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  "documentTitle": "WSP Global Inc. (WSP)",
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  "authorName": "Spruce Point Capital Management",
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  "presentationDate": "2024-04-03 00:00:00",
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      "text": "Spruce Point always cautions investors to pay close attention to revenue recognition policy changes for indications of gamesmanship or problems. We observe that WSP modified its review process for cost estimates from \"a monthly basis\" to \"a periodic basis.\" While the change is subtle, it opens the door for management to potentially delay painful cost revisions that ultimately harm margins. One specific area that WSP has recently disclosed increased cost pressures is for qualified labor.",
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      "text": "While the change is subtle, it opens the door for management to potentially delay painful cost revisions that ultimately harm margins.",
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      "text": "On a periodic basis, management reviews the costs incurred to date and the estimated costs to complete for each project to determine whether the amount recognized as costs and anticipated profits in excess of billings is an accurate estimate of the amount that the Corporation has earned on its projects. — WSP 2022 Annual Report",
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      "text": "Source: WSP Annual Reports",
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      "text": "Warning: Change of Revenue Recognition",
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