Result (resultaat)
The outcome of the profit and loss account: profit (positive) or loss (negative) over the financial year, after costs and taxes.
What does result (resultaat) mean?
The outcome of the profit and loss account: profit (positive) or loss (negative) over the financial year, after costs and taxes.
The result is the outcome after the income and expenses recognised in the reporting period have been netted. The result after tax can differ from operating result or EBITDA. Profit is not automatically distributable straight away.
How does it work?
The result is the last line of the profit and loss account. art. 2:377(1) DCC builds it up from the income and expenses from ordinary business activities, the taxes on them and the other taxes, resulting in the result after tax. Cooperatives, and foundations and associations under Title 9, replace it with an operating account with an operating balance if that serves the insight (art. 2:361(2) DCC).
On the balance sheet the same amount returns in equity. As long as no decision has been taken on its appropriation, it appears there as a separate line (art. 2:373(1) DCC, point (g)). Income and expenses of exceptional size are stated separately (art. 2:377(8) DCC), so that the reader can work back to the ordinary result.
Example
A BV achieves € 150,000 net turnover in financial year 2026. The costs: purchases € 60,000, wages € 45,000, depreciation € 8,000 and other operating costs € 14,000. Operating result: 150,000 − 127,000 = € 23,000. After € 3,000 interest, € 20,000 remains before tax. The tax charge at 19% is € 3,800; the result after tax is € 16,200. Equity goes from € 40,000 to € 56,200. The bank balance rose by € 2,000 in the same year: 16,200 + 8,000 depreciation − 18,000 repayment − 4,200 additional receivables.
In the annual accounts
Bottom line of the P&L and then within equity on the balance sheet.
Difference from cash flow
Result measures what the financial year has produced, cash flow what has come into or gone out of the bank. Depreciation reduces the result without a payment; repayments and investments cost money without affecting the result. In the example € 16,200 profit stands against € 2,000 extra bank balance.
Common mistakes
- Confusing profit with an increase in the bank balance
- Treating dividend as an operating expense
What to watch for
- Reconcile the result with the movement in equity: closing balance minus opening balance, adjusted for dividend and contributions.
- A micro entity shows a profit and loss account with a few lines (art. 2:395a(5) DCC); a small entity may start at the gross operating result (art. 2:396(4) DCC). Neither files it.
- Set each item against the amount of the prior year (art. 2:363(5) DCC) and explain what you cannot derive from the development of turnover.
- Profit is not yet a distributable amount: see how much dividend may I pay.
Legal basis and sources
art. 2:377 DCC
Frequently asked questions
Is result the same as profit?
Result is the neutral term: it can be a profit or a loss. In the statutory formats the closing line is called result after tax.
Where does a loss appear on the balance sheet?
As a negative amount within equity. It reduces the reserves; if equity falls below zero, it remains as a negative item on the liabilities side.
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Preparing Dutch annual accounts?
Your first set of annual accounts is free, for every size class. Create an account and prepare the annual accounts of your Dutch company under Title 9 of Book 2 of the Dutch Civil Code.
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