FP&A

Quarterly Budget vs Actual Analysis Template

Analyze quarterly performance against budget. Identify variances and explain key drivers of differences between planned and actual results.

How to use this template

1

Extract budget and actual data

Pull Q budget for revenue, COGS, operating expenses, capital expenditures, and key metrics. Compare to actual results.

2

Calculate variances

Calculate dollar and percentage variance for revenue, gross profit, operating income, and net income. Flag variances > 10% or material amounts.

3

Analyze revenue variances

Break down revenue variance into: price/mix variance (selling price changes, product mix shifts) and volume variance (unit sales changes).

4

Analyze operating expense variances

For significant variance, determine if due to volume changes, headcount/compensation changes, discretionary spending variances, or one-time items.

5

Prepare management summary

Write summary of top 5-10 variances with explanations. Discuss impact on full-year forecast and actions to address negative variances.

Why use this template

  • Demonstrates accountability for quarterly performance vs. plan
  • Identifies variances early for management course correction
  • Supports board reporting and investor communication
  • Enables more accurate full-year forecasting

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