MeritValue

K-TECH SOLUTIONS CO LTD

KMRKdata completeness 100%4 fiscal years on file

Data notes: no data for concept 'investmentsAtFairValue'; no data for concept 'netInvestmentIncome'; no data for concept 'gainsOnRealEstateSales'; no data for concept 'realEstateImpairment'; no data for concept 'dividendsPaid'; no data for concept 'interestExpense'

The thesis, from the filings

K-TECH SOLUTIONS CO LTD earns about 20% on equity, but has diluted owners by 8% over 4 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $0.18 a share.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 2023FY 2024FY 2025FY 2026
Revenue$16.6M1$17.1M2$18.6M2$16.2M2
Net income$247,4713$928,5294$487,9574$171,4074
Operating cash flow−$229,7835$2.69M6−$1.47M6$847,5146
Capital expenditure$91,3857—$3,5468$2218
Free cash flow (derived)−$321,1685—−$1.47M6$847,2936
Total debt—$621,4289$1.04M10$844,29510
Cash & equivalents$2.34M11$5.39M11$4.37M11$9.15M11
Diluted shares—19.5M19.5M21.1M

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
$3.37
your share of equity
Profit it earned you last year
$0.08
Free cash flow it threw off
$0.4
Debt you’d be carrying
$0.4

10 shares is a claim on $3.37 of net worth that earned you $0.08 and generated $0.4 of cash last year, against $0.4 of debt.

iii. Is this a good business?
Moat signal · return on equity
20% avg · 4y
FY23 18%FY24 41%FY25 17%FY26 2%

It earned an average 20% on equity over 4 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+8% shares · 4y

Share count is up 8% over 4 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 36% over the same window.

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
$0.18
assumptions (8)
  • riskFreeRate4.8%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$367,714
  • growthAssumed0.0%
Graham Number
$0.23
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 20-F · period ending 2023-03-31 · accession 0001213900-25-077494 (Revenues)
  2. 20-F · period ending 2024-03-31 · accession 0001213900-26-088354 (Revenues)
  3. 20-F · period ending 2023-03-31 · accession 0001213900-25-077494 (NetIncomeLoss)
  4. 20-F · period ending 2024-03-31 · accession 0001213900-26-088354 (NetIncomeLoss)
  5. 20-F · period ending 2023-03-31 · accession 0001213900-25-077494 (NetCashProvidedByUsedInOperatingActivities)
  6. 20-F · period ending 2024-03-31 · accession 0001213900-26-088354 (NetCashProvidedByUsedInOperatingActivities)
  7. 20-F · period ending 2023-03-31 · accession 0001213900-25-077494 (PaymentsToAcquirePropertyPlantAndEquipment)
  8. 20-F · period ending 2025-03-31 · accession 0001213900-26-088354 (PaymentsToAcquirePropertyPlantAndEquipment)
  9. 20-F · period ending 2024-03-31 · accession 0001213900-25-077494 (LongTermDebt)
  10. 20-F · period ending 2025-03-31 · accession 0001213900-26-088354 (LongTermDebt)
  11. 20-F · period ending 2023-03-31 · accession 0001213900-26-088354 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)