PCT Ltd (PCTL)

[Evaluate]

If they have a daily 10,000 gallon capacity, I would assume that they generally produce and ship less than this on most days. Simply, running manufacture capacity at 100% means your missing out on sales and not keeping up with demand. You have to have reserve capacity for big orders etc. So, I would assume some fraction of 10,000 gallons is sold on most days.

Possibly.

Do you think this is a realistic scenario?

Instead of manufacturing an average of 10,000 gallons daily (= "capacity"), they run an average of 2,500 gallons daily?

2,500 gallons/day
x $8/Gallon

Equals $20,000/day

Per year (exclude weekends/holidays & equipment maintenance):
say 200 days/year

200 x $20,000/day = $4 Million/Year

(which is the same amount as what Gary mentioned in recent podcast as a minimum expected level of annual sales).