MeritValue

Wah Fu Education Group Ltd

WAFUdata completeness 88%9 fiscal years on file

Data notes: no data for concept 'totalDebt'

The thesis, from the filings

Wah Fu Education Group Ltd earns about 3% on equity, and has bought back 7% of its shares over 5 years. The applicable estimate puts fair value near $1.72 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 2021FY 2022FY 2023FY 2024FY 2025
Revenue$8.52M1$11.5M2$10.7M2$7.22M2$6.19M3
Net income$679,6754$743,1355$905,8926−$55,2886−$465,2996
Operating cash flow$2.33M7$1.08M8$1.61M9−$767,3109−$965,5929
Capital expenditure$74,23610$34,99611$37,23712$95,02012$10,87612
Free cash flow (derived)$2.25M7$1.04M8$1.58M9−$862,3309−$976,4689
Total debt—————
Cash & equivalents$12.1M13$11.8M14$12.6M14$11M15$10.1M15
Diluted shares4.4M4.4M4.4M4.4M4.1M

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
$26.23
your share of equity
Profit it earned you last year
−$1.14
Free cash flow it threw off
−$2.39
Debt you’d be carrying
—

10 shares is a claim on $26.23 of net worth that earned you −$1.14 and generated −$2.39 of cash last year.

iii. Is this a good business?
Moat signal · return on equity
3% avg · 5y
FY21 7%FY22 7%FY23 8%FY24 -0%FY25 -4%

It earned an average 3% on equity over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
−7% shares · 5y

Share count is down 7% over 5 years — management has been buying back stock, quietly handing owners a bigger slice.

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
$1.72
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$679,675
  • 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 2021-03-31 · accession 0001213900-23-061297 (Revenues)
  2. 20-F · period ending 2022-03-31 · accession 0001013762-24-002645 (RevenueFromContractWithCustomerIncludingAssessedTax)
  3. 20-F · period ending 2025-03-31 · accession 0001213900-25-069961 (Revenues)
  4. 20-F · period ending 2021-03-31 · accession 0001213900-23-061297 (NetIncomeLoss)
  5. 20-F · period ending 2022-03-31 · accession 0001013762-24-002645 (NetIncomeLoss)
  6. 20-F · period ending 2023-03-31 · accession 0001213900-25-069961 (NetIncomeLoss)
  7. 20-F · period ending 2021-03-31 · accession 0001213900-23-061297 (NetCashProvidedByUsedInOperatingActivities)
  8. 20-F · period ending 2022-03-31 · accession 0001013762-24-002645 (NetCashProvidedByUsedInOperatingActivities)
  9. 20-F · period ending 2023-03-31 · accession 0001213900-25-069961 (NetCashProvidedByUsedInOperatingActivities)
  10. 20-F · period ending 2021-03-31 · accession 0001213900-23-061297 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 20-F · period ending 2022-03-31 · accession 0001013762-24-002645 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 20-F · period ending 2023-03-31 · accession 0001213900-25-069961 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 20-F/A · period ending 2021-03-31 · accession 0001213900-23-034483 (CashAndCashEquivalentsAtCarryingValue)
  14. 20-F · period ending 2022-03-31 · accession 0001213900-23-061297 (CashAndCashEquivalentsAtCarryingValue)
  15. 20-F · period ending 2024-03-31 · accession 0001213900-25-069961 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)