Project cost report · April 2026
M&E Subcontract · Leodis Developments Ltd
Contract value
£611,618
Main + variations, net of savings
Received from client
£316,187
Ahead of valuations
Value of completed work
£181,186
Works certified to date
Cost of sales
£122,924
All categories incl. admin
Gross profit
£58,262
32.2% margin on completed work
Position summary
The project is 29.62% complete by weighted contract value as at April 2026, with cost of sales running £15,005 under the expected spend at this stage — a strong early-stage position. The gross profit margin of 32.2% on completed work is in line with expectations, and based on the current burn rate projects to a final gross profit of approximately £196,672 at 32.2%. Notably, the client has paid £316,187 against valuations of £181,186 — meaning £135,001 has been received ahead of valuation, which is a positive cash position. The P&H trade is marginally loss-making at this stage and warrants monitoring as the remaining scope is completed.
| Trade | Valuations | Cost of sales | Gross profit | GP% |
|---|---|---|---|---|
| Electrical | £78,526 | £43,113 | £35,413 | 45.1% |
| HVAC | £48,914 | £26,834 | £22,080 | 45.1% |
| Plumbing & Heating | £28,210 | £28,237 | (£27) | (0.1%) |
| Trades subtotal | £98,184 | £57,466 | 36.9% | |
| Subcontracted, prelims & admin (not allocated to trades) | £24,740 | — | — | |
| Total | £122,924 | £58,262 | 32.2% | |
Trade totals exclude subcontracted works, prelims and admin costs (£24,740) which cannot be attributed to a specific trade. The £797 difference between trade GP (£57,466) and overall GP (£58,262) represents admin costs included in total CoS but not allocated across trades.
Projected profit at completion
Cost of sales breakdown
Overall spend of £122,924 is £15,005 below the expected cost at 29.62% completion. The bars below compare actual cost against the priced expected cost per contract line group, with the amber marker showing where spend should sit at the current stage. Only four line groups have recorded cost at this point — UFH, AC & VENT, Electrical and P&H — which account for £102,691 of the £122,924 total CoS. The remaining £20,233 covers parts, fees, admin and other costs not attributable to individual lines.
Electrical (inc review) is tracking under at £31,956 against an expected £39,721 at stage, and AC & VENT (inc uplift) is on track at £24,431 against £26,907 expected. UFH and P&H appear over the stage marker because those lines are more advanced than the overall project average — UFH first floor is 100% complete and P&H is 50% complete, so higher-than-average spend at this stage is expected.
UFH and P&H show as over expected at stage because those lines are more advanced than the 29.62% project average — UFH first floor is 100% complete and P&H is 50% complete. Lines with no cost recorded (£0 actual) have not yet incurred cost against this pricing sheet; other project costs (parts, fees, admin) are captured in total CoS but not attributable to individual lines.
This project operates without a retention mechanism. The client has paid £316,187 against total applications of £316,187, confirming all submitted applications have been settled in full. The payment position is notably strong — receipts exceed the value of completed work (£181,186) by £135,001, meaning the project is being funded ahead of completion.
The main contract applications total £215,555 against a main contract value of £352,381 (61.2% applied). Variation applications total £100,632 against signed-off variations of £281,507 (35.7% applied). Several variation lines have been applied for ahead of work completion — most notably Oldfield (7.5% applied, 3% complete) — which contributes to the favourable cash position but should be monitored to ensure work completion keeps pace with future applications.
Contract value summary
Cash position
P&H trade marginally loss-making
Cost of sales (£28,237) has fractionally exceeded the valuation (£28,210) on P&H at this stage, resulting in a (£27) gross loss. While immaterial in value, the P&H scope is 50% complete and cost should be monitored closely to prevent margin erosion on the remaining works.
Owner: Operations — action: review P&H cost profile against remaining scope
Oldfield variation — application ahead of work completion
Oldfield (£107,309) has been applied at 7.5% but is only 3% complete by work. This is the largest single item on the project and the gap between application and completion should be monitored to ensure it does not become a dispute risk as the project progresses.
Owner: Finance — action: confirm work complete % with site at next valuation
Work completion % not recorded for several main contract items
Management & Prelims, UFH basement and ground floor items, Pool House, and Testing & Commissioning have been 100% applied for but no work completion percentage is recorded. These should be confirmed to give an accurate overall completion figure.
Owner: Finance — action: obtain work complete % from site for unrecorded lines
Significant scope not yet commenced
Fire Opt 2 (£21,700), Electrical Review (£57,650), Intruder (£14,615), and Wardrobe Facial Recognition (£3,110) have not yet commenced. These total £97,075 and will require programme management as the project moves into the second half of its scope.
Owner: Operations — action: confirm programme dates for uncommenced items
Favourable cash position maintained
Client receipts of £316,187 exceed the value of completed work by £135,001. All applications have been settled in full and there is no retention to recover. This is a strong cash position for the project at this stage.
No action required
| Ref | Item | Value | % Applied | % Complete | Progress |
|---|
The contract value of £611,618.02 comprises the main contract (£352,381), signed-off variations (£281,507), and a net saving of (£22,270) across four items. The gross profit of £58,262 at 32.2% is calculated against the value of completed work to date (£181,186) rather than total applications, reflecting the proportion of scope that has been formally certified.
The trade breakdown shows Electrical and HVAC both performing at 45.1% GP margin, which is strong. Plumbing & Heating is marginally loss-making at (£27), driven by cost slightly exceeding the valuation at this stage. This is not material at the current value but will require attention as the remaining P&H scope is completed — particularly if further cost is incurred against items not yet valued.