MeritValue

Larimar Therapeutics, Inc.

LRMRdata completeness 75%14 fiscal years on file
The thesis, from the filings

Larimar Therapeutics, Inc. earns about -44% on invested capital, but has diluted owners by 384% 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 2021FY 2022FY 2023FY 2024FY 2025
Revenue—————
Net income−$50.6M1−$35.4M2−$36.9M3−$80.6M4−$165.7M4
Operating cash flow−$42.1M5−$27.6M6−$33.5M7−$70.8M8−$113.2M8
Capital expenditure$333,0009$100,00010$164,00011$515,00012$91,00012
Free cash flow (derived)−$42.4M5−$27.7M6−$33.6M7−$71.3M8−$113.3M8
Total debt—————
Cash & equivalents$70.1M13$26.8M14$26.7M15$33.2M16$85.4M16
Diluted shares17.2M25.8M43.9M61.3M83.1M

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
$9.4
your share of equity
Profit it earned you last year
−$19.94
Free cash flow it threw off
−$13.63
Debt you’d be carrying
—

10 shares is a claim on $9.4 of net worth that earned you −$19.94 and generated −$13.63 of cash last year.

iii. Is this a good business?
Moat signal · return on invested capital
-44% avg · 5y
FY21 —FY22 -33%FY23 -53%FY24 -46%FY25 —

It earned an average -44% 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
+384% shares · 5y

Share count is up 384% 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 2021-12-31 · accession 0000950170-23-007855 (NetIncomeLoss)
  2. 10-K · period ending 2022-12-31 · accession 0000950170-24-031529 (NetIncomeLoss)
  3. 10-K · period ending 2023-12-31 · accession 0000950170-25-043925 (NetIncomeLoss)
  4. 10-K · period ending 2024-12-31 · accession 0001193125-26-115878 (NetIncomeLoss)
  5. 10-K · period ending 2021-12-31 · accession 0000950170-23-007855 (NetCashProvidedByUsedInOperatingActivities)
  6. 10-K · period ending 2022-12-31 · accession 0000950170-24-031529 (NetCashProvidedByUsedInOperatingActivities)
  7. 10-K · period ending 2023-12-31 · accession 0000950170-25-043925 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2024-12-31 · accession 0001193125-26-115878 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2021-12-31 · accession 0000950170-23-007855 (PaymentsToAcquirePropertyPlantAndEquipment)
  10. 10-K · period ending 2022-12-31 · accession 0000950170-24-031529 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2023-12-31 · accession 0000950170-25-043925 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2024-12-31 · accession 0001193125-26-115878 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2021-12-31 · accession 0000950170-23-007855 (CashAndCashEquivalentsAtCarryingValue)
  14. 10-K · period ending 2022-12-31 · accession 0000950170-24-031529 (CashAndCashEquivalentsAtCarryingValue)
  15. 10-K · period ending 2023-12-31 · accession 0000950170-25-043925 (CashAndCashEquivalentsAtCarryingValue)
  16. 10-K · period ending 2024-12-31 · accession 0001193125-26-115878 (CashAndCashEquivalentsAtCarryingValue)