PEB - Pacific Edge Ltd

[Hectorplains]

Run for your lives - the sky is falling!

Awesome rebuttal that, eh! Reduced the debate to but a cliche. Paradoxically, it's one that best applies to both PEB's share price and how the company remains an ongoing concern.

[Carpenterjoe]

Below is a portion of someones post on a Patient Cancer Forum, I have been noticing more posts regarding the use of Cxbladder. I would not take the below as fact, just a patients experience.

PacificEdge is the company that offers the test and they have an office in PA. They will file & appeal the insurance on your behalf and have an assistance program based on income. You will be told up front what the maximum exposure is which I think can range from $100-500 and is only due in the event the insurance company does not pay. I believe it is now covered my Medicare.


This is another persons experience from two weeks ago.

I'm a believer! Diagnosed with TaG1 nonmuscle-invasive end of 2012. Then several TURBTs and BCGs and Cystoscopy. Started CxBladder molecular tests June 2015 all showing 'low' scores, but May of 2016 had one 'high' CxBladder test result. Sure enough, cystoscopy indicated a single 3cm tumor recurrence.

After TURBT and BCGs again, restarted CxBladder tests Feb. 2017 which have been very 'low' past two years. My urologist also believes in this test. A simple urine sample is certainly much easier than a cystoscopy! I'm 78.

The mystery is that Medicare still refuses to pay for these tests, yet I am never charged by "Pacific Edge Diagnostics USA". From what I know this is a generally accurate test. It has been for me. I am continuing with the test every 4 or 5 months. So far so good. I don't think my urologist is paid for his time handling CxBladder samples. But I'm not making waves, I'm happy, if you call cancer problems happy.

[Balance]

The mystery is that Medicare still refuses to pay for these tests, yet I am never charged by "Pacific Edge Diagnostics USA". From what I know this is a generally accurate test. It has been for me. I am continuing with the test every 4 or 5 months. So far so good. I don't think my urologist is paid for his time handling CxBladder samples. But I'm not making waves, I'm happy, if you call cancer problems happy.

Mystery?

Nothing mysterious about how PEB has attempted to commercialize CxBladder in the US with the 'cart in front of the horse' approach!

We all know about the accounting 'sales' which proved to be non-sales, the receivables which had to be written off and of course, the tens of millions of dollars squandered on salaries etc as PEB peddled its 'Unauthorised' & 'Unapproved' test all over the freaking US!

And resorted to 'free' tests, test programs etc etc.

And there are those who still believe in the board and management of this company to deliver!

Where's Kaiser btw?

[pg0220]

Mystery?
We all know about the accounting 'sales' which proved to be non-sales, the receivables which had to be written off and of course, the tens of millions of dollars squandered on salaries etc as PEB peddled its 'Unauthorised' & 'Unapproved' test all over the freaking US!

Not a holder, not even interested in buying into PEB, but wow sales that turned out to be non-sales and had to be written off?! I read about this ASX company BIG and it was talking about the similar stuff, sales recorded when there was no real agreement to be sales from customers. It was in the end delisted leaving a lot of investors hopeless. Sorry, as a non-holder, I shouldn't have really given a care but it just didn't sound good at all! Maybe there have been more than that, would be interesting to find that out.

[kiwidollabill]

I'd love to see a timeline of the non-sales, bet it increases close to the end of the HY/FY. 'Channel Stuffing' is a common technique by those less-than-honest in the pharma/health industry.

[Balance]

Not a holder, not even interested in buying into PEB, but wow sales that turned out to be non-sales and had to be written off?! I read about this ASX company BIG and it was talking about the similar stuff, sales recorded when there was no real agreement to be sales from customers. It was in the end delisted leaving a lot of investors hopeless. Sorry, as a non-holder, I shouldn't have really given a care but it just didn't sound good at all! Maybe there have been more than that, would be interesting to find that out.

Well, PEB was recording tests carried out in the US (under test programs, trials etc) right until 30 September 2017 as 'sales' and booking said 'sales' to receivables in their books.

There were some of us who did NOT fall for their accounting practice as their receivables were increasing faster than their increase in sales!

For example, sales to 31 March 2017 were reported to be $8.1m (wow! 62% increase on 2016) and receivables increased to $6.5m.

Then, PEB changed their accounting practice in 2018 to recognize sales on a 'cash' basis under NZ IFRS 15 and had to restate their accounts :

Sales in 2017 were reduced down to $3.2m (down 60%) and get this, receivables down to $663k (down 90% !!!!!!!!).

Why? Because IFRS 15 requires one of the key conditions of contracts to be ENFORCEMENT between 2 parties before sales can be recognized!

https://www.bdo.nz/getmedia/07649d5f...RS-15.pdf.aspx

What does that say about the so-called tests PEB had been carrying out in the US?

In some industry, it is called freebies - test samples. But not according to PEB obviously.

[pg0220]

Well, PEB was recording tests carried out in the US (under test programs, trials etc) right until 30 September 2017 as 'sales' and booking said 'sales' to receivables in their books.

There were some of us who did fall for their accounting practice as their receivables were increasing faster than their sales!

For example, sales to 31 March 2017 were reported to be $8.1m (wow! 62% increase on 2016) and receivables increased to $6.5m.

Then, PEB changed their accounting practice in 2018 to recognize sales on a 'cash' basis under NZ IFRS 15 and had to restate their accounts :

Sales in 2017 were reduced down to $3.2m (down 60%) and get this, receivables down to $663k (down 90% !!!!!!!!).

Why? Because IFRS 15 requires contracts to be ENFORCEMENT between 2 parties before sales can be recognized!

https://www.bdo.nz/getmedia/07649d5f...RS-15.pdf.aspx

What a crock of ......

Thanks mate, holy.....very interesting, yet disgusting story. I am just so amazed that there are still people hanging onto this company with all this deceptive practice done by them.....

[Balance]

Thanks mate, holy.....very interesting, yet disgusting story. I am just so amazed that there are still people hanging onto this company with all this deceptive practice done by them.....

You are new so you have no idea how much abuse some of us were subject to for highlighting the unsustainable and dodgy way that the receivables were piling up against the 'sales'! One poster even went as far as to accuse us of attempting to sabotage PEB (a great Kiwi story!) to benefit their competitors, or to facilitate a takeover on the cheap by them! Yet another wrote that PEB did not do 'free' tests in the US - on good authority!

Guess the institutions and their lemon-sucking fund managers who underwrote the last 4 rights issue don't have much of a choice - they have put in too much money, so donkey deep and they have to hope the company is going to deliver. What else can they do?

[BlackPeter]

Don't follow this stock anymore - but just came in an unrelated search across this fine piece of Edison analysis:

https://www.edisoninvestmentresearch...ID=12799&LANG=

Thought it might be interesting for long term shareholders - a memory of the good old days (2014)? Just wondering how long this edge really is?

Just kidding - I don't.

[blackcap]

Don't follow this stock anymore - but just came in an unrelated search across this fine piece of Edison analysis:

https://www.edisoninvestmentresearch...ID=12799&LANG=

Thought it might be interesting for long term shareholders - a memory of the good old days (2014)? Just wondering how long this edge really is?

Just kidding - I don't.

Pacific Edge (PEB). We expect meaningful sales from
Cxbladderdetect in calendar 2015 and positive cash flow for the company in
calendar 2016.

That aged well.