XsunX, Inc. (PINK:XSNX) Asked Investor News Source for Some Help

XsunX, Inc. (PINK:XSNX) started off back in 1997 as a mining company. That didn’t really work for them and so, in 2003, they decided to change their name as well as their field of operations and start something altogether different – development of a revolutionary sort of solar photovoltaic panes that are more environmentally friendly, more efficient and cheaper to make compared to the conventional units.

You would agree that introducing this sort of technology, developing it, patenting it, marketing it and selling it at a profit is not easy. If you ask XSNX themselves, they will probably agree but there really is no better proof than their latest financial statement covering the fourth calendar quarter of 2012. Here’s a recap of the most important figures:

• cash: $37 thousand
• current assets: $122 thousand
• current liabilities: $974 thousand
• revenue: $0
• quarterly net loss: $158 thousand

The chart that illustrates the performance of the ticker over the last twelve months is also pretty indicative of their dire financial state, but is there a way out?

Of course there is. It involves building a facility where the solar panels will be manufactured, marketing them and selling them – something that XSNX have been unable to do for the better part of ten years. We’re not sure that $37 thousand will be enough, though. More worryingly, this amount is probably considerably smaller right now.

We cover a fair amount of pumps every day and we always make sure to read through the fine print at the bottom of the emails so that we can find important information like, for example, who is paying for the promotion, how much the compensation is etc. When we read through the disclaimer of the email sent to us by Investor News Source and their affiliated newsletters, we found that XSNX have been quite desperate for some publicity. They rummaged around their pockets, raided the old shoe boxes, dug behind the sofa and managed to raise $7,500 which they gave to Investor News Source as compensation for their awareness campaign.

Some more emails arrived from the HSP Team and while they are disclosing a $2,000 compensation from an unknown third party, we’re somewhat skeptical about the coincidence in the timing of the two (supposedly) separate promotions.

We’re pretty sure that the shareholders have something to say about this. There’s no operations, the share price has been on a downward slope for the last couple of years, the people who trusted them have nothing to go by but uninformative press releases about letters of intent and potential partnerships with potential buyers from the developing countries and amidst all this, XSNX decide that it will be a great idea if they spend around a fifth of their total bank balance on a paid pump. You would probably agree that this is not the best of moves.

Unfortunately, XSNX are well familiar with these sort of practices. If you go through the older emails in our database, you will see that they have paid for previous pumps over the years and it only takes a quick look at the chart in order to find that all these campaigns ended in disaster for the investors who jumped in on the excitement.

We’re struggling to see what will make today’s promotion any different which is why, we would advise you to be extremely careful when making your decision on XSNX.