A Study on Project Costing and Profitability Analysis at Vrutha 360, Bengaluru

Dr. D. Jakir Hussain1, G. Sowmya2
1Assistant Professor (A), School of Management Studies, JNTUA, Anantapur, India
2MBA, School of Management Studies, JNTUA, Anantapur, India
Email: jakir.mba@gmail.com, gopalamsowmya9@gmail.com

Abstract – Project costing and profitability analysis are two core financial tools that organisations use to track how much projects cost and whether they generate adequate returns. This study examines these practices at Vrutha 360, a Bengaluru-based signage firm, to understand cost patterns and their effect on project-level profit. The study analyses twelve completed signage projects, examining material, labour, and overhead costsand how these affect project profitability. Financial  records from Vrutha 360 were reviewed to trace cost behaviour and profit trends across project types. Thestudy also considers practical challenges like cost  estimation errors, overhead allocation, and weak costcontrol and how these affect margins. Key findings show that the portfolio achieved a net profit margin of 31.0%, with wall graphics and outdoor signage emerging as the most profitable categories, and raw material costs identified as the primary driver of margin variationacross projects. Key Words: project costing, profitability analysis, signage industry, cost structure, SME financial management, gross margin, net margin.