Project performance report · May 2026 · Application 3
M&E Subcontract · Leodis Developments Ltd
Contract value
£527,084
Net of MC discount, inc 5 confirmed VOs
Value certified
£205,564
39.0% complete by value
Cost to date
£94,474
26.5% of forecast cost
Forecast margin
32.3%
£170,439 provisional
Net payment due
£98,131
Application 3, after retention
At Application 3, valued to the end of May 2026, the contract is 39.0% complete by value certified but only 26.5% by cost incurred. Billing is running well ahead of cost, a healthy cash position, and on a summary basis the work done has earned an indicative £111,090 of gross profit so far. The application values this period at £103,296, leaving £98,131 due after retention. On the cost side, with provisional electrical costs now included the forecast final cost is £356,646 and the forecast margin 32.3%, against a priced 31.7%. The job is therefore forecasting essentially on budget, a little ahead, though that conclusion rests on the provisional electrical figures and should be read as such until they are confirmed.
Priced gross profit
£166,959
31.7% on £527,084
Forecast gross profit
£170,439
32.3% — provisional forecast
Gross profit variance
+£3,479
+0.7 pts vs price · favourable
Net movement +£3,479. Trades with no movement are omitted, and the electrical bar rests on provisional costs.
Application 3 values the works at £103,296 for the period, taking cumulative certified value to £205,564, or 39.0% of the adjusted contract. After five percent retention of £5,165, the net payment due on this application is £98,131. A further £322,073 of measured works remains to be valued in future applications.
| Application | Gross | Retention | Net |
|---|---|---|---|
| Application 1 | £25,139.37 | £1,256.97 | £23,882.40 |
| Application 2 | £77,128.99 | £3,856.45 | £73,272.54 |
| Application 3 | £103,295.75 | £5,164.79 | £98,130.97 |
| Cumulative | £205,564.11 | £10,278.21 | £195,285.91 |
The adjusted contract value follows the application and includes the contingent VO6 (£552.50); the headline contract value above excludes it pending client acceptance, hence the small difference between the two.
The bridge below sets the priced cost and margin for each trade against the forecast. Plumbing and heating and electrical carry the largest scope; the electrical position is the one still firming up as forward parts costs are confirmed. The charts split cost incurred from cost to complete and show where the remaining forecast spend sits.
| Trade | Contract value | Priced cost | Priced margin | Forecast cost | Forecast margin | Movement |
|---|---|---|---|---|---|---|
| Plumbing & Heating | £165,697 | £119,860 | 27.7% | £101,809 | 38.6% | +10.9 pts |
| HVAC | £51,968 | £34,000 | 34.6% | £39,200 | 24.6% | -10.0 pts |
| Electrical provisional | £225,967 | £146,953 | 35.0% | £156,325 | 30.8% | -4.1 pts |
| Preliminaries | £18,000 | £6,000 | 66.7% | £6,000 | 66.7% | +0.0 pts |
| Subcontracted | £70,658 | £51,762 | 26.7% | £51,762 | 26.7% | +0.0 pts |
| Full contract | £527,084 | £360,125 | 31.7% | £356,646 | 32.3% | +0.7 pts |
This is the view the two workbooks unlock together. The work certified to the client stands at 39.0% of the contract, while cost incurred is 26.5% of the forecast final cost. Value is running ahead of cost, which is favourable for both cash and margin, and indicates an indicative gross profit earned of £111,090 on the work done to date. For every £1 of cost spent so far, £2.18 of value has been certified. Because the contract lines and the cost lines are structured differently, this is a summary comparison rather than a line by line reconciliation.
A word of caution on why value is running ahead of cost. The gap is not purely outperformance on margin. It also reflects how this period was billed. The HVAC works met an issue on site that needed rectifying, which effectively halted progress on that package while cost continued to be incurred, and to balance the application additional progress was claimed elsewhere to lift the amount billed. The application also includes the additional basement screed variation, which has been applied for ahead of the client signing it off. Beyond that, the percentage complete is assessed from the number of plots finished with an element of judgement, so there is a margin of error in the certified figure. Taken together, the indicative gross profit earned and the billing position are best read as a favourable but partly timing driven snapshot rather than secured margin, and the gap is likely to narrow as cost catches up, the screed variation is resolved, and progress is reassessed.
Indicative gross profit earned to date
£111,090
Value certified £205,564 less cost to date £94,474. Gross of discount and retention.
