MeritValue

Edesa Biotech, Inc.

EDSAdata completeness 63%13 fiscal years on file

Data notes: no data for concept 'totalDebt'; no data for concept 'interestExpense'

The thesis, from the filings

Edesa Biotech, Inc. earns about -409% on invested capital, and has bought back 57% 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$01————
Net income−$13.3M2−$17.5M3−$8.37M4−$6.17M5−$7.19M5
Operating cash flow−$13.7M6−$12.3M7−$6.64M8−$4.89M9−$7.32M9
Capital expenditure$6,14610$5,65611$011——
Free cash flow (derived)−$13.7M6−$12.3M7−$6.64M8——
Total debt—————
Cash & equivalents$7.84M12$7.09M12$5.4M13$1M14$10.8M15
Diluted shares13.3M2.4M2.9M3.2M5.7M

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
$21.94
your share of equity
Profit it earned you last year
−$12.66
Free cash flow it threw off
—
Debt you’d be carrying
—

10 shares is a claim on $21.94 of net worth that earned you −$12.66 last year.

iii. Is this a good business?
Moat signal · return on invested capital
-409% avg · 5y
FY21 -202%FY22 -603%FY23 -401%FY24 -497%FY25 -344%

It earned an average -409% 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
−57% shares · 5y

Share count is down 57% 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 2021-09-30 · accession 0001654954-21-013551 (Revenues)
  2. 10-K · period ending 2021-09-30 · accession 0001654954-22-016633 (NetIncomeLoss)
  3. 10-K · period ending 2022-09-30 · accession 0001654954-23-015632 (NetIncomeLoss)
  4. 10-K · period ending 2023-09-30 · accession 0001171843-24-006946 (NetIncomeLoss)
  5. 10-K · period ending 2024-09-30 · accession 0001171843-25-007914 (NetIncomeLoss)
  6. 10-K · period ending 2021-09-30 · accession 0001654954-22-016633 (NetCashProvidedByUsedInOperatingActivities)
  7. 10-K · period ending 2022-09-30 · accession 0001654954-23-015632 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2023-09-30 · accession 0001171843-24-006946 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2024-09-30 · accession 0001171843-25-007914 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-09-30 · accession 0001654954-22-016633 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-09-30 · accession 0001654954-23-015632 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2021-09-30 · accession 0001654954-22-016633 (CashAndCashEquivalentsAtCarryingValue)
  13. 10-K · period ending 2023-09-30 · accession 0001654954-23-015632 (CashAndCashEquivalentsAtCarryingValue)
  14. 10-K · period ending 2024-09-30 · accession 0001171843-24-006946 (CashAndCashEquivalentsAtCarryingValue)
  15. 10-K · period ending 2025-09-30 · accession 0001171843-25-007914 (CashAndCashEquivalentsAtCarryingValue)