Your analysis is sound. I calculate gross margins based on cashflow rather than income statement. I was trying to make a point why gross margin is no where near the 40% those decentralised units are supposed to sell for, hence I did not show the trend of margins, well here it is, the trend is definitely increasing in the right direction:
Two questions:
1) what is the nature of the revenue regarding those SPS units, for example are the receivables expected to be collected within a 12 months period or longer once they're constructed?
2) why is the backlog decreasing for the last 3 years for SPS units, this is concerning to me
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