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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

Post by tamaracktopon Aug 22, 2022 10:56am
252 Views
Post# 34911305

It's too bad

It's too badIt's too bad Xebec didn't provide a more comprehensive breakdown of the numbers in the Q1 release vis a vis the impact of the legacy issues on the quarterly numbers.

Then I'd have more numbers to crunch.

The more numbers the better.

As it stands, they did say the following in the notes to Q1.

"Adjusted EBITDA excluding legacy BGX activities of ($6.4) million compared to ($1.7) million."

In the Q2 release, this comment follows:

"Adjusted EBITDA (Non-IFRS) excluding legacy RNG contracts increased to a loss of $3.4 million for the three-month period ended June 30, 2022 from a loss of $0.9 million for the same period last year."

Xebec's sequential ebitda has gone from a loss of $6.4 million to a loss of $3.4 million.

The comparison mentioned in the notes referred to the numbers a year ago, and in that respect might be a bit misleading to those who gave the news a cursory glance.

Recent headcount reductions and the work-sharing program in Europe will further reduce costs by $1.25 million per quarter.

Xebec is very clearly on the road to profitability.

Any company showing this kind of revenue growth and demonstrating tangible margin improvement will have no problems whatsoever arranging financing.

When the news comes it will be a "revelation' for the market.

It will leave many players behind.

Xebec isn't a "show me story".

It's a "showing me story".
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