Billing position
12.5 pts
Value certified ahead of cost incurred, partly a timing position as set out above.
The contract and the cost model do not share a common line structure, so the two are reconciled here at discipline level. Contract value and value certified are taken from the application; cost to date, forecast cost and forecast margin from the cost model. HVAC is the MVHR package; preliminaries and the combined design package sit within plumbing and heating, so that split is indicative rather than exact.
| Discipline | Contract value | Value certified | % complete | Cost to date | Forecast cost | Forecast margin |
|---|---|---|---|---|---|---|
| Plumbing & Heating | £242,225 | £122,950 | 50.8% | £50,524 | £159,571 | 37.3% |
| HVAC | £51,968 | £28,582 | 55.0% | £17,100 | £39,200 | 24.6% |
| Electrical | £238,097 | £57,406 | 24.1% | £25,300 | £156,325 | 30.8% |
The chart compares priced margin against forecast margin for each trade. The two tables below pull out the individual lines moving against the price, drawn only from lines with confirmed costs. Containment has eroded from 35.0% to 17.8% on a parts overspend and the in house MVHR works from 34.6% to 24.6%, while above ground drainage and sanitaryware are forecasting ahead of price.
| Line | Value | Priced margin | Forecast margin | Movement |
|---|---|---|---|---|
| Distribution Board and Consumer Unit | £19,488 | 35.0% | 16.4% | -18.6 pts |
| Containment | £11,380 | 35.0% | 17.8% | -17.2 pts |
| MVHR & Ventilation | £51,968 | 34.6% | 24.6% | -10.0 pts |
| Line | Value | Priced margin | Forecast margin | Movement |
|---|---|---|---|---|
| Above Ground Drainage & Lagging | £36,213 | 11.1% | 37.0% | +25.9 pts |
| Sanitaryware / Pipework | £44,175 | 14.5% | 29.1% | +14.6 pts |
| Domestic Water Services | £18,864 | 37.4% | 48.0% | +10.6 pts |
| Communal Distribution Pipework | £20,069 | 22.3% | 23.3% | +1.0 pts |
Provisional electrical lines and lines without cost pricing (10 Vanquish Mirrors, Data Rack & Wifi, Testing & Commissioning, Demonstrations and Training) are excluded from these tables.
| Variation | Value | Status |
|---|---|---|
| VO1 — Basement screed | £1,850 | Confirmed |
| VO2 — Wiring for fire rated windows | £686 | Confirmed |
| VO3 — Fire alarm | £419 | Confirmed |
| VO4 — Access control | £4,285 | Confirmed |
| VO5 — CCTV | £862 | Confirmed |
| VO6 — Additional basement screed contingent | £552.50 | In application, acceptance unconfirmed |
VO6 has been entered into Application 3 at £552.50 but is not yet confirmed by the client and is excluded from the headline contract value. If declined, the cost would fall to be settled between Leodis and the underfloor heating contractor.
Forecast rests on provisional electrical costs
The remaining electrical costs are placeholders set at each line's remaining cost budget, totalling £95,625 of forecast cost across 10 lines. They are not confirmed until actual prices are received from Jonny Brockett, and the outcome could move the forecast margin in either direction. Until then the priced margin of 31.7% is the reliable reference.
Owner: Commercial — action: obtain actual electrical costs from Jonny Brockett and refresh the forecast
Margin erosion on live lines
Containment has fallen to 17.8% and the in house MVHR works to 24.6% against price, on confirmed actuals rather than estimates. These should be reviewed against the remaining scope on those trades.
Owner: Operations — action: review parts procurement against budget
Value certified running ahead of cost
Certification at 39.0% against cost at 26.5% is favourable for cash, but part of it is timing rather than secured margin, reflecting the HVAC rectification, the screed variation claimed before sign off, and the margin of error in percentage complete. It also means future applications carry proportionally more cost. The position should be monitored so the late stage of the job does not erode the margin earned early.
Owner: Commercial — action: monitor cost to value as the programme matures
Items without cost pricing
10 Vanquish Mirrors, Data Rack & Wifi, Testing & Commissioning, Demonstrations and Training carry a contract value but no priced cost, so they are flagged in the schedule and excluded from the margin analysis to avoid a false full margin reading.
Owner: Commercial — action: enter cost pricing for these lines
Contingent variation VO6
The additional basement screed is in the application at £552.50 but unconfirmed by the client. If declined, liability sits between Leodis and the underfloor heating contractor.
