Immediate result: A plain-English explanation of your statements with key ratios and three things to watch.
Problem it solvesP&Ls and balance sheets are hard to read for anyone outside finance.
Revenue ₹4.2 crore, COGS ₹2.9 crore, opex ₹1.6 crore, current assets ₹1.1 crore, current liabilities ₹1.4 crore
The business lost ₹30 lakh: gross profit ₹1.3 crore didn't cover ₹1.6 crore of operating costs.
Gross margin = 1.3 ÷ 4.2 = 31% · current ratio = 1.1 ÷ 1.4 = 0.79
Watch: a current ratio below 1 means short-term bills exceed short-term assets.
Profit and loss statements and balance sheets are hard to read for anyone outside finance. This skill explains yours in plain English — what the business earned, spent and kept — and computes key ratios such as gross margin, operating margin, current ratio and debt to equity, each with its formula and a one-line meaning. It highlights three trends or risks to watch and suggests questions for your accountant. It's an explanation, not investment advice. To use it, paste the skill into your assistant and send a profit and loss statement and/or balance sheet (numbers by line); the reply is laid out as “In plain English”, “Ratios table with formulas” and “Three things to watch”.
# Skill: Financial statement explainer
You are running the "Financial statement explainer" skill for me. I work as: Founder / non-finance manager. What I need from you: a plain-English explanation of my statements with key ratios and three things to watch.
## When I send you a profit and loss statement and/or balance sheet (numbers by line)
1. Explain what the business earned, spent and kept.
2. Compute gross margin, operating margin, current ratio and debt-to-equity where possible.
3. Explain each ratio in one line.
4. Point out three trends or risks.
## Reply in this format
- In plain English
- Ratios table with formulas
- Three things to watch
- Questions to ask your accountant
## Rules
- Not investment advice.
- Use only the facts I give you; mark anything you had to assume with [ASSUMPTION].
- If something essential is missing, ask me one short question, then continue.
- No preamble or filler: start with the result.
Confirm you're ready in one line, then wait for me to send a profit and loss statement and/or balance sheet (numbers by line).Then sendA profit and loss statement and/or balance sheet (numbers by line). For example: Revenue ₹4.2 crore, COGS ₹2.9 crore, opex ₹1.6 crore, current assets ₹1.1 crore, current liabilities ₹1.4 crore
Upload it to Claude, add it to ChatGPT's Codex app, clone it into Claude Code, or download the SKILL.md for any agent. Full guide with screenshots →
Download the ZIP and upload it in Claude. Claude then uses the skill on its own whenever a request matches.
Download ZIP
OpenAI's Codex app reads the same SKILL.md format. Copy the skill into your Codex skills folder:
$ git -c http.version=HTTP/1.1 clone https://scienceofapps.com/skills/ai-skills.git
$ cp -r ai-skills/financial-statement-explainer ~/.codex/skills/
Clone the library and copy this skill into your Claude Code skills folder.
$ git -c http.version=HTTP/1.1 clone https://scienceofapps.com/skills/ai-skills.git
$ cp -r ai-skills/financial-statement-explainer ~/.claude/skills/~/.claude/skills/ for all projects, or .claude/skills/ inside one project.Download the skill file and put it in a folder named after the skill.
Download SKILL.md~/.claude/skills/financial-statement-explainer/SKILL.md.Repositoryscienceofapps.com/skills/ai-skills.git · all 200 skills, one folder each, plain git over HTTPS
P&Ls and balance sheets are hard to read for anyone outside finance. The skill fixes that: a plain-English explanation of your statements with key ratios and three things to watch.
Copy the skill and paste it as the first message of a new chat, then send your input. To keep it, paste it into a ChatGPT Project or custom GPT, a Claude Project or a Gemini Gem, or upload the SKILL.md file as a Claude Skill.
Send a profit and loss statement and/or balance sheet (numbers by line). If something essential is missing, the skill asks you one short question and then continues.
Yes. It's free to copy, use and adapt, with no sign-up, and works in the free versions of ChatGPT, Claude, Gemini and Copilot.
ProblemBoard decks bury the financial story in tables.
Q3: revenue ₹3.1 crore (plan ₹3.4), burn ₹45 lakh/month, cash ₹6.3 crore
Headline: Revenue 9% behind plan; runway 14 months at current burn.
Runway = ₹6.3 crore ÷ ₹45 lakh = 14 months
Ask: approve the hiring freeze on non-revenue roles until Q4 revenue lands.
Immediate resultA one-slide financial summary: headline, five numbers, what changed and what you need.
ProblemOwners confuse markup with margin and price products at a loss.
Cost ₹240 per candle, target 40% margin, 18% GST, fixed costs ₹60,000/month
Price before GST = 240 ÷ 0.60 = ₹400 (markup 66.7%)
Customer price = 400 × 1.18 = ₹472
Break-even = 60,000 ÷ (400 − 240) = 375 candles a month
Immediate resultThe selling price for your target margin, with markup, margin and break-even shown.
ProblemOverdue invoices stay unpaid because reminders are awkward to write.
Invoice INV-0142, ₹85,000, due 30 Oct, long-time client
Due date: 'Hi Priya, a quick note that INV-0142 (₹85,000) is due today. UPI and bank details below…'
7 days late: 'Could you check where INV-0142 is in your payment run?'
Final: 'If it's not received by 25 Nov, we'll need to pause work.'
Immediate resultA polite-to-firm sequence of payment reminders for each stage of lateness.
All 12 finance & accounting skillsAll 200 skillsRead it in the articleProve it: Financial Statement Analysis Certification (free test)
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