Business unit financials, Lasko Sayre Engineers, October 2026

October close by business unit compared with budget, backlog by region compared with September, past-due receivables and unbilled WIP reviewed, and the active project count derived from the contract value reports. The firm reports $265,400 in unit operating profit against a $281,300 budget, but $85,070 of it is earned value above contract value on lump sum projects.

Lasko Sayre Engineers, Inc., 3 regions and 8 business unitsUnit P&L, October 2026Contract value reports, Sep 30 and Oct 31, 2026A/R aging as of Oct 31, 2026Prepared Nov 6, 2026

Summary

Profit by unit

Geotechnical – Bramble Point beats budget by $60,700 on WIP that can't be billed

The unit reports $86,800 against a $26,100 budget. On two lump sum projects, 22-0817 and 23-0192, earned value is $70,350 above contract value and is still carried as unbilled revenue. Capped at contract value, October comes in at $16,450, below budget.

Action: review the WIP valuation and whether a loss provision is needed before the November close. Firm-wide the amount is $85,070 on four projects.

Backlog by region

Backlog grew 1.3%, but only because of one task order

Backlog went from $15.34M to $15.53M. Task Order 7 under the City of Bramble Point on-call MSA, Depot Street Phase 2, accounts for $1.02M on its own. Without it, backlog fell 5.4%. The South Region lost 16.0% and is down to 3.9 months of backlog against 5.7 for the firm.

Action: review the pipeline and staffing outlook for the South Region before the next leadership meeting.

Past due and unbilled

Six projects hold 94% of receivables more than 60 days past due

The same six projects carry 90% of unbilled WIP older than 60 days, and none of them has been invoiced since July or August. Four are for the City of Quarry Bend. Together they tie up $343,770, of which $223,830 is unbilled.

Action: check with the project managers before more time is charged, and assess whether the receivables should be flagged as disputed and covered by the allowance for credit losses.

Financials by unit and region, October 2026

Pick a region to filter every view. The valuation switch recalculates profit and unbilled WIP with earned value on lump sum projects capped at contract value. Click a unit or a project for details.

Region
Valuation

October operating profit vs. budget

Operating profit Budget WIP above contract value

Unit P&L, October 2026

Amounts in dollars. The budget columns are for revenue and operating profit. Click a row for the unit income statement.

UnitRegionRevenueBudgetOp. profitBudgetVarianceMarginSep profitUtilizationΔ WIP

Sources and method

Sources

  • Unit_PL_2026-10.xlsxOctober close by business unit from the ERP: revenue, costs, operating profit and utilization8 units
  • Unit_PL_2026-09.xlsxSeptember actuals by unit, revenue and operating profit8 units
  • Budget_FY2026_by_Unit.xlsxMonthly budget by unit for revenue and operating profit8 units, 12 months
  • Contract_Value_Report_2026-09-30.xlsxProjects, amendments and MSAs with status, contract type, contract value, earned to date and billed to date252 rows
  • Contract_Value_Report_2026-10-31.xlsxSame layout as of Oct 31260 rows
  • AR_Aging_2026-10-31.xlsxOpen client invoices with invoice date, due date and collection notes279 invoices
  • Accounting_Policies_Manual_Rev4.pdfRevenue recognition and WIP valuation, billing in arrears, Net 30 terms38 pages

Method

  1. Unit results were read from the October P&L. Revenue was tied to the contract value reports: revenue earned in October equals October billings plus the change in unbilled WIP, and it ties for all eight units.
  2. For lump sum projects, earned to date was compared with contract value. The excess is earned to date minus the greater of contract value and billed to date. The valuation switch deducts the full excess from October profit and from unbilled WIP.
  3. Backlog is contract value minus earned to date, floored at zero, for projects that are Active or On hold. The bridge splits the change into new projects and amendments, contract value increases, revenue earned in October and remaining value on projects completed.
  4. Receivables were aged by due date as of Oct 31, 2026. Unbilled WIP was aged by the month the work was performed, most recent work first.
  5. Active projects are the report rows minus amendment rows, MSA rows, completed projects not yet closed and projects on hold. Task orders count as projects of their own.

Assumptions and limitations

  • Earned value is carried at bill rates from each project fee schedule, as the accounting policies manual specifies. The reports show no recorded loss provision or WIP write-down.
  • Expected losses on the remaining work of the lump sum projects were not estimated. Under ASC 605-35 a provision for an anticipated contract loss is recognized when the loss becomes evident, so the write-down here is a floor.
  • Contract value on T&M projects without a not-to-exceed amount is the project manager estimate in the ERP, so backlog on those projects is less certain than on lump sum work.
  • Allocated corporate overhead is $2,900 per employee per month per the budget. Months of backlog ignores seasonality and holidays.
  • Projects on hold are included in backlog but not in the active project count.
  • Whether receivables are treated as disputed or reserved is for the controller and the auditors to decide. This page shows the data and the collection notes.