Owner: Commercial — action: confirm client position, then agree liability if rejected
| Line | Contract value | Priced cost | Cost to date | Forecast cost | Forecast margin |
|---|---|---|---|---|---|
| Plumbing & Heating | |||||
| Incoming Water Services | £1,917 | £1,600 | £0 | £1,600 | 16.5% |
| Communal Distribution Pipework | £20,069 | £15,600 | £12,200 | £15,400 | 23.3% |
| Hot Water Cylinders / Thermal Stores | £24,269 | £12,600 | £0 | £12,600 | 48.1% |
| Domestic Water Services | £18,864 | £11,800 | £7,000 | £9,800 | 48.0% |
| Sanitaryware / Pipework | £44,175 | £37,760 | £3,550 | £31,300 | 29.1% |
| 10 Vanquish Mirrors no cost data | £5,130 | £0 | £0 | £0 | 100.0% |
| Above Ground Drainage & Lagging | £36,213 | £32,200 | £6,000 | £22,809 | 37.0% |
| Kitchen 1st & 2nd Fix | £6,575 | £4,800 | £0 | £4,800 | 27.0% |
| Testing & Commissioning | £7,835 | £2,700 | £0 | £2,700 | 65.5% |
| Demonstrations and Training | £650 | £800 | £0 | £800 | -23.1% |
| HVAC | |||||
| MVHR & Ventilation | £51,968 | £34,000 | £17,100 | £39,200 | 24.6% |
| Electrical | |||||
| 1st Fix Cabling provisional | £76,948 | £51,800 | £15,950 | £45,350 | 41.1% |
| Containment | £11,380 | £7,397 | £9,350 | £9,350 | 17.8% |
| Distribution Board and Consumer Unit | £19,488 | £12,667 | £0 | £16,300 | 16.4% |
| Earthing and Boarding provisional | £950 | £618 | £0 | £650 | 31.6% |
| Lighting & Emergency Lighting provisional | £21,681 | £14,093 | £0 | £16,893 | 22.1% |
| External Lighting provisional | £15,138 | £9,840 | £0 | £11,640 | 23.1% |
| Small Power provisional | £19,108 | £12,420 | £0 | £15,220 | 20.3% |
| Supplies to Mechanical Services provisional | £2,875 | £1,869 | £0 | £2,000 | 30.4% |
| Fire Alarm provisional | £14,847 | £9,651 | £0 | £11,651 | 21.5% |
| Access Control provisional | £5,444 | £3,539 | £0 | £3,539 | 35.0% |
| CCTV provisional | £6,666 | £4,333 | £0 | £4,333 | 35.0% |
| Services Identification provisional | £657 | £428 | £0 | £300 | 54.3% |
| EV Chargers | £19,085 | £12,000 | £0 | £12,000 | 37.1% |
| Data Rack & Wifi no cost data | £650 | £0 | £0 | £0 | 100.0% |
| Towel Rails (Inc Install) | £7,700 | £6,300 | £0 | £6,300 | 18.2% |
| Testing & Commissioning no cost data | £2,700 | £0 | £0 | £0 | 100.0% |
| Demonstrations and Training no cost data | £650 | £0 | £0 | £800 | -23.1% |
| Preliminaries | |||||
| Preliminaries | £18,000 | £6,000 | £0 | £6,000 | 66.7% |
| Subcontracted | |||||
| Design | £18,000 | £14,000 | £7,000 | £14,000 | 22.2% |
| Dry Riser Installation | £4,896 | £3,000 | £3,000 | £3,000 | 38.7% |
| Underfloor Heating | £47,762 | £34,762 | £11,774 | £34,762 | 27.2% |
| Ref | Description | Contract value | % complete | Value certified |
|---|---|---|---|---|
| Mechanical | ||||
| 3.13.1 | Preliminaries and Conditions of Contract | £18,000.00 | 45.0% | £8,100.00 |
| 3.13.2 | Design | £8,000.00 | 90.0% | £7,200.00 |
| 3.13.3 | Production of Design and Construction/Installation Working Drawings | £3,000.00 | 0.0% | £0.00 |
| 3.13..4 | Incoming Water services | £1,917.00 | 0.0% | £0.00 |
| 3.13.5 | Heating | £47,762.00 | 90.0% | £42,985.80 |
| 3.13.7 | Internal Communal Riser Distribution Pipework | £20,069.00 | 80.0% | £16,055.20 |
