April revenue hit $70,342 vs a $153,000 budget (-54%). But COGS ran at 43% of revenue vs 70% budgeted — pushing gross margin to 57.1%, nearly double the 30% target. The miss was deal volume, not cost control. Revenue per employee came in at $23,447 vs $51,000 target — the team has capacity.
Q1 posted a combined -$161,615 net loss — driven largely by 2025 COGS that were posted into 2026, which burdens Q1 but doesn't reflect 2026 operating reality. April's +$4,408 net profit shows what the business actually looks like running clean. The Q1 figures should be read with that context: they overstate 2026 costs and understate 2025 costs by the same amount.
Cash fell from $46,581 (Jan 1) to $11,601 (Apr 30). April alone saw $40,212 drawn on the Small Business Line of Credit. Total revolving credit outstanding: $380,734 (QB LOC, HELOC, SB Line). Smart use of available capacity — but revenue needs to scale toward budget to build cash reserves rather than draw further.
| Line Item | Q1 Total Jan–Mar |
Q1 Avg per month |
April Actual |
April Budget |
B vs A | 4-Mo Avg per month |
|---|---|---|---|---|---|---|
| Revenue | $156,759 | $52,253 | $70,342 | $153,000 | -$82,658 | $56,775 |
| COGS | $183,575 | $61,192 | $30,174 | $107,100 | -$76,926 | $53,437 |
| Gross Profit | -$26,817 | -$8,939 | $40,169 | $45,900 | -$5,731 | $3,338 |
| Gross Margin % | -17.1% | -17.1% | 57.1% | 30.0% | +27.1 pp | 5.9% |
| Operating Expenses | $130,405 | $43,468 | $34,323 | $29,427 | +$4,142 | $41,182 |
| Operating Income | -$157,222 | -$52,407 | $5,846 | $16,473 | -$10,627 | -$37,844 |
| Interest & Depreciation | $4,393 | $1,464 | $1,438 | $2,500 | -$1,062 | $1,458 |
| Net Income | -$161,615 | -$53,872 | $4,408 | $13,973 | -$9,565 | -$39,302 |
* Q1 is Jan–Mar as a 3-month aggregate (individual monthly breakdown not available in this export). Q1 negative gross margin reflects 2025 COGS that were posted into 2026 — these are prior-year costs, not 2026 operating expenses. April's numbers represent clean 2026 performance. Beat in B vs A = green (good); miss = red.
† The P&L reflects one business class only. QuickBooks does not allow the Balance Sheet or Statement of Cash Flows to be filtered by class without breaking the report — so some line items will not reconcile exactly across the three statements. This is a reporting limitation, not an error.
May's budget calls for $156,060 in revenue — essentially the same ask as April's $153K target. With cash at $11,601 and $380,734 already drawn on lines of credit, the business needs revenue to scale toward plan to build reserves rather than draw further on credit.
If May revenue hits budget ($156K at the current margin structure), operating income would approximate $16–17K — adding meaningful cash. At April's pace ($70K again), another $30–40K LOC draw is likely. The difference is roughly $50K in cash trajectory depending on close rate.
By May 15: Review open project pipeline and identify jobs that can be billed and collected before May 31. A/R at $34,917 is collecting fast — keep that pace. Also: clarify terms and timeline on the Luke Beiler $100,000 private loan sitting in current liabilities.