5 FP&A Reports You Must Produce Monthly

Why Monthly FP&A Reports Matter

Financial Planning & Analysis (FP&A) isn't just about creating budgets. It’s about continuously guiding strategic decisions using current data, assumptions, and trends. Yet, many companies either underreport or focus only on lagging indicators.

This article highlights the 5 most essential reports every FP&A function should deliver monthly — not quarterly, not annually — if leadership is serious about performance.

1. Operating Budget Report

This is the baseline. It outlines expected revenues and expenditures across departments. However, monthly reporting must include:

• Planned vs actual spending
• Cost center summaries
• Budget adherence and burn rate

Why it matters: Without visibility into current performance vs plan, departments either overspend without control or underinvest out of fear.

2. Cash Flow Forecast

Cash, not profit, keeps a company alive. FP&A teams must monitor and project short-term liquidity on a rolling basis, ideally using a 13-week horizon.

• Projected inflows and outflows
• Expected timing of receivables and payables
• Cash shortfalls and borrowing needs

Pro tip: Pair this with real-time bank feed integration from your ERP or treasury system.

3. Variance Analysis

Numbers without context are useless. A strong FP&A team delivers meaningful variances with interpretation:

• Revenue variance by driver (volume vs price)
• Cost variance by category (COGS, SG&A, one-offs)
• Root cause analysis: timing, errors, misalignments

This report is the bridge between accounting and action.

4. Sales Pipeline to Revenue Report

Finance and commercial teams must align. This report connects expected sales activities with actual bookings and projected revenue.

• Sales pipeline stages and probability-weighted values
• Forecast accuracy vs prior months
• Revenue conversion from pipeline vs targets

Why it matters: If your sales forecast drives production or hiring, pipeline accuracy is mission-critical.

5. Scenario Planning & Stress Testing

This is where great FP&A shines. You must ask: what happens if interest rates rise? If a key client churns? If FX rates shift?

• Best-case / worst-case scenario financials
• Sensitivity analysis (e.g., EBITDA impact of 5% wage increase)
• Management-ready visuals and decisions paths

Scenario modeling separates proactive businesses from reactive ones.

Conclusion

If your monthly reporting still looks like a glorified Excel budget, you’re missing out on strategic influence. These five reports — when consistently produced and understood — transform FP&A from a cost center to a competitive advantage.

At Vertas, we help companies automate, interpret, and act on these reports using modern ERP, Power BI, and forecasting tools.

📩 Get in touch to request a free FP&A health check or reporting template.