Financial and operational analytics
Financial outcomes.
The operating reality behind them.
We analyse financial and operating information to explain performance, assess meaningful comparisons and identify the questions management needs to resolve.
Discuss your performance analysisRead the drivers
Revenue, profitability and cash answer different questions. Reading them alongside operating measures gives management a fuller account of performance.
01 / Revenue
The drivers to examine
Volumes, pricing, product or customer mix, and the contribution of businesses or locations.
Separate changes in activity from changes in price or mix. Identify where growth is concentrated and whether the reporting boundary has changed.
The management question
Which parts of the business explain the movement?
02 / Profitability
The drivers to examine
Operating costs, capacity utilisation, business mix and the relationship between revenue and margins.
Examine the cost and operating factors behind margin movement. Keep exceptional items and changes in calculation visible.
The management question
What explains the change in profitability?
03 / Cash and capital
The drivers to examine
Collections, inventory, payables, capital expenditure and funding requirements.
Read cash generation alongside working capital and investment. Distinguish operating performance from the timing of receipts and payments.
The management question
Where is cash being generated or absorbed?
The relevant drivers depend on the business model and the information available.
Establish the comparison
A movement may reflect business performance, a reporting change or both. The analysis should make that distinction clear.
We organise the information around consistent definitions and explicit adjustments, with gaps and limitations kept visible.
Selected work · An environmental-services company
The reporting work connected financial trends with operating explanations. Reported results remained distinct from the pipeline of work and expectations for future activity.
Approach / Performance communication
Establish the revenue, earnings and margin measures, with consistent definitions and periods.
Connect financial movement with the operating information that helps explain it.
Keep contracted or prospective activity distinct from revenue already earned.
The basis matters
Define whether a revenue measure includes other income. Distinguish the order book from earned revenue. Give every comparison a clear period and basis.
Explore annual reports and publicationsWhat the work can include
We shape the analysis around the business question, the level of detail needed and the information that can support a conclusion.
Trends, variances and business-level comparisons that connect financial results with the relevant operating measures.
Organised reference tables with source information, definitions, reporting periods and calculations behind the analysis.
A concise account of material movements, their supported explanations and the questions that need further investigation or a decision.
Management and functional teams provide the underlying information, validate business explanations and decide on the response. We make the analysis and its supporting basis clear.
Explore business plans and financial modellingStart a conversation
Start with the result, the comparison that matters and the operating information available to explain it.
Discuss your analytics priorities