MeritValue

Elemental Royalty Corp

ELEdata completeness 100%2 fiscal years on file

Data notes: no data for concept 'epsDiluted'

The thesis, from the filings

Elemental Royalty Corp earns about 1% on invested capital, but has diluted owners by 47% over 2 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 2024FY 2025
Revenue$16.3M1$43.6M1
Net income−$364,0002$1.77M2
Operating cash flow$4.82M3$30.8M3
Capital expenditure$04$4,0004
Free cash flow (derived)$4.82M3$30.8M3
Total debt$2.69M5$05
Cash & equivalents$4.45M6$53.1M6
Diluted shares20.4M30.0M

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
$260.35
your share of equity
Profit it earned you last year
$0.59
Free cash flow it threw off
$10.28
Debt you’d be carrying
$0

10 shares is a claim on $260.35 of net worth that earned you $0.59 and generated $10.28 of cash last year, against $0 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
1% avg · 2y
FY24 1%FY25 0%

It earned an average 1% on invested capital over 2 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+47% shares · 2y

Share count is up 47% over 2 years — owners have been diluted. Worth asking what they got for it. Total debt has fallen 100% — 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 v0.1.0
DCF · Growth Exit 10Y
not applicable
only 2 years of FCF (need ≥3) — model not applicable
DCF · Growth Exit 5Y
not applicable
only 2 years of FCF (need ≥3) — model not applicable
Earnings Power Value
not applicable
only 2 years of net income (need ≥3)
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. 40-F · period ending 2024-12-31 · accession 0001628280-26-020856 (Revenue)
  2. 40-F · period ending 2024-12-31 · accession 0001628280-26-020856 (ProfitLoss)
  3. 40-F · period ending 2024-12-31 · accession 0001628280-26-020856 (CashFlowsFromUsedInOperatingActivities)
  4. 40-F · period ending 2024-12-31 · accession 0001628280-26-020856 (PurchaseOfPropertyPlantAndEquipmentClassifiedAsInvestingActivities)
  5. 40-F · period ending 2024-12-31 · accession 0001628280-26-020856 (Borrowings)
  6. 40-F · period ending 2024-12-31 · accession 0001628280-26-020856 (CashAndCashEquivalents)