MeritValue

ChronoScale Holdings Corp

CHRNdata completeness 100%17 fiscal years on file

Data notes: no data for concept 'investmentsAtFairValue'; no data for concept 'netInvestmentIncome'; no data for concept 'gainsOnRealEstateSales'; no data for concept 'dividendsPaid'

The thesis, from the filings

ChronoScale Holdings Corp earns about -122% on invested capital, but has diluted owners by 900% over 5 years — worth asking whether the growth reaches owners. 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 2023FY 2024FY 2025FY 2025FY 2026
Revenue$18.3M1$17.9M2$84.4M3$12.8M2$71.6M3
Net income−$15.2M4−$11.3M5−$72.7M6−$11.7M5−$50.3M6
Operating cash flow−$12.1M7−$9.85M8−$7.22M9−$11.8M8$39.1M9
Capital expenditure$157,00010$37,00011$1.38M12$188,00011$26.9M12
Free cash flow (derived)−$12.2M7−$9.88M8−$8.6M9−$12M8$12.2M9
Total debt——$12M13—$3.84M13
Cash & equivalents$8.64M14$4.49M15$2.4M16$1.17M15$9.66M16
Diluted shares13.9M20.2M138.2M2.4M138.7M

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
$12.98
your share of equity
Profit it earned you last year
−$3.63
Free cash flow it threw off
$0.88
Debt you’d be carrying
$0.28

10 shares is a claim on $12.98 of net worth that earned you −$3.63 and generated $0.88 of cash last year, against $0.28 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-122% avg · 5y
FY23 -297%FY24 -109%FY25 -67%FY25 -118%FY26 -22%

It earned an average -122% 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
+900% shares · 5y

Share count is up 900% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has fallen 68% — deleveraging.

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 v0.5.0
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 2023-12-31 · accession 0001437749-25-005913 (RevenueFromContractWithCustomerIncludingAssessedTax)
  2. 10-K · period ending 2024-12-31 · accession 0001437749-26-005086 (RevenueFromContractWithCustomerIncludingAssessedTax)
  3. 10-K · period ending 2025-05-31 · accession 0001628280-26-058018 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2023-12-31 · accession 0001437749-25-005913 (NetIncomeLoss)
  5. 10-K · period ending 2024-12-31 · accession 0001437749-26-005086 (NetIncomeLoss)
  6. 10-K · period ending 2025-05-31 · accession 0001628280-26-058018 (NetIncomeLoss)
  7. 10-K · period ending 2023-12-31 · accession 0001437749-25-005913 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2024-12-31 · accession 0001437749-26-005086 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2025-05-31 · accession 0001628280-26-058018 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2023-12-31 · accession 0001437749-25-005913 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2024-12-31 · accession 0001437749-26-005086 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2025-05-31 · accession 0001628280-26-058018 (PaymentsToAcquireProductiveAssets)
  13. 10-K · period ending 2025-05-31 · accession 0001628280-26-058018 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2023-12-31 · accession 0001437749-25-005913 (CashAndCashEquivalentsAtCarryingValue)
  15. 10-K · period ending 2024-12-31 · accession 0001437749-26-005086 (CashAndCashEquivalentsAtCarryingValue)
  16. 10-K · period ending 2025-05-31 · accession 0001628280-26-058018 (CashAndCashEquivalentsAtCarryingValue)