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  "documentTitle": "Xylem Inc. (XYL)",
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  "presentationDate": "2023-08-09 00:00:00",
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      "text": "Another former senior Xylem executive warned to be careful of the digital story. We learned that Pure Technologies does not make money and has no path to profitability. Yet, Xylem has only impaired 22% of the goodwill accounted for from the transaction. At the time, Xylem claimed Pure had 16% Adjusted EBITDA margins.",
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      "text": "Another former senior Xylem executive warned to be careful of the digital story. We learned that Pure Technologies does not make money and has no path to profitability.",
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      "text": "\"I think you have to be careful with the digital story. All digital business are not created equal... That's $300-$400m million of revenue that doesn't make money and I don't see how it will in the current model.\" — Former Xylem Executive",
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      "text": "Source: Pure deal announcement, Xylem 2018 10-K, Spruce Point Interview",
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      "text": "Spruce Point Question: \"Can you comment on Xylem's digital sales backlog and if the margins are higher and scalable?\" Former Xylem Executive Response: \"I think you have to be careful with the digital story... That's $300-$400m million of revenue that doesn't make money...\"",
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      "text": "Pure Deal Announcement Shows High EBITDA Margins: \"Pure Technologies reported consolidated revenue of CAD $126 million...\" Goodwill For \"Synergies + Scale\": \"{$261m of} Goodwill arising...\" Only $58m of Goodwill Impaired: \"For example, in 2020 we recorded goodwill impairment charges $58 million...\"",
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