MeritValue

Scienture Holdings, Inc.

SCNXdata completeness 75%13 fiscal years on file
The thesis, from the filings

Scienture Holdings, Inc. earns about -515% on invested capital, but has diluted owners by 89% 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$9.89M1$10.3M2$1.36M3$136,6434$431,6094
Net income−$5.32M5−$3.47M6−$17.8M7$9.07M8−$41.5M8
Operating cash flow−$2.57M9−$1.53M9−$2.23M10−$14.3M11−$13.4M11
Capital expenditure$22,59612——$12,00013—
Free cash flow (derived)−$2.59M9——−$14.3M11—
Total debt———$2.9M14—
Cash & equivalents$3.12M15$1.09M16$151,90816—$6.66M17
Diluted shares8.1M566,6092.4M3.7M15.3M

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
$45.69
your share of equity
Profit it earned you last year
−$27.05
Free cash flow it threw off
—
Debt you’d be carrying
—

10 shares is a claim on $45.69 of net worth that earned you −$27.05 last year.

iii. Is this a good business?
Moat signal · return on invested capital
-515% avg · 5y
FY21 —FY22 —FY23 -1474%FY24 -18%FY25 -54%

It earned an average -515% 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
+89% shares · 5y

Share count is up 89% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has held roughly steady.

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 0001493152-23-009090 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0001493152-24-015595 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001641172-25-000657 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 10-K · period ending 2024-12-31 · accession 0001493152-26-013475 (RevenueFromContractWithCustomerExcludingAssessedTax)
  5. 10-K · period ending 2021-12-31 · accession 0001493152-23-009090 (NetIncomeLoss)
  6. 10-K · period ending 2022-12-31 · accession 0001493152-24-015595 (NetIncomeLoss)
  7. 10-K · period ending 2023-12-31 · accession 0001641172-25-000657 (NetIncomeLoss)
  8. 10-K · period ending 2024-12-31 · accession 0001493152-26-013475 (NetIncomeLoss)
  9. 10-K · period ending 2021-12-31 · accession 0001493152-23-009090 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2023-12-31 · accession 0001641172-25-000657 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2024-12-31 · accession 0001493152-26-013475 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2021-12-31 · accession 0001493152-23-009090 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2024-12-31 · accession 0001493152-26-013475 (PaymentsToAcquirePropertyPlantAndEquipment)
  14. 10-K · period ending 2024-12-31 · accession 0001493152-26-013475 (LongTermDebt)
  15. 10-K · period ending 2021-12-31 · accession 0001493152-23-009090 (CashAndCashEquivalentsAtCarryingValue)
  16. 10-K · period ending 2022-12-31 · accession 0001493152-24-015595 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2025-12-31 · accession 0001493152-26-013475 (CashAndCashEquivalentsAtCarryingValue)