MeritValue

Kisses From Italy Inc.

KITLdata completeness 88%7 fiscal years on file

Data notes: no data for concept 'totalDebt'

The thesis, from the filings

Kisses From Italy Inc. earns about -19800% on equity, but has diluted owners by 103% 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 2019FY 2020FY 2021FY 2022FY 2023
Revenue$461,2981$514,0382$400,6623$391,4474$225,9534
Net income−$3.08M5−$3.71M6−$4.94M7−$847,3858−$4.87M8
Operating cash flow−$422,8719−$169,98410−$451,59111−$579,14012−$835,05112
Capital expenditure$12,06913$1,13614$1,91015$40,85216$016
Free cash flow (derived)−$434,9409−$171,12010−$453,50111−$619,99212−$835,05112
Total debt—————
Cash & equivalents$26,84117$37,33618$139,48519$324,49320$24,84220
Diluted shares126.6M154.8M168.6M184.9M256.6M

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
−$0.03
your share of equity
Profit it earned you last year
−$0.19
Free cash flow it threw off
−$0.03
Debt you’d be carrying
—

10 shares is a claim on −$0.03 of net worth that earned you −$0.19 and generated −$0.03 of cash last year.

iii. Is this a good business?
Moat signal · return on equity
-19800% avg · 5y
FY19 —FY20 —FY21 -19800%FY22 —FY23 —

It earned an average -19800% 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
+103% shares · 5y

Share count is up 103% over 5 years — owners have been diluted. Worth asking what they got for it.

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 2019-12-31 · accession 0001683168-20-001652 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2020-12-31 · accession 0001683168-22-002682 (Revenues)
  3. 10-K · period ending 2021-12-31 · accession 0001683168-23-002011 (Revenues)
  4. 10-K · period ending 2022-12-31 · accession 0001683168-24-004856 (Revenues)
  5. 10-K · period ending 2019-12-31 · accession 0001683168-21-001432 (NetIncomeLoss)
  6. 10-K · period ending 2020-12-31 · accession 0001683168-22-002682 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0001683168-23-002011 (NetIncomeLoss)
  8. 10-K · period ending 2022-12-31 · accession 0001683168-24-004856 (NetIncomeLoss)
  9. 10-K · period ending 2019-12-31 · accession 0001683168-21-001432 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2020-12-31 · accession 0001683168-22-002682 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2021-12-31 · accession 0001683168-23-002011 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2022-12-31 · accession 0001683168-24-004856 (NetCashProvidedByUsedInOperatingActivities)
  13. 10-K · period ending 2019-12-31 · accession 0001683168-21-001432 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2020-12-31 · accession 0001683168-22-002682 (PaymentsToAcquirePropertyPlantAndEquipment)
  15. 10-K · period ending 2021-12-31 · accession 0001683168-23-002011 (PaymentsToAcquirePropertyPlantAndEquipment)
  16. 10-K · period ending 2022-12-31 · accession 0001683168-24-004856 (PaymentsToAcquirePropertyPlantAndEquipment)
  17. 10-K · period ending 2019-12-31 · accession 0001683168-21-001432 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2020-12-31 · accession 0001683168-22-002682 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2021-12-31 · accession 0001683168-23-002011 (CashAndCashEquivalentsAtCarryingValue)
  20. 10-K · period ending 2022-12-31 · accession 0001683168-24-004856 (CashAndCashEquivalentsAtCarryingValue)