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FormerXBC Inc XEBEQ

Xebec Adsorption Inc designs, engineers, and manufactures products that are used for purification, separation, dehydration, and filtration equipment for gases and compressed air. The company operates in three reportable segments: Systems, Corporate and other, and Support. Its product lines are natural gas dryers for natural gas refueling stations, compressed gas filtration, biogas purification, associated gas, engineering services, and air dryers. The company's geographical segments are United States, Canada, China, Other, Korea, Italy, and France.


GREY:XEBEQ - Post by User

Comment by Resilience19on May 13, 2021 12:08pm
190 Views
Post# 33192046

RE:The most we can ask for from the quarter is a FLOOR

RE:The most we can ask for from the quarter is a FLOOR@catch, I tend to agree with your reflection. I think we'll be mostly in a wait-and-see pattern between now and Q2 results. As such, I expect the XBC to mostly trade in a 3.50 - 4.25 range between now and then - perhaps with short-term spikes on good news (i.e. COO etc).

This said, pending Q2 $30M results, I expect we'll be back around 7.70 by Q3 results. If we hit Q3 $30M+ I'd say we'll then be back in double-digit territory.

I'm particularly enthusiastic about Inmatech 2021 COVID-driven income streams, which will have governments and private practices realize the importance of on-site oxygen production.

For 2022, I'm enthusiastic about BGX income generation as well as HyGear's sales.

Carbon-capture is not around the corner but I think it could generate increasingly interesting income, come 2023, if the ongoing NYC proofs-of-concept are validated.

Lastly, I'm happy about Kurtz's projected 2025 $250M revenu streams projections.

In short, Q4 2020 and, to a lesser extent, Q1 2021 will have been unfortunate and the pre-Q2 sp will continue to suffer because of these, but I remain confident of XBC medium to long term prospects.


catchascatchcan wrote: I think that's what Kurt has earned based on the details.  While he is confident in the guidance, th market will not give us any credit for words anymore, hence the reaction.  The quarter was respectable, not terrible or wonderful.  Respectable is fine by me at this stage.  I am glad to hear he's confident, and have to believe that he's being somewhat conservative as he knows we can ill afford another guidance reduction.  I think it's a glass half-full estimate, but I'm willing to hold based on the information, and give him another chance.  The market is saying - OK, good ENOUGH, we hear your optomism, but we have to see the proof in the pudding.  If we thought this quarter was big, then the next quarter will be massively important.  If XBC fails to hit hurdle rate of $30M next quarter, which is a 50% bump Q over Q, then the market will know that the annual guidance is either coming down, or alternately BS which would be a death knell to our credibility.  Profitability is an entirely other conversation, but management is clear about expectations, and investors know this is a low margin business for the medium term.  I'm going to call XBC dead-money for the next three months until hopefully we deliever on Kurt's promises.  At that time the lid may come off.  I am sounding negative of late I know, but I am holding and long, I just think as mentioned ad infinitum, that we're in for a flat few quarters until credibility is earned back.  I look forward to the $6s in the medium term, and god willing the double digits sometime in 2022.  GLTA and enjoy the sigh of relief on this one.


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