Business
Xebec Presents Three-Year Strategic Plan to Power Its Growth in Sustainable Gases
Xebec Presents Three-Year Strategic Plan to Power Its Growth in Sustainable Gases.
About this update from Xebec Adsorption Inc.
[{"type":"text","content":"\nXebec Adsorption Inc. (TSX: XBC) (“Xebec”), a global provider of sustainable gas technologies, is pleased to announce today its three-year strategic plan to power its growth in sustainable gases. The plan is being presented today at Xebec’s first investor day in Denver, CO and is expected to position the company to target approximately CAD$300–$350 million in revenues and an adjusted EBITDA margin (non-IFRS)1 of approximately 8%–10% in its fiscal year ended December 31, 2024 (“FY2024”). By executing on its strategy, Xebec plans to become a global powerhouse in the field of more environmentally friendly gases for energy, mobility and industry.\n\nKey Strategy Highlights\n\n\nCapitalizing on large addressable markets in renewable natural gas (USD$42 billion2), carbon capture & sequestration (USD$27 billion3) and the upcoming hydrogen economy (USD$2.5 trillion4)\n\n\nAdding U.S. renewable natural gas manufacturing and sales base with a focus on small-scale agriculture applications and paired with a significant ramp up in annual Biostream production run rate (from 4 units in 2020 to over 100 units targeted in FY2024)\n\n\nGoing global with hydrogen business supported by target industrial customers as demand from the hydrogen mobility sector ramps up and further accelerated with a target of 20–25 decentralized hydrogen production hubs by FY2024\n\n\nExpanding our Pressure Swing Adsorption (“PSA”) and compression technologies for Carbon Capture Utilization and Storage (“CCUS”) to reduce the carbon intensity of both our Cleantech Systems and to enter new markets in CO2 source capture and transportation\n\n\nIntroducing XBC Flow Services as a unified brand to encompass the U.S. Cleantech Service Network, industrial product sales & distribution, and targeting CAD$150+ million in global segment revenues by FY2024\n\n\nBuilding on strong partnerships in North America and China to support OEM growth and create long-term value\n\n\nInvest in new clean technologies to help drive new business models by our fiscal year ended December 31, 2025 and beyond with a target of 2%–3% per year of revenues earmarked for R&D until FY2024\n\n\nFinancial goals of CAD$300–$350 million in revenues and adjusted EBITDA margin (non-IFRS) of 8%–10% in FY2024, r...