MeritValue

KBS Real Estate Investment Trust III, Inc.

KBSRdata completeness 100%15 fiscal years on file

Data notes: no data for concept 'incomeTaxExpense'; no data for concept 'pretaxIncome'

The thesis, from the filings

KBS Real Estate Investment Trust III, Inc. earns about -20% on equity, and has bought back 14% 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$16.6M1$18.1M2$18.7M3$18.2M3$16.6M3
Net income$143.7M4−$62.5M5−$157.5M6−$10.9M6−$78.8M6
Operating cash flow$100.8M7$76M8$41.6M9$7.65M9−$6.08M9
Capital expenditure$70.1M10$121.6M11$81.2M12$34.5M12$24.8M12
Free cash flow (derived)$30.7M7−$45.6M8−$39.6M9−$26.8M9−$30.8M9
Total debt$1.47B13$1.67B14$1.74B15$1.44B16$1.28B16
Cash & equivalents$44.4M17$47.8M18$36.8M19$30.5M20$23.7M20
Diluted shares172.3M149.2M148.7M148.5M148.5M

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
$11.97
your share of equity
Profit it earned you last year
−$5.3
Free cash flow it threw off
−$2.08
Debt you’d be carrying
$86.36

10 shares is a claim on $11.97 of net worth that earned you −$5.3 and generated −$2.08 of cash last year, against $86.36 of debt.

iii. Is this a good business?
Moat signal · return on equity
-20% avg · 5y
FY21 23%FY22 -15%FY23 -59%FY24 -4%FY25 -44%

It earned an average -20% on equity over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
−14% shares · 5y

Share count is down 14% over 5 years — management has been buying back stock, quietly handing owners a bigger slice. Total debt has fallen 12% — 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
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 0001482430-24-000025 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001482430-25-000021 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001482430-26-000014 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0001482430-24-000025 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0001482430-25-000021 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001482430-26-000014 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001482430-24-000025 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0001482430-25-000021 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001482430-26-000014 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0001482430-24-000025 (PaymentsForCapitalImprovements)
  11. 10-K · period ending 2022-12-31 · accession 0001482430-25-000021 (PaymentsForCapitalImprovements)
  12. 10-K · period ending 2023-12-31 · accession 0001482430-26-000014 (PaymentsForCapitalImprovements)
  13. 10-K · period ending 2021-12-31 · accession 0001482430-23-000016 (LongTermDebt)
  14. 10-K · period ending 2022-12-31 · accession 0001482430-24-000025 (LongTermDebt)
  15. 10-K · period ending 2023-12-31 · accession 0001482430-25-000021 (LongTermDebt)
  16. 10-K · period ending 2024-12-31 · accession 0001482430-26-000014 (LongTermDebt)
  17. 10-K · period ending 2021-12-31 · accession 0001482430-23-000016 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0001482430-24-000025 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0001482430-25-000021 (CashAndCashEquivalentsAtCarryingValue)
  20. 10-K · period ending 2024-12-31 · accession 0001482430-26-000014 (CashAndCashEquivalentsAtCarryingValue)