| 3.13.9 | Hot Water Cylinders/Thermal Stores | £24,269.18 | 0.0% | £0.00 |
| 3.13.10 | Domestic Water services | £18,864.00 | 65.0% | £12,261.60 |
| 3.13.11 | MVHR Supply and Extract ventilation | £51,967.56 | 55.0% | £28,582.16 |
| 3.13.16 | Sanitary Pipework (Inc. Sanitaryware Supply) | £44,175.00 | 25.0% | £11,043.75 |
| 3.13.17 | Dry Riser Installation | £4,895.67 | 100.0% | £4,895.67 |
| 3.13.19 | Testing and Commissioning | £7,835.00 | 0.0% | £0.00 |
| 3.13.20 | Demonstrations and Training | £650.00 | 0.0% | £0.00 |
| 3.13.22 | Core soil & waste, lagging of pipes | £36,213.00 | 50.0% | £18,106.50 |
| 3.13.23 | Kitchen 1st and 2nd fix | £6,575.00 | 35.0% | £2,301.25 |
| Electrical | ||||
| 3.14.2 | Design | £7,000.00 | 90.0% | £6,300.00 |
| 3.14.7 | Distribution Board and Consumer Unit Installation | £19,488.00 | 0.0% | £0.00 |
| 3.14.8 | Sub Mains Cabling | £7,837.00 | 100.0% | £7,837.00 |
| 3.14.9 | Earthing and Bonding | £950.00 | 0.0% | £0.00 |
| 3.14.10 | Containment Installation | £11,380.00 | 90.0% | £10,242.00 |
| 3.14.11 | Lighting & Emergency Lighting Installation | £38,751.00 | 22.5% | £8,718.98 |
| 3.14.12 | External Lighting Installation | £27,705.00 | 10.0% | £2,770.50 |
| 3.14.13 | Small Power Installation | £34,154.00 | 22.5% | £7,684.65 |
| 3.14.14 | Supplies to Mechanical Services Installation | £5,150.00 | 60.0% | £3,090.00 |
| 3.14.15 | Fire Alarm Installation including supplies, containment, cabling installation, interface, with the Automatic Opening Ventilator natural smoke vent system. | £26,540.00 | 22.5% | £5,971.50 |
| 3.14.16 | Access Control System/Video Intercom Installation | £9,740.00 | 22.5% | £2,191.50 |
| 3.14.17 | CCTV Installation | £11,930.00 | 15.0% | £1,789.50 |
| 3.14.18 | IRS TV Installation | £0.00 | — | £0.00 |
| 3.14.19 | BT Telecommunications Internal Cabling | £900.00 | 90.0% | £810.00 |
| 3.14.20 | Virgin Media TV/Telecommunications Internal Cabling | £0.00 | — | £0.00 |
| 3.14.21 | Services Identification | £657.00 | 0.0% | £0.00 |
| 3.14.22 | Testing and Commissioning | £2,700.00 | 0.0% | £0.00 |
| 3.14.23 | Demonstrations and Training | £650.00 | 0.0% | £0.00 |
| 3.14.25 | Electrical Vehicle Charger and Power Supplies | £19,085.00 | 0.0% | £0.00 |
| 3.14.26 | Data rack and wifi | £650.00 | 0.0% | £0.00 |
| 3.14.29 | Supply - Rointe 300 watt D series towel rails | £6,500.00 | 0.0% | £0.00 |
| 3.14.30 | Wire and Install | £1,200.00 | 0.0% | £0.00 |
| 3.14.31 | 10 Vanquish Mirrors | £5,130.00 | 0.0% | £0.00 |
| Variations | ||||
| VO1 | Basement Screed | £1,850.00 | 100.0% | £1,850.00 | |
| VO2 | Wiring for Fire Rated Windows | £686.00 | 0.0% | £0.00 | |
| VO3 | Fire Alarm | £419.00 | 0.0% | £0.00 | |
| VO4 | Access Control | £4,285.00 | 0.0% | £0.00 | |
| VO5 | CCTV | £862.00 | 0.0% | £0.00 | |
| VO6 | Additional Basement Screed | £552.50 | 100.0% | £0.00 | |
This is how the job was priced set against where it is now forecast to land. The contract was tendered to return £166,959 of gross profit at 31.7%. On current costs, including the provisional electrical placeholders, it is forecast to deliver £170,439 at 32.3%, a favourable movement of £3,479. The chart shows where that movement comes from trade by trade.