MeritValue

World Scan Project, Inc.

WDSPdata completeness 75%5 fiscal years on file

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

The thesis, from the filings

World Scan Project, Inc. earns about 36% on equity, but has diluted owners by 6% over 5 years — worth asking whether the growth reaches owners. The applicable estimate puts fair value near $0.64 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 2020FY 2021FY 2022FY 2023FY 2024
Revenue$4.95M1$11.8M2$14.5M3$288,0944$25.2M4
Net income$1.31M5$2.33M6$8.91M7−$3.42M8−$768,4318
Operating cash flow$568,8269$2.03M10$4.61M11−$170,46112−$16.9M12
Capital expenditure—————
Free cash flow (derived)—————
Total debt—————
Cash & equivalents$974,60613$2.58M14$5.84M15$5.7M15$1.63M15
Diluted shares20.1M20.6M20.6M20.7M21.2M

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
$7.82
your share of equity
Profit it earned you last year
−$0.36
Free cash flow it threw off
—
Debt you’d be carrying
—

10 shares is a claim on $7.82 of net worth that earned you −$0.36 last year.

iii. Is this a good business?
Moat signal · return on equity
36% avg · 5y
FY20 76%FY21 61%FY22 84%FY23 -39%FY24 -5%

It earned an average 36% 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
+6% shares · 5y

Share count is up 6% over 5 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 v0.1.0
DCF · Growth Exit 10Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
DCF · Growth Exit 5Y
not applicable
only 0 years of FCF (need ≥3) — model not applicable
Earnings Power Value
$0.64
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$1.31M
  • 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. 10-K · period ending 2020-10-31 · accession 0001599916-22-000115 (Revenues)
  2. 10-K · period ending 2021-10-31 · accession 0001599916-23-000036 (Revenues)
  3. 10-K · period ending 2022-10-31 · accession 0001599916-24-000278 (Revenues)
  4. 10-K · period ending 2023-10-31 · accession 0001599916-25-000120 (Revenues)
  5. 10-K · period ending 2020-10-31 · accession 0001599916-22-000115 (NetIncomeLoss)
  6. 10-K · period ending 2021-10-31 · accession 0001599916-23-000036 (NetIncomeLoss)
  7. 10-K · period ending 2022-10-31 · accession 0001599916-24-000278 (NetIncomeLoss)
  8. 10-K · period ending 2023-10-31 · accession 0001599916-25-000120 (NetIncomeLoss)
  9. 10-K · period ending 2020-10-31 · accession 0001599916-22-000115 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-10-31 · accession 0001599916-23-000036 (NetCashProvidedByUsedInOperatingActivities)
  11. 10-K · period ending 2022-10-31 · accession 0001599916-24-000278 (NetCashProvidedByUsedInOperatingActivities)
  12. 10-K · period ending 2023-10-31 · accession 0001599916-25-000120 (NetCashProvidedByUsedInOperatingActivities)
  13. 10-K · period ending 2020-10-31 · accession 0001599916-23-000036 (CashAndCashEquivalentsAtCarryingValue)
  14. 10-K · period ending 2021-10-31 · accession 0001599916-24-000278 (CashAndCashEquivalentsAtCarryingValue)
  15. 10-K · period ending 2022-10-31 · accession 0001599916-25-000120 (CashAndCashEquivalentsAtCarryingValue)