Module 02
A $20,000 month doesn't mean $20,000 profit.
Trucking revenue is earned per mile, per load, per route or per day — and every dollar of revenue pays a stack of costs before anything is left. Adjust every line below and watch the math update live.
Hypothetical educational scenario — not Rocky's actual financial results.
Adjust every dollar
$20,000
$5,000
$6,000
$1,500
$1,500
$1,000
$2,000
Monthly hauling revenue
$20,000
Total operating expenses
$17,000
Operating contribution
$3,000
Operating margin
15.0%
Annualized contribution
$36,000
Break-even hauling revenue
$17,000
Revenue that exactly covers operating expenses
Where the $20,000 goes
$20,000
Revenue
-$5,000
Driver
-$6,000
Fuel
-$1,500
Insurance
-$1,500
Repairs
-$1,000
Other
-$2,000
Lease
$3,000
Contribution
Revenue Expense Contribution
Revenue, operating profit, cash flow and distributable income are not interchangeable.
Revenue is the top line. Operating profit is revenue minus operating expenses — an accounting measure. Cash flow is the actual cash that lands and leaves the bank (it differs when, for example, a truck is financed). Distributable income is what's left after reserves and debt service — and only that is available to partners. Treat them as four separate numbers, not one.
All figures are adjustable hypotheticals for education, not actuals.