MeritValue

Zhihu Inc.

ZHdata completeness 100%5 fiscal years on file

Data notes: no data for concept 'interestExpense'

The thesis, from the filings

Zhihu Inc. earns about -58% on invested capital, with a roughly flat share count. 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$464.4M1$522.7M2$591.4M3$493M4$393.1M5
Net income−$203.8M6−$228.8M7−$118.2M8−$23.1M9−$27.9M10
Operating cash flow−$69.1M11−$161.7M12−$58.5M13−$38.4M14−$52M15
Capital expenditure$1.17M16$104,00017$1.2M18$374,00019$189,00020
Free cash flow (derived)−$70.3M11−$161.8M12−$59.7M13−$38.8M14−$52.2M15
Total debt————$5.01M21
Cash & equivalents$338.5M22$656.2M23$296.7M24$547.9M25$481.8M26
Diluted shares240.2M304.8M299.1M273.6M240.0M

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
$22.66
your share of equity
Profit it earned you last year
−$1.16
Free cash flow it threw off
−$2.17
Debt you’d be carrying
$0.21

10 shares is a claim on $22.66 of net worth that earned you −$1.16 and generated −$2.17 of cash last year, against $0.21 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-58% avg · 5y
FY21 -22%FY22 -110%FY23 -26%FY24 -103%FY25 -29%

It earned an average -58% 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
−0% shares · 5y

Share count is roughly flat over 5 years — little dilution, little buyback. 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. 20-F · period ending 2021-12-31 · accession 0001104659-22-043847 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 20-F · period ending 2022-12-31 · accession 0001104659-23-051969 (RevenueFromContractWithCustomerExcludingAssessedTax)
  3. 20-F · period ending 2023-12-31 · accession 0001104659-24-052248 (RevenueFromContractWithCustomerExcludingAssessedTax)
  4. 20-F · period ending 2024-12-31 · accession 0001410578-25-000729 (RevenueFromContractWithCustomerExcludingAssessedTax)
  5. 20-F · period ending 2025-12-31 · accession 0001104659-26-044557 (RevenueFromContractWithCustomerExcludingAssessedTax)
  6. 20-F · period ending 2021-12-31 · accession 0001104659-22-043847 (NetIncomeLoss)
  7. 20-F · period ending 2022-12-31 · accession 0001104659-23-051969 (ProfitLoss)
  8. 20-F · period ending 2023-12-31 · accession 0001104659-24-052248 (ProfitLoss)
  9. 20-F · period ending 2024-12-31 · accession 0001410578-25-000729 (ProfitLoss)
  10. 20-F · period ending 2025-12-31 · accession 0001104659-26-044557 (ProfitLoss)
  11. 20-F · period ending 2021-12-31 · accession 0001104659-22-043847 (NetCashProvidedByUsedInOperatingActivities)
  12. 20-F · period ending 2022-12-31 · accession 0001104659-23-051969 (NetCashProvidedByUsedInOperatingActivities)
  13. 20-F · period ending 2023-12-31 · accession 0001104659-24-052248 (NetCashProvidedByUsedInOperatingActivities)
  14. 20-F · period ending 2024-12-31 · accession 0001410578-25-000729 (NetCashProvidedByUsedInOperatingActivities)
  15. 20-F · period ending 2025-12-31 · accession 0001104659-26-044557 (NetCashProvