Plug Power Inc (PLUG)

[racman]

If they stay at the 50/50 pace as AM said in the cc we might only see $75M in cash installs/service and $75M in value of leased equipment installs. The leased equipment becomes a plug asset and can be depreciated over time and/or sold ( not sure who that would be except the customer). Something in our favor I guess. My concern is the expense to manufacture the leased equipment. They are borrowing the money to cover that expense, are they bringing in enough monthly $'s to cover principle and interest payments? There is a safe business ratio that companies use between cash sales/payment to leased value bookings. Again it's the expense to manufacture that the company must cover in order to retain as an asset. According to the 10q they lost money on the ppa's for q1 16. $2706000 in vs 2881000 out. Time will tell how all this will work out. But makes me nervous relative to the cost to revenue ratio.
The other thing, they are still losing money on fuel deliveries. They lost $400K!!! This should be a no brainer profit stream for them unless they are "throwing the baby out with the soapy water" just to close a sale.
Sign me a long but frustrated investor.