The income statement (Form 2) explained, line by line

The balance sheet tells you what a company owns and owes on one day. The income statement tells you how it did over a whole year: how much it sold, what that cost and what was left as profit. In Uzbekistan, companies that report under the national accounting standards (NSBU, in Uzbek BHMS) file it as the "report on financial results", which investors still call Form 2. This guide explains each line and shows a worked example.

Where Form 2 comes from

From 2003 to the end of 2024 the reporting forms were set by a Ministry of Finance order in which the report on financial results was form No. 2 (lex.uz, registration No. 1209, as of 26 September 2026). Since 1 January 2025 the forms are set by the Regulation on the deadlines, structure and content of financial statements, registration No. 3567 (lex.uz, as of 26 September 2026). The report on financial results is its second annex, with the same line codes from 010 to 270.

Three points about the format save a lot of confusion:

• The unit is thousands of soʻm. A revenue line of 100,000,000 means 100 billion soʻm.
• There are two periods. One column group shows the same period of the previous year, the other shows the reporting period, so every line comes with its own comparison.
• Each period has two columns: income (profit) and expenses (losses). A result line such as operating profit or net profit is written in the income column when it is a profit and in the expenses column when it is a loss. The number itself has no minus sign, so always check which column it sits in.

Listed companies' filed reports are published on openinfo.uz, the corporate disclosure portal. Under the Law on the securities market, an issuer's quarterly and annual reports must include the balance sheet and the report on financial results (Article 39, lex.uz, as of 26 September 2026).

From revenue to gross profit

• Line 010, net revenue from sales of products, goods, work and services. This is the top line.
• Line 020, cost of goods sold: the direct cost of what was sold, such as raw materials, energy and production wages.
• Line 030, gross profit, which is line 010 minus line 020.

Gross margin is line 030 divided by line 010. It shows how much of each soʻm of sales is left after the direct cost of producing it. A falling gross margin can mean rising input costs that the company cannot pass on to customers.

Operating expenses and operating profit

• Line 040, period expenses, the sum of three lines: selling expenses (050), administrative expenses (060) and other operating expenses (070).
• Line 090, other income from core activity.
• Line 100, profit from core activity, calculated as line 030 minus line 040 plus line 090.

Line 100 is the closest thing on the form to operating profit. It shows what the business earned from its main work before financing and tax. Operating margin is line 100 divided by line 010.

Finance lines

The next block is where many Uzbek companies' results swing from year to year.

• Line 110, income from financial activity, made up of dividends received (120), interest received (130), finance lease income (140), foreign exchange gains (150) and other financial income (160).
• Line 170, expenses on financial activity, made up of interest expense (180), interest on finance leases (190), foreign exchange losses (200) and other financial expenses (210).
• Line 220, profit from general business activity, which is line 100 plus line 110 minus line 170.

Look closely at lines 150 and 200. A company with loans in foreign currency can report a large loss when the soʻm weakens, even if its core business did well. The reverse is also true: a year with a big exchange gain can make profit look better than the business really performed.

Tax and net profit

• Line 230, extraordinary profits and losses.
• Line 240, profit before income tax, line 220 plus or minus line 230.
• Line 250, income tax, and line 260, other taxes and charges paid from profit.
• Line 270, net profit for the reporting period, line 240 minus lines 250 and 260.

Line 270 is the figure used for earnings per share, the P/E ratio and return on equity. It is also the pool from which dividends can be paid.

A worked example

Here is a hypothetical company's report for one year, in thousands of soʻm. The numbers are illustrative only.

• Net revenue (010): 100,000,000
• Cost of goods sold (020): 70,000,000
• Gross profit (030): 30,000,000
• Period expenses (040): 16,000,000, made up of selling 6,000,000, administrative 8,000,000 and other operating 2,000,000
• Other income from core activity (090): 1,000,000
• Profit from core activity (100): 30,000,000 − 16,000,000 + 1,000,000 = 15,000,000
• Financial income (110): 2,000,000, including an exchange gain of 1,500,000
• Financial expenses (170): 5,000,000, including interest of 3,000,000 and an exchange loss of 2,000,000
• Profit from general activity (220): 15,000,000 + 2,000,000 − 5,000,000 = 12,000,000
• Profit before tax (240): 12,000,000
• Income tax (250): 1,800,000
• Net profit (270): 10,200,000

From these lines:

1. Gross margin: 30,000,000 ÷ 100,000,000 = 30%.
2. Operating margin: 15,000,000 ÷ 100,000,000 = 15%.
3. Net margin: 10,200,000 ÷ 100,000,000 = 10.2%.
4. Interest cover: profit from core activity ÷ interest expense = 15,000,000 ÷ 3,000,000 = 5 times.

If the same company had instead shown 4,000,000 on line 270 in the expenses (losses) column, that would be a net loss of 4 billion soʻm, not a profit.

What to check every time

• Compare with last year. The form gives you the previous year's column, so use it. Did revenue grow faster or slower than costs?
• Separate the business from the finance lines. If net profit rose mainly because of exchange gains or other financial income, the improvement may not repeat.
• Look for one-offs. Large amounts on lines 090, 160, 210 or 230 deserve a look in the notes and in the company's disclosures.
• Read it with the balance sheet. Profit that is not matched by cash may be sitting in growing receivables. Our guide on how to read a balance sheet shows where to find them.
• Banks are different. Commercial banks are outside the regulation that sets these forms, and their reports on openinfo.uz start with interest income rather than sales, so the line codes here do not apply to them.

Where Finmind helps

The public stocks pages on Finmind show, for every UZSE share with filings on record, the net revenue and net profit for the latest reported year. Under Reported history they chart revenue and net income by fiscal year, earnings per share and year-on-year revenue growth, with the as-of date and the source: openinfo.uz annual filings (NSBU Form 1 and Form 2). A year the company did not report is shown as not reported, never as zero. See, for example, Qizilqumsement (QZSM). To connect profit with the share price, read our guide to the P/E ratio and dividend yield.

This article is for education only and is not investment advice. Investing in securities involves risk, including the loss of money you invest.