Question-and-Answer Session
Operator
(Operator instructions) Your first question comes from the line of Andrea Wirth with Robert Baird.
Andrea Wirth – Robert Baird
Good morning, gentlemen.
Craig Martin
Good morning.
Andrea Wirth – Robert Baird
Wondering if you could just address the implied guidance for 4Q. It's a fairly wide range. Just wondering if you can give us a little bit more color and understanding. One, why the range is so wide and really what are the key swing factors are from getting to the top of the range to the bottom of the range essentially?
John Prosser
.The range is wide because we like to keep it that way. The market being what it is and there are so many different dynamics going on that we just feel more comfortable leaving a fairly wide range. We started out the year with a wide range and now as we get closer to the end of the year, we have narrowed a bit, but it's still a broad range and we realize that. And there is just so many different factors going on with so many different markets that we feel it's appropriate to keep it fairly broad.
Andrea Wirth – Robert Baird
And just given how great of a job you have done in controlling your SG&A costs, would you maybe say that part of the range could be more of a concern of what could happen on the top line versus you controlling your costs? Would that be a fair estimation?
John Prosser
I would say that we probably have a better control of our costs than we do of our work through.
Craig Martin
We certainly have a better control of our costs than we do of our customers. I guess that would be a good way to put it. So, yes.
Andrea Wirth – Robert Baird
Fair enough. And then just on your engineering backlog. It was up sequentially, but wondering if that’s a function of really new orders coming through or is it really more just a little bit of a slower burn rate?
Craig Martin
Now that's a function of new orders for the most part.
Andrea Wirth – Robert Baird
Great. Great. Thank you so much.
Operator
Your next question comes from the line of Michael Dudas with Jefferies.
Michael Dudas – Jefferies
Good morning, everybody.
Craig Martin
Good morning, Mike.
Michael Dudas – Jefferies
Craig, if you could generally, I know you have a lot of different businesses, but the amount of incoming or proposal activity from your clients relative six months ago, better the same or less?
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