Veterinary P&L Template

Once the categories look right, pull your revenue figures from your practice management software — Avimark, Cornerstone, Impromed, eVetPractice, or whichever system you use. Most generate a revenue-by-category report that maps directly to the service lines in the Monthly P&L tab. Enter COGS from your pharmacy and supply invoices or your inventory system. Then enter operating expenses from your accounting software or bank statements. The sheet calculates gross margin, COGS percentage, and net income automatically. Fill in the DVM Productivity sheet using the provider production reports your PM software generates.

On the cost side, the two numbers that matter most to veterinary practice profitability are COGS as a percentage of revenue and staff payroll as a percentage of revenue. COGS covers medications, vaccines, supplies, and outside lab fees — the benchmark is 22–26% for most small animal practices, with mixed or large animal practices running somewhat higher due to drug and supply volumes. Staff payroll typically runs 40–45% for a full-service small animal clinic. Together, these two categories represent roughly 65–70% of revenue, leaving about 30–35% to cover rent, equipment, software, insurance, and net income. When practices struggle financially, it's almost always because one or both of these ratios have crept up — and without monthly tracking, the drift is invisible until it's compounded into a serious problem.