MeritValue

Rocky Mountains Group Ltd

RMGLdata completeness 75%2 fiscal years on file

Data notes: no data for concept 'totalDebt'; 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'; no data for concept 'pretaxIncome'

The thesis, from the filings

Rocky Mountains Group Ltd earns about -152% on equity, but has diluted owners by 14% over 2 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 2025FY 2026
Revenue$30,1051$25,0001
Net income−$23,6352−$23,6402
Operating cash flow−$9,9613−$21,9833
Capital expenditure$3,9004—
Free cash flow (derived)−$13,8613—
Total debt——
Cash & equivalents$37,1145$15,1315
Diluted shares20.3M23.2M

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
your share of equity
Profit it earned you last year
−$0.01
Free cash flow it threw off
—
Debt you’d be carrying
—

10 shares is a claim on $0 of net worth that earned you −$0.01 last year.

iii. Is this a good business?
Moat signal · return on equity
-152% avg · 2y
FY25 -70%FY26 -233%

It earned an average -152% on equity over 2 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+14% shares · 2y

Share count is up 14% over 2 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 v0.5.0
DCF · Growth Exit 10Y
not applicable
only 1 years of FCF (need ≥3) — model not applicable
DCF · Growth Exit 5Y
not applicable
only 1 years of FCF (need ≥3) — model not applicable
Earnings Power Value
not applicable
only 2 years of net income (need ≥3)
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 2025-05-31 · accession 0001493152-26-035556 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2025-05-31 · accession 0001493152-26-035556 (NetIncomeLoss)
  3. 10-K · period ending 2025-05-31 · accession 0001493152-26-035556 (NetCashProvidedByUsedInOperatingActivities)
  4. 10-K · period ending 2025-05-31 · accession 0001493152-26-035556 (PaymentsToAcquirePropertyPlantAndEquipment)
  5. 10-K · period ending 2025-05-31 · accession 0001493152-26-035556 (CashAndCashEquivalentsAtCarryingValue)