Capstone Companies Inc (CAPC)

[flptrnkng]

They have $1.2M through 6 months

And $2.9M in stated backlog at June 30th.

Their Sterling financing limit was around $900K at June 30th. (85% of A/R and 50% of Inventory). They owed Sterling about $360K as of June 30th.

They need $9.8M in revenue in the second half of the year to hit their target. At 30% gross margin, that's $6.9M worth of stuff they have to finance somehow.

It doesn't add up in my view.

Regards