Catering profit refers to the balance of the income obtained by the catering enterprise from the operation after deducting the cost and expenses in a certain period. Catering profit is an important indicator of the operating status of catering enterprises, which is directly related to the economic benefits of catering enterprises.
There are two main ways to calculate F&B profits:
1.Direct method
The direct method is a method that directly compares the revenue of a catering enterprise with its costs and expenses to calculate the profit.
Formula: Profit = Revenue - Costs.
2.Indirect method
The indirect method is a method of calculating the profit of a catering enterprise after deducting operating costs, business taxes and surcharges, sales expenses, management expenses and financial expenses.
Formula: Profit = Operating Income - Operating Costs - Sales Taxes & Surcharges - Selling Expenses - Administrative Expenses - Finance Expenses.
The calculation method of catering profit can be selected according to the specific situation of the enterprise.
How to calculate the profit margin of the F&B
Catering profit margin refers to the percentage of catering profit to operating income, which is an important indicator to measure the profitability of catering enterprises.
Formula: F&B Profit Margin = F&B Profit Operating Income * 100%.
The higher the profit margin of the catering enterprise, the stronger the profitability of the catering enterprise.
Factors that affect F&B profits
There are many factors that affect the profit of catering, mainly including the following aspects:
Raw material costs: The cost of raw materials is the most important component of the cost of catering, and the reduction of the cost of raw materials can directly improve the profit of catering.
Labor costsLabor cost is the second most important component of catering cost, and the control of labor cost is also an important measure to improve catering profits.
Operating expensesOperating expenses include water and electricity expenses, advertising expenses, publicity expenses, etc., and the control of operating expenses can also improve catering profits.
Management feesManagement expenses include the salaries and office expenses of management personnel, and the control of management expenses is also an important measure to improve catering profits.
If catering enterprises want to improve profits, they must start from the above aspects and take effective measures to reduce costs and improve efficiency in order to obtain higher profits.