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Bullboard - Stock Discussion Forum 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,... see more

GREY:XEBEQ - Post Discussion

FormerXBC Inc > Backlog (Non-IFRS) of $270.2 million at August 10, 2022 comp
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Post by stormnp on Oct 03, 2022 12:48pm

Backlog (Non-IFRS) of $270.2 million at August 10, 2022 comp

Can someone explain it to me? A company who has $270 million in backlog can go bankcrupt. Really don't understand the logic.
Comment by Ottery on Oct 03, 2022 12:50pm
As far as I can tell they had big cash flow issues and were not profitable on these contracts. If they had a big enough cash position it would have been fine, but they were reliant on more financing and their creditors decided to call a loan. Namely national bank 
Comment by whognu1 on Oct 03, 2022 1:34pm
i make a widget and it costs me $1 per i sell for $1.50 per and make a nice living over the last 18 months every input has increased it now costs me $2.25 per unit my contracts are for $1.50 simple math really