MeritValue

NEPHROS INC

NEPHdata completeness 75%17 fiscal years on file
The thesis, from the filings

NEPHROS INC earns about -1% on invested capital, but has diluted owners by 9% 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$10.2M1$9.98M2$14.2M3$14.2M4$18.8M4
Net income−$3.87M5−$7.11M6−$1.58M7$74,0008$1.19M8
Operating cash flow−$1.42M9−$3.23M10$827,00011−$492,00012$1.65M12
Capital expenditure$36,00013$137,00014$75,00015$55,00016—
Free cash flow (derived)−$1.45M9−$3.37M10$752,00011−$547,00012—
Total debt$343,00017$71,00018———
Cash & equivalents$6.97M19$3.63M20$4.31M21$3.76M22$5.4M22
Diluted shares10.0M10.3M10.4M10.6M11.0M

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
$9.3
your share of equity
Profit it earned you last year
$1.09
Free cash flow it threw off
—
Debt you’d be carrying
—

10 shares is a claim on $9.3 of net worth that earned you $1.09 last year.

iii. Is this a good business?
Moat signal · return on invested capital
-1% avg · 5y
FY21 —FY22 —FY23 -31%FY24 2%FY25 25%

It earned an average -1% 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
+9% shares · 5y

Share count is up 9% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has fallen 79% — 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
$1.52
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0001493152-23-008716 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001493152-24-010107 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001641172-25-000234 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2024-12-31 · accession 0001493152-26-009848 (RevenueFromContractWithCustomerExcludingAssessedTax)
  5. 10-K · period ending 2021-12-31 · accession 0001493152-22-005976 (NetIncomeLoss)
  6. 10-K · period ending 2022-12-31 · accession 0001493152-24-010107 (ProfitLoss)
  7. 10-K · period ending 2023-12-31 · accession 0001641172-25-000234 (NetIncomeLoss)
  8. 10-K · period ending 2024-12-31 · accession 0001493152-26-009848 (NetIncomeLoss)
  9. 10-K · period ending 2021-12-31 · accession 0001493152-23-008716 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2022-12-31 · accession 0001493152-24-010107 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2023-12-31 · accession 0001641172-25-000234 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2024-12-31 · accession 0001493152-26-009848 (NetCashProvidedByUsedInOperatingActivities)
  13. 10-K · period ending 2021-12-31 · accession 0001493152-23-008716 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2022-12-31 · accession 0001493152-24-010107 (PaymentsToAcquirePropertyPlantAndEquipment)
  15. 10-K · period ending 2023-12-31 · accession 0001641172-25-000234 (PaymentsToAcquirePropertyPlantAndEquipment)
  16. 10-K · period ending 2024-12-31 · accession 0001493152-26-009848 (PaymentsToAcquirePropertyPlantAndEquipment)
  17. 10-K · period ending 2021-12-31 · accession 0001493152-22-005976 (LongTermDebt)
  18. 10-K · period ending 2022-12-31 · accession 0001493152-23-008716 (LongTermDebt)
  19. 10-K · period ending 2021-12-31 · accession 0001493152-23-008716 (CashAndCashEquivalentsAtCarryingValue)
  20. 10-K · period ending 2022-12-31 · accession 0001493152-24-010107 (CashAndCashEquivalentsAtCarryingValue)
  21. 10-K · period ending 2023-12-31 · accession 0001641172-25-000234 (CashAndCashEquivalentsAtCarryingValue)
  22. 10-K · period ending 2024-12-31 · accession 0001493152-26-009848 (CashAndCashEquivalentsAtCarryingValue)