The balance sheet reflects a distressed capital structure with total debt of $133.8 million exceeding total assets of $112.4 million, resulting in a concerning equity deficit of $115.2 million.
| Total Current Assets | 38.61M | 68.44M | 125.42K | 499.71K | 42.08K |
| Cash & Short-Term Investments | 664.43K | 947 | 2.33M | 89.39K | 42.08K |
| Cash Only | 664.43K | 952.28K | 2.33M | 89.39K | 42.08K |
| Short-Term Investments | 0 | 0 | 0 | 0 | 0 |
| Accounts Receivable | 11.88M | 24.7M | 35.71M | 27.18M | 0 |
| Days Sales Outstanding | 43.17 | 24.47 | 32.87 | 49.89 | - |
| Inventory | 8.84M | 26.01M | 47.92M | 50.39M | 0 |
| Days Inventory Outstanding | 38 | 25.36 | 43.97 | 96.33 | - |
| Other Current Assets | 17.23M | 16.5M | -87.8M | -77.69M | 0 |
| Total Non-Current Assets | 73.74M | 75.45M | 30.29M | 200.01M | 225.63K |
| Property, Plant & Equipment | 63.78M | 65.55M | 64.56M | 55.95M | 0 |
| Fixed Asset Turnover | 2.87x | 5.62x | 6.14x | 3.55x | - |
| Goodwill | 876.73K | 871.17K | 0 | 2.54M | 0 |
| Intangible Assets | 2.73M | 2.45M | 2.94M | 562.07K | 0 |
| Long-Term Investments | 80.5M | 5.87M | 30.29M | 200.01M | 0 |
| Other Non-Current Assets | 923.27K | 711K | -67.49M | -59.05M | 225.63K |
| Total Assets | 112.35M | 143.89M | 30.42M | 200.51M | 267.71K |
| Asset Turnover | 1.65x | 2.56x | 13.03x | 0.99x | - |
| Asset Growth % | 115.83% | 373.02% | -84.83% | 74798.89% | - |
| Total Current Liabilities | 166.37M | 153.85M | 1.25M | 100.39M | 236.81K |
| Accounts Payable | 51.79M | 53.1M | 47.4M | 34.84M | 0 |
| Days Payables Outstanding | 99.16 | 51.78 | 43.49 | 66.6 | - |
| Short-Term Debt | 71.1M | 79.09M | 76.5M | 47.05M | 83K |
| Deferred Revenue (Current) | 24.03M | 8.68M | 2.67M | 588.74K | 0 |
| Other Current Liabilities | 26.66M | 4.6M | -135.81M | 8.85M | 153.81K |
| Current Ratio | 0.23x | 0.44x | 0.10x | 0.00x | 0.18x |
| Quick Ratio | 0.18x | 0.28x | -38.37x | -0.50x | 0.18x |
| Cash Conversion Cycle | -17.99 | -1.95 | 33.35 | 79.62 | - |
| Total Non-Current Liabilities | 61.19M | 36.3M | 37.1M | 185.76K | 0 |
| Long-Term Debt | 25.68M | 186.1K | 577.52K | 1.03M | 0 |
| Capital Lease Obligations | 105.86M | 35.86M | 36.53M | 34.88M | 0 |
| Deferred Tax Liabilities | 1.91M | 247.07K | 0 | 78.68K | 0 |
| Other Non-Current Liabilities | 0 | 0 | 0 | 185.76K | 0 |
| Total Liabilities | 227.56M | 190.15M | 1.31M | 652.18K | 236.81K |
| Total Debt | 133.84M | 117.51M | 115.61M | 84.65M | 83K |
| Net Debt | 133.18M | 116.55M | 113.28M | 84.56M | 40.92K |
| Debt / Equity | -1.16x | - | 3.97x | 0.42x | 2.69x |
| Debt / EBITDA | -4.08x | - | - | - | - |
| Net Debt / EBITDA | -4.06x | - | - | - | - |
| Interest Coverage | -12.39x | -5.46x | -7.32x | -1.81x | - |
| Total Equity | -115.21M | -46.26M | 29.11M | 199.86M | 30.9K |
| Equity Growth % | -554.41% | -258.93% | -85.44% | 646755.35% | - |
| Book Value per Share | -13.98 | -5.38 | 1.17 | 7.80 | 0.00 |
| Total Shareholders' Equity | -115.21M | -46.26M | 29.11M | 32.18M | 30.9K |
| Common Stock | 24.74M | 781 | 775 | 722 | 642 |
| Retained Earnings | -140.29M | -103.88M | -50.57M | -5.08M | -1.02K |
| Treasury Stock | 0 | 0 | 0 | 0 | 0 |
| Accumulated OCI | 340.56K | 167.72K | 47.94K | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 |
Imminent liquidity shortfall
As reported in recent financial filings, ABVE's total equity has deteriorated into a significant deficit of $115.2 million by 2024Q2, reflecting a consistent pattern of capital erosion that suggests the company's current business model is failing to generate the necessary returns to sustain its asset base.
The rapid shift from positive equity in early 2023 to a deep deficit indicates that cumulative losses are outpacing the company's ability to raise or retain capital. This trajectory suggests that the firm is consuming its own value, which warrants extreme caution regarding the long-term viability of its current operational structure.
Based on 2024Q2 financial data, ABVE carries $133.8 million in total debt against a total asset base of only $112.4 million, indicating a highly leveraged position that leaves the company with virtually no margin for error in its debt service obligations or operational performance.
The reliance on debt to fund operations while maintaining negative margins suggests that the company is effectively borrowing to cover ongoing losses rather than investing in growth. Investors should monitor the sustainability of this debt load, as the current capital structure appears increasingly unsustainable without significant external intervention.
According to the latest balance sheet, ABVE maintains a current ratio of just 0.23 as of 2024Q2, with cash reserves of only $664,400, highlighting an acute liquidity crisis that leaves the company dangerously exposed to even minor operational disruptions or unexpected cash outflows.
A current ratio well below 1.0 indicates that the company lacks the liquid assets necessary to cover its short-term liabilities, suggesting a high risk of insolvency. This liquidity position appears insufficient to support the company's scale of operations, making it highly vulnerable to credit market volatility.
Financial statements reveal that the company's net PPE of $63.8 million represents the bulk of its assets, yet the persistent negative gross margins suggest these facilities may be significantly overvalued or underutilized, potentially necessitating future impairment charges that would further weaken the already distressed balance sheet.
The concentration of value in fixed assets during a period of negative profitability suggests that the company's infrastructure may not be generating the throughput required to justify its carrying value. This discrepancy between asset book value and operational performance warrants further investigation into potential asset impairment risks.
Quick answers to the most common questions about buying ABVE stock.
As of 2023, Above Food Ingredients Inc. (ABVE) had total assets of $143.9M including $68.4M in current assets.
Above Food Ingredients Inc. (ABVE) carries total debt of $117.5M, offset by $0.0M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
Above Food Ingredients Inc. (ABVE) has total shareholders' equity (book value) of $-46.3M ($-5.38 book value per share). Book value represents the net worth of the company belonging to common stock holders.
Above Food Ingredients Inc. (ABVE) reported a current ratio of 0.44x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.