MeritValue

BIO KEY INTERNATIONAL INC

BKYIdata completeness 88%16 fiscal years on file
The thesis, from the filings

BIO KEY INTERNATIONAL INC earns about -251% on invested capital, and has bought back 91% of its shares over 5 years. The cash-flow models don't apply cleanly here — the ledger says why below.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$5.11M1$7.02M2$7.75M3$6.93M4$5.94M4
Net income−$5.07M5−$11.9M6−$8.52M7−$4.3M8−$7.16M8
Operating cash flow−$8.98M9−$6.23M10−$3.79M11−$2.91M12−$4.67M12
Capital expenditure$42,02413$82,04014$1,00015$13,04716$12,01216
Free cash flow (derived)−$9.02M9−$6.31M10−$3.79M11−$2.93M12−$4.68M12
Total debt$017$3.04M18$327,51719$44,76219—
Cash & equivalents$7.75M20$2.64M21$511,40022$437,60423$2.69M23
Diluted shares7.8M436,821560,278205,977664,770

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$76.82
your share of equity
Profit it earned you last year
−$107.68
Free cash flow it threw off
−$70.41
Debt you’d be carrying
—

10 shares is a claim on $76.82 of net worth that earned you −$107.68 and generated −$70.41 of cash last year.

iii. Is this a good business?
Moat signal · return on invested capital
-251% avg · 5y
FY21 0%FY22 -165%FY23 -758%FY24 -101%FY25 -234%

It earned an average -251% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
−91% shares · 5y

Share count is down 91% over 5 years — management has been buying back stock, quietly handing owners a bigger slice.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001437749-23-016374 (RevenueFromContractWithCustomerIncludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001437749-24-019357 (RevenueFromContractWithCustomerIncludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001437749-25-012824 (RevenueFromContractWithCustomerIncludingAssessedTax)
  4. 10-K · period ending 2024-12-31 · accession 0001437749-26-020446 (RevenueFromContractWithCustomerIncludingAssessedTax)
  5. 10-K · period ending 2021-12-31 · accession 0001437749-23-016374 (NetIncomeLoss)
  6. 10-K · period ending 2022-12-31 · accession 0001437749-24-019357 (NetIncomeLoss)
  7. 10-K · period ending 2023-12-31 · accession 0001437749-25-012824 (NetIncomeLoss)
  8. 10-K · period ending 2024-12-31 · accession 0001437749-26-020446 (NetIncomeLoss)
  9. 10-K · period ending 2021-12-31 · accession 0001437749-23-016374 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-12-31 · accession 0001437749-24-019357 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2023-12-31 · accession 0001437749-25-012824 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2024-12-31 · accession 0001437749-26-020446 (NetCashProvidedByUsedInOperatingActivities)
  13. 10-K · period ending 2021-12-31 · accession 0001437749-23-016374 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2022-12-31 · accession 0001437749-24-019357 (PaymentsToAcquirePropertyPlantAndEquipment)
  15. 10-K · period ending 2023-12-31 · accession 0001437749-25-012824 (PaymentsToAcquirePropertyPlantAndEquipment)
  16. 10-K · period ending 2024-12-31 · accession 0001437749-26-020446 (PaymentsToAcquirePropertyPlantAndEquipment)
  17. 10-K · period ending 2021-12-31 · accession 0001437749-23-016374 (LongTermDebtNoncurrent)
  18. 10-K · period ending 2022-12-31 · accession 0001437749-24-019357 (LongTermDebtNoncurrent)
  19. 10-K · period ending 2023-12-31 · accession 0001437749-25-012824 (LongTermDebtNoncurrent)
  20. 10-K · period ending 2021-12-31 · accession 0001437749-23-016374 (CashAndCashEquivalentsAtCarryingValue)
  21. 10-K · period ending 2022-12-31 · accession 0001437749-24-019357 (CashAndCashEquivalentsAtCarryingValue)
  22. 10-K · period ending 2023-12-31 · accession 0001437749-25-012824 (CashAndCashEquivalentsAtCarryingValue)
  23. 10-K · period ending 2024-12-31 · accession 0001437749-26-020446 (CashAndCashEquivalentsAtCarryingValue)