Profit Metrics

Overview

Profit metrics tell you how much money you are actually keeping after all costs, fees, and expenses are accounted for. Dashboardly calculates three levels of profit -- Gross, Operating, and Net -- each giving you a progressively more complete picture of your TikTok Shop's financial health.

Metrics

Gross Profit

• What it shows: How much you earn after subtracting the cost of the products you sold, but before any other expenses (fees, commissions, shipping costs, etc.).
• Formula: Net Sales - COGS
• Where you see it: Dashboard, Profit & Loss, Sales & Profit, Product Details
• Example: You sell $5,000 worth of products (Net Sales) and those products cost you$ 2,000 to purchase (COGS). Your Gross Profit is $3,000. This means you have$ 3,000 to cover all your other expenses (fees, shipping, marketing, etc.).
• Important notes:
  • If Gross Profit equals Net Sales, you likely have not set your product costs. See Setting Up COGS.
  • Net Sales is defined as Product Sales + Shipping Revenue - Discounts (see Revenue Metrics).
  • COGS includes the cost of cancelled orders that were shipped but not returned, because the product left your inventory.

Operating Profit

• What it shows: Your profit from store operations before ad spend. It is anchored to the total amount TikTok actually settles to you -- the settlement deposits across both order and non-order statement lines -- then adjusted for your own costs that TikTok does not handle.
• How it is calculated: Start from what TikTok settles to you, then subtract Cost of Goods Sold, sample/marketing costs, manual expenses, and FBS manual shipping, and add manual income and reclaimable VAT where you have configured it.
• Where you see it: Dashboard, Profit & Loss, Sales & Profit
• Example (illustrative): Imagine TikTok settles $2,400 to you across all order and statement lines. You then subtract$ 2,000 of product cost (COGS), $50 of sample costs, and$ 30 of manual expenses, and add $20 of manual income. Your Operating Profit is roughly$ 340. (These numbers are for illustration only -- your real figure comes straight from your settlement total and your configured costs.)
• Important notes:
  • The fee, shipping, refund, and affiliate rows you see in the Profit & Loss breakdown are a transparency view of what TikTok already deducted before paying you. They are not separate amounts subtracted from Net Sales, so adding those rows up by hand will not land exactly on Operating Profit. For very recent orders TikTok has not settled yet, the figure is an estimate that updates automatically once TikTok settles.
  • If Operating Profit is negative, your settlement total plus manual income is not covering your product and operating costs.
  • This is the core measure of whether your shop's operations are profitable before external factors like TikTok subsidies or ad spend.

Net Profit

• What it shows: Your final bottom-line profit after everything -- including your advertising spend. This is the final cash result of running your shop.
• Formula: Operating Profit - Net Ad Spend
• Where you see it: Dashboard, Profit & Loss, Sales & Profit