A good measure of liquidity for any company is the value of its current working capital, which is calculated by subtracting current liabilities from current assets. This measures the level of short-term capital that is available to pay off all of a firm’s current obligations. The companies on our list today have negative working capital, meaning if these entities are unable to meet current capital needs external funding must be sought.
Spartan Energy Corp. (TSX: SPE) – $3.00
Oil & Gas Exploration and Production
Spartan Energy Corp. (Spartan), formerly Alexander Energy Ltd., is a Canada-based company engaged in the exploration and production of crude oil and natural gas. The Company is focused on light and medium oil opportunities in Saskatchewan and Alberta, growing through development and exploration drilling. The Company has an average 90% working interest in 18,990 acres of mineral rights at its Alexander property. The Southeast Saskatchewan properties are located in the conventional Mississippian subcrop trends. The Dodsland property includes approximately 11,161 gross (9,734 net) acres of land targeting the Viking formation.
- Market Cap: $821,142,132
- Revenues (LTM): $171,749,000
- Working Capital (LFQ): -$96,069,000
- Cash and Short Term Securities (LFQ): $186,000
Kicking Horse Energy Inc. (TSXV: KCK) – $3.66
Oil & Gas Exploration and Production
Kicking Horse Energy Inc. (Kicking Horse) is a Canada-based oil and gas company with an exploration and development property at East Kakwa, Alberta. In addition, the Company has drilling operations at the 08-11-063-6W6 well in East Kakwa.
- Market Cap: $220,309,105
- Revenues (LTM): $8,931,870
- Working Capital (LFQ): -$43,765,000
- Cash and Short Term Securities (LFQ): $0
Imperial Equities Inc. (TSXV: IEI) – $4.51
Drug Retailers
Imperial Equities Inc. (Imperial) is a Canada-based company engaged in development and redevelopment of commercial and industrial properties primarily in Edmonton and throughout Alberta. The Company operates in two business segments: pharmaceutical and real estate. The Company’s investments include properties with untapped potential, which the Company then renovates and improves the investment to maximize its value and ultimately its financial return. The Company holds a growing supply of banked land in traffic industrial corridors, which has been earmarked for build-to-suit opportunities. Imperial also distributes pharmaceutical products to the institutional and retail customers through its wholly-owned subsidiary, Imperial Distributors Canada Inc.
- Market Cap: $43,848,738
- Revenues (LTM): $71,030,700
- Working Capital (LFQ): -$22,621,130
- Cash and Short Term Securities (LFQ): $194,860
Cargojet Inc. (TSX: CJT) – $26.70
Air Freight & Courier Services
Cargojet Inc. (Cargojet) is a Canada-based company that provides air cargo service. The Company’s network consolidates cargo received from over 400 customers and carries over 750,000 pounds of cargo each business night across North America’s network. Cargojet operates an international route between Newark, New Jersey, USA and Hamilton, Bermuda. This provides a five-day per week air cargo service for customers and is patterned after the domestic business that Cargojet has built in Canada. The Company also provides and operates dedicated aircraft on an ACMI basis. The Company offers a charter service, in the daytime and on weekends. The charter business targets livestock shipments, military equipment, emergency relief supplies and other large shipments requiring delivery across North America, to the Caribbean and to Europe.
- Market Cap: $251,173,307
- Revenues (LTM): $202,760,480
- Working Capital (LFQ): -$10,208,680
- Cash and Short Term Securities (LFQ): $264,190
StorageVault Canada Inc. (TSXV: SVI) – $0.56
Highways & Rail Tracks
StorageVault Canada Inc. is a Canada-based company, which owns and operates storage facilities. The Company’s storage facilities include portable units for portable storage (PUPS) system. StorageVault provides both fixed (mini-storage) and portable self?storage. Through its Canadian Master Franchise agreement with Canadian PUPS Franchises Inc., the Corporation provides portable storage services. Fixed storage facilities also provide uncovered, outdoor parking spaces for boats, cars and recreational vehicles.
- Market Cap: $37,430,890
- Revenues (LTM): $5,247,730
- Working Capital (LFQ): -$5,914,090
- Cash and Short Term Securities (LFQ): $344,320
