MeritValue

Texxon Holding Ltd

NPTdata completeness 100%3 fiscal years on file

Data notes: no data for concept 'interestExpense'

The thesis, from the filings

Texxon Holding Ltd earns about 3% on invested capital, with a roughly flat share count. The applicable estimate puts fair value near $0.49 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 2025
Revenue$552.5M1$672.7M1$797.1M1
Net income$2.02M2$953,5602−$932,6212
Operating cash flow−$14.2M3−$30.8M3$2.32M3
Capital expenditure$22.6M4$33.3M4$45.1M4
Free cash flow (derived)−$36.8M3−$64.1M3−$42.8M3
Total debt—$77.4M5$126.2M6
Cash & equivalents$1.33M7$272,8957$2.52M7
Diluted shares20.0M20.0M20.0M

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
−$1.91
your share of equity
Profit it earned you last year
−$0.47
Free cash flow it threw off
−$21.39
Debt you’d be carrying
$63.11

10 shares is a claim on −$1.91 of net worth that earned you −$0.47 and generated −$21.39 of cash last year, against $63.11 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
3% avg · 3y
FY23 7%FY24 3%FY25 -0%

It earned an average 3% on invested capital over 3 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
−0% shares · 3y

Share count is roughly flat over 3 years — little dilution, little buyback. Total debt has risen 63% 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 v0.1.0
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
$0.49
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$953,560
  • growthAssumed0.0%
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. 20-F · period ending 2023-06-30 · accession 0001213900-25-111812 (Revenues)
  2. 20-F · period ending 2023-06-30 · accession 0001213900-25-111812 (NetIncomeLoss)
  3. 20-F · period ending 2023-06-30 · accession 0001213900-25-111812 (NetCashProvidedByUsedInOperatingActivities)
  4. 20-F · period ending 2023-06-30 · accession 0001213900-25-111812 (PaymentsToAcquirePropertyPlantAndEquipment)
  5. 20-F · period ending 2024-06-30 · accession 0001213900-25-111812 (LongTermDebtCurrent)
  6. 20-F · period ending 2025-06-30 · accession 0001213900-25-111812 (LongTermDebtNoncurrent)
  7. 20-F · period ending 2023-06-30 · accession 0001213900-25-111812 (CashAndCashEquivalentsAtCarryingValue)