry better margins than pharmacy sales, which are often priced close to cost to remain competitive with retail pet pharmacies.