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  "documentTitle": "Generac Holdings, Inc. (GNRC)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Ben Axler",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2022-06-22 00:00:00",
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  "notes": "The slide uses red boxes to highlight the discrepancy between sales growth and the ballooning accounts receivable balance.",
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      "kind": "callout",
      "text": "There is clear evidence to suggest revenue inflation through channel stuffing when looking at Pramac’s UK subsidiary filings. Notice that sales increased 27.1% in 2020, yet receivables and payables increased 160% and 143%, respectively. Gross margins also materially contracted by 650bps. As observed elsewhere, the accounts receivable to sales ratio is abnormally high at 59%. Since 2017, its sales have increased 94% with accounts receivables up 444%.",
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      "kind": "callout",
      "text": "Since 2017, its sales have increased 94% with accounts receivables up 444%.",
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      "text": "Accounts Receivable/Sales: 59%",
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      "kind": "source-note",
      "text": "Source: Italy Registry",
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      "text": "Source: Companies House UK and Spruce Point analysis",
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      "text": "PR Industrial Sales To Generac Related Entities table",
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      "text": "Pramac-Generac UK financial performance table",
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      "text": "Pramac (UK): Evidence of Inflated Reporting (Cont'd)",
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