Client E — Client Economics

A sample snapshot of Energy & Utilities · Retainer · Client lead K. Sandoval

Illustrative Prototype
All clients
Approaching LimitOver ScopeMargin drifting down three consecutive months as senior hours replace mid-level hours.
Contract value
$264,000
Monthly retainer
$22,000
Revenue recognized
$154,000
Labor cost
$97,800
Other delivery costs
$5,100
Gross profit
$51,100
Gross margin
33.2%
Budget variance
-$5,800
Hours allocated
1,320
Hours used
1,288
Remaining hours
32
Scope variance
-2.4%
Projected final cost
$168,000
Projected final margin
36.4%
Months over scope
1
Service areas
Public Affairs, Communications
Delivery economics

Allocated vs. actual cost

Cost to deliver$92K planned · $98K actual
Hours consumed1,288 of 1,320

Projected final cost of $168,000 against $264,000 contracted value implies a 36.4% margin at close.

Trend

Gross margin, last six months

MarAprMayJunJulAug
32%38%
  • Active projects: Public Affairs Campaign
  • Recommended action: Protect margin and evaluate growth potential.