P&l appropriation statement

Why is there we even talking about last year's profit/ loss when we prepare P&L Appropriation Statement? 

I'm in B Com 3rd sem.

Below is what I am talking about::(performa)

Last Year's Profit                                        XXX

Current Years Profit .                                  XXX

Add: Transfer from reserve.                      XXX

Add: Adjustment related to past years . XXX

(And so on)