Recorded costs are not final costs.
The project is worth €2,000,000 and €1,200,000 in costs has been recorded so far. At first glance, that is a 40% margin. Add the subcontracts not yet invoiced, materials on order, labour to completion and a risk reserve, and the expected final cost is €1,850,000. The expected result: €150,000, a 7.5% margin.
Project profitability needs a forecast of the remaining costs, not just the invoices booked so far.
In Qentrilo, a project’s plan, contracts and actual costs sit on one screen. See the platform or book a demo.
The example project and figures are illustrative; the product screen shows demo data.