KPI performance against targets and P&L summary for the month
| Line Item | Actual | Budget | Variance | % Variance |
|---|---|---|---|---|
| Revenue | $826,751 | $823,600 | +$3,151 | +0.4% |
| Cost of Goods Sold | ||||
| Cost of goods sold | $583,934 | $578,167 | −$5,767 | −1.0% |
| Freight out | $27,365 | $24,708 | −$2,657 | −10.7% |
| Operating Expenses | ||||
| Salaries and wages | $128,324 | $128,000 | −$324 | −0.3% |
| Rent and occupancy | $33,831 | $34,000 | +$169 | +0.5% |
| Marketing | $6,581 | $10,000 | +$3,419 | +34.2% |
| Technology | $10,471 | $14,000 | +$3,529 | +25.2% |
| Professional fees | $5,810 | $5,500 | −$310 | −5.6% |
| Depreciation | $6,595 | $6,500 | −$95 | −1.5% |
| Other operating | $15,950 | $10,000 | −$5,950 | −59.5% |
Revenue Performance: December achieved $826.8K, exceeding budget by $3.2K (0.4%). This marks the start of a fresh tracking window after two consecutive months of shortfall (Oct-Nov), though the monthly revenue trend remains 13% below peak months early in the year.
Operational Challenges: Three KPIs remain under pressure: Days Sales Outstanding continues to deteriorate (51.2 days vs. 45.0 target) over three consecutive months, signaling extended payment cycles. On-time delivery has fallen 170 basis points below target (93.3% vs. 95.0%) over the same three-month window, and inventory turns dropped sharply in December (5.33 vs. 6.50 target) despite stable gross margin. Active customer count slipped to 40 from 42 target, marking the second consecutive miss.
Cost Management: Operating expenses remain disciplined at 25.1% of revenue (vs. 25.3% budget). Marketing and Technology spend came in significantly under budget ($6.6K and $10.5K vs. $10.0K and $14.0K budgets), offsetting a $6.0K overrun in Other Operating expenses.