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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 Ciaoon Oct 28, 2021 1:14pm
145 Views
Post# 34059639

RE:Margins

RE:Margins Q3 EBITDA will be challenged but will be recovered later on;

From the webinar yesterday;

1) cost to purchase raw material / components for 30 BGX units to counteract supply chain concerns
2) cost for initial building out of these units

They can't recognize rev until delivery in Q1 2022, that's just GAAP.

That's a smart business move to make with locking up parts for the BGX units. How investors take it will be another matter, esp. if they just look at EBITDA and not the numbers (reasons) behind it.

Gann999 wrote:
I think margin guidance is weighing this down sitting currently way below the target I think there is a lot of doubt on wether they can bridge that gap over the next 2 quarters. It's a stretch to make it happen they have to exceed the original stated margin goal of 3 to 4 percent that's going to be hard to do.


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