What are the key features of statement of profit and loss as per Schedule III of the Companies Act, 2013?

Key features Statement of Profit and Loss The name of 'Profit and Loss Account' has been changed to "Statement of Profit and Loss". This format of Statement of Profit and Loss does not mention any appropriation item on its face. Further, 'below the line' adjustments to be presented under "Reserves and Surplus" in the Balance Sheet. Any item of income or expense which exceeds one per cent of the revenue from operations or ₹100,000 (earlier 1% of total revenue or ₹5,000), whichever is higher, needs to be disclosed separately. In respect of companies other than finance companies, revenue from operations need to be disclosed separately as revenue from (a) sale of products, (b) sale of services and (c) other operating revenues. Net exchange gain/loss on foreign currency borrowings to the extent considered as an adjustment to interest cost needs to be disclosed separately as finance cost. Break-up in terms of quantitative disclosures for significant items of Statement of Profit and Loss, such as raw material consumption, stocks, purchases and sales have been simplified and replaced with the disclosure of "broad heads" only. The broad heads need to be decided based on materiality and presentation of true and fair view of the financial statements.