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P&L Calculations
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Rumbaldi
Tannhauser C-Beam
Lux Collective
#1 - 2014-11-09 17:32:04 UTC
My industry is ramping up a bit and I wondered if you serious players within industry use any spreadsheet that show profit and loss.

I was thinking of something that showed the cost of the BPO and then the cost of materials and sales to find out P&L from materials vs sales but also to find out if the BPO had "paid for itself" so to speak

I have tried various spreadsheets that show all costs (ie datacores for t2 items, general materials, build costs etc) as well as sales to determine P&L and ive tried automating some of those calculations in some ways to determine P&L but they have been awkward to maintain. especially if you pick up a bulk amount of a given build item that you keep in stock and use over a longer period of time.

Do you guys actually bother with any of this or just build items based on just whether it is profitable right at the time you want to build it and not track historic costs/sales .

Any help would be appreciated.
SJ Astralana
Syncore
#2 - 2014-11-09 20:34:55 UTC
Rumbaldi wrote:
My industry is ramping up a bit and I wondered if you serious players within industry use any spreadsheet that show profit and loss.

I was thinking of something that showed the cost of the BPO and then the cost of materials and sales to find out P&L from materials vs sales but also to find out if the BPO had "paid for itself" so to speak

I have tried various spreadsheets that show all costs (ie datacores for t2 items, general materials, build costs etc) as well as sales to determine P&L and ive tried automating some of those calculations in some ways to determine P&L but they have been awkward to maintain. especially if you pick up a bulk amount of a given build item that you keep in stock and use over a longer period of time.

Do you guys actually bother with any of this or just build items based on just whether it is profitable right at the time you want to build it and not track historic costs/sales .

Any help would be appreciated.


In general, a BPO is a capital expense that doesn't depreciate, so the question becomes one of whether it makes sense to tie up capital in a BPO. The rule of thumb I go by is whether my capital exceeds 30 days of sales. If yes, I add the best blueprint available per research. If no, my isk is liable to crap out and I sit tight. As older blueprints get starved, I contract them back to recover their isk.

And, yes, sales and expense tracking is essential, as otherwise you have no basis on which to decide how much of each material to buy and stock, nor of how many of each item to build.

Hyperdrive your production business: Eve Production Manager

Rumbaldi
Tannhauser C-Beam
Lux Collective
#3 - 2014-11-09 21:21:16 UTC
Thanks for commenting. As for materials I was simply going to stock a minimum amount of the materials and minerals I need and restock on a weekly basis. I am not neccesarily in need of my slots being used constantly, so I have a little flexibility there.

I tend to keep my BPOs but I may well look at them in terms of outing the ones that I not generating much in the way of profit, but then you never know they may one day be profitable again, although saying that if they are only used for T2 invention those ones can probably go.