MeritValue

Iterum Therapeutics plc

ITRMFdata completeness 88%9 fiscal years on file

Data notes: no data for concept 'interestExpense'

The thesis, from the filings

Iterum Therapeutics plc earns about -320% on invested capital, but has diluted owners by 1131% 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 2020FY 2021FY 2022FY 2023FY 2024
Revenue$01$01———
Net income−$52M2−$91.6M3−$44.4M4−$38.4M4−$24.8M4
Operating cash flow−$54.5M5−$15.8M6−$18.5M7−$39.3M7−$26.8M7
Capital expenditure$11,0008$61,0009$62,00010$13,00010$2,00010
Free cash flow (derived)−$54.5M5−$15.9M6−$18.5M7−$39.3M7−$26.8M7
Total debt$28.8M11$8.56M12$22.8M13$22.7M13$31.2M14
Cash & equivalents$14.5M15$27.4M16$21.1M17$6.07M18$24.1M18
Diluted shares1.6M10.9M12.2M13.0M19.7M

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
−$2.07
your share of equity
Profit it earned you last year
−$12.58
Free cash flow it threw off
−$13.59
Debt you’d be carrying
$15.85

10 shares is a claim on −$2.07 of net worth that earned you −$12.58 and generated −$13.59 of cash last year, against $15.85 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-320% avg · 5y
FY20 —FY21 -229%FY22 -117%FY23 -292%FY24 -643%

It earned an average -320% 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
+1131% shares · 5y

Share count is up 1131% over 5 years — owners have been diluted. Worth asking what they got for it. 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 v0.1.0
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 2020-12-31 · accession 0001564590-22-011897 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2020-12-31 · accession 0000950170-23-008300 (NetIncomeLoss)
  3. 10-K · period ending 2021-12-31 · accession 0000950170-24-037615 (NetIncomeLoss)
  4. 10-K · period ending 2022-12-31 · accession 0000950170-25-015857 (NetIncomeLoss)
  5. 10-K · period ending 2020-12-31 · accession 0000950170-23-008300 (NetCashProvidedByUsedInOperatingActivities)
  6. 10-K · period ending 2021-12-31 · accession 0000950170-24-037615 (NetCashProvidedByUsedInOperatingActivities)
  7. 10-K · period ending 2022-12-31 · accession 0000950170-25-015857 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2020-12-31 · accession 0000950170-23-008300 (PaymentsToAcquirePropertyPlantAndEquipment)
  9. 10-K · period ending 2021-12-31 · accession 0000950170-24-037615 (PaymentsToAcquirePropertyPlantAndEquipment)
  10. 10-K · period ending 2022-12-31 · accession 0000950170-25-015857 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2020-12-31 · accession 0001564590-22-011897 (LongTermDebtNoncurrent)
  12. 10-K · period ending 2021-12-31 · accession 0000950170-23-008300 (LongTermDebtNoncurrent)
  13. 10-K · period ending 2022-12-31 · accession 0000950170-24-037615 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2024-12-31 · accession 0000950170-25-015857 (LongTermDebt)
  15. 10-K · period ending 2020-12-31 · accession 0001564590-22-011897 (CashAndCashEquivalentsAtCarryingValue)
  16. 10-K · period ending 2021-12-31 · accession 0000950170-23-008300 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2022-12-31 · accession 0000950170-24-037615 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2023-12-31 · accession 0000950170-25-015857 (CashAndCashEquivalentsAtCarryingValue)