# How does Nova build your Vendor Central P&L?

Source: https://novadata.io/docs/vendor-central/sell-in-pnl
Checked against Nova's code on 2026-10-29

Your 1P P&L starts from Amazon's net received: what Amazon received from you, at its cost, net of what it returned to you, the "Net received" of your Vendor Central console. Nova takes off the discounts Amazon takes, your product cost, the co-op and other deductions off Amazon's payments, and your ad spend. What Amazon sold to shoppers reads apart, under Amazon's shelf, and is never added in.

## What are the lines of the 1P P&L?

| Line | What it is | Dated at |
|---|---|---|
| Net received | Value of the units Amazon received, at its cost, before tax, net of returns to you | Receipt day |
| Net received units | Units Amazon received, net of returns to you | Receipt day |
| Amazon deductions | Quick-pay discount on your invoices, early-payment discount (C2FO) off Amazon's payments | Invoice date, payment date |
| Net sales | Net received minus Amazon deductions | |
| Cost of Goods Sold (COGS) | Net received units × the unit cost you entered | Receipt day |
| Gross Profit | Net sales minus COGS | |
| Amazon fees | Co-op and allowances, Chargebacks, Return freight, Other deductions | See [Remittances and deductions](/docs/vendor-central/remittances-and-deductions) |
| Profit before Ads | Gross Profit minus Amazon fees | |
| Advertising cost | Sponsored Products and Sponsored Display of your vendor Ads profiles | Ad day |
| Net Profit | Profit before Ads minus Advertising cost | |

Margins are shares of Net sales. A **Purchase orders** chapter sits above: Ordered by Amazon, Rejected by you, Accepted by you, Confirmation rate, Cancelled by Amazon, Received by Amazon, Fill rate.

## Why net received and not your invoices?

Net received is the figure your console shows, so Nova's first line matches Vendor Central. It is the top line since 6 October 2026; before, it was the invoiced amount. Nova reads it day by day. Where a day of an Amazon week (Sunday to Saturday) is missing, Amazon's weekly total lands on the Saturday: a missing day costs detail, never money.

Your invoices still read on the page, for reference and never deducted, since net received is already net of them: **Invoiced to Amazon** (before tax) under Net sales, and a chapter of the same name with the shortage and price claims, settled and withheld, and the goods Amazon returned.

## What is the cost of goods for a vendor?

What the product costs you to make or buy: manufacturing, freight, duties. Never the price Amazon pays you, which is your revenue. Enter it on the COGS page; a **Channel** column appears once your workspace holds a Vendor Central account. A 1P cost matches on account and ASIN, by period (no FIFO). See [COGS](/docs/profit-and-costs/cogs).

## How are units counted?

Vendor Central has no customer order you can count. Nova shows the unit counts Amazon reports, each under its own name:

| Nova | Vendor Central | Where in Nova |
|---|---|---|
| Net received units | Net received units | P&L first line |
| Shipped units | Shipped units | Amazon's shelf, Cockpit |
| Ordered units | Ordered units (customer orders, net of cancellations) | Cockpit |
| Ordered by Amazon, Accepted by you, Received by Amazon | Purchase order quantities | Purchase orders chapter |
| Customer returns | Customer returns | Amazon's shelf |

## What do the other 1P names mean?

| Nova | Vendor Central | What it is |
|---|---|---|
| Shipped revenue | Shipped revenue | What shoppers paid Amazon, before VAT. Amazon's revenue, not yours. |
| Shipped COGS | Shipped COGS | Units Amazon shipped, at the cost price it pays you |
| Amazon's margin | PPM, as an amount | Shipped revenue minus Shipped COGS |
| Co-op and allowances (shelf) | Contra-COGS | What you fund on the units Amazon shipped |
| Sales discount | Sales discount | Amazon's own price reductions, funded by Amazon |
| Amazon's net margin, Net PPM | Net PPM | Amazon's margin plus your co-op minus its discount, over shipped revenue |
| Featured offer page views | Glance views | Page views while Amazon held the featured offer |

Amazon's shelf is dated at the ship date. Its co-op is an accrual on shipments, not the co-op in Amazon fees: never add the two. On a 1P scope, TACOS divides by Shipped revenue.

## Worked example

One month, illustrative figures:

| Line | Amount | Running total |
|---|---|---|
| Net received | $100,000 | |
| Quick-pay discount | −$1,000 | Net sales **$99,000** |
| COGS | −$40,000 | Gross Profit **$59,000** |
| Co-op and allowances, chargebacks | −$12,500 | Profit before Ads **$46,500** |
| Advertising cost | −$8,000 | Net Profit **$38,500** |

## Ask your AI

> Walk me from Amazon's net received to my net profit on Vendor Central last month, and compare net received with what I invoiced Amazon.