MeritValue

GULF RESOURCES, INC.

GUREdata completeness 100%17 fiscal years on file

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

The thesis, from the filings

GULF RESOURCES, INC. earns about -18% on invested capital, and has bought back 87% 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$55M1$66.1M2$30M3$7.66M3$25.4M4
Net income−$924,7185$10.1M6−$61.8M7−$59.9M7−$43.9M8
Operating cash flow$23.3M9$51.1M10−$32.8M11$675,82611$7.8M12
Capital expenditure$30.1M13$37.6M14—$28.9M15$8.85M16
Free cash flow (derived)−$6.78M9$13.6M10—−$28.2M11−$1.05M12
Total debt————$2.85M17
Cash & equivalents$95.8M18$108.2M19$72.2M19$10.1M19$3,79320
Diluted shares10.5M10.0M1.1M1.1M1.3M

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
$836.32
your share of equity
Profit it earned you last year
−$329.5
Free cash flow it threw off
−$7.84
Debt you’d be carrying
$21.35

10 shares is a claim on $836.32 of net worth that earned you −$329.5 and generated −$7.84 of cash last year, against $21.35 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-18% avg · 5y
FY21 1%FY22 6%FY23 -35%FY24 -35%FY25 -30%

It earned an average -18% 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
−87% shares · 5y

Share count is down 87% over 5 years — management has been buying back stock, quietly handing owners a bigger slice. Total debt has held roughly steady.

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 2021-12-31 · accession 0001193805-23-000424 (Revenues)
  2. 10-K · period ending 2022-12-31 · accession 0001193805-24-001184 (Revenues)
  3. 10-K/A · period ending 2023-12-31 · accession 0001193805-26-001126 (Revenues)
  4. 10-K · period ending 2025-12-31 · accession 0001193805-26-001105 (Revenues)
  5. 10-K · period ending 2021-12-31 · accession 0001193805-23-000424 (NetIncomeLoss)
  6. 10-K · period ending 2022-12-31 · accession 0001193805-24-001184 (NetIncomeLoss)
  7. 10-K/A · period ending 2023-12-31 · accession 0001193805-26-001126 (NetIncomeLoss)
  8. 10-K · period ending 2025-12-31 · accession 0001193805-26-001105 (NetIncomeLoss)
  9. 10-K · period ending 2021-12-31 · accession 0001193805-23-000424 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-12-31 · accession 0001193805-24-001184 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K/A · period ending 2023-12-31 · accession 0001193805-26-001126 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2025-12-31 · accession 0001193805-26-001105 (NetCashProvidedByUsedInOperatingActivities)
  13. 10-K · period ending 2021-12-31 · accession 0001193805-23-000424 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2022-12-31 · accession 0001193805-24-001184 (PaymentsToAcquirePropertyPlantAndEquipment)
  15. 10-K/A · period ending 2024-12-31 · accession 0001193805-26-001126 (PaymentsToAcquirePropertyPlantAndEquipment)
  16. 10-K · period ending 2025-12-31 · accession 0001193805-26-001105 (PaymentsToAcquirePropertyPlantAndEquipment)
  17. 10-K · period ending 2025-12-31 · accession 0001193805-26-001105 (ShortTermBorrowings)
  18. 10-K · period ending 2021-12-31 · accession 0001193805-24-001184 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)
  19. 10-K/A · period ending 2022-12-31 · accession 0001193805-26-001126 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)
  20. 10-K · period ending 2025-12-31 · accession 0001193805-26-001105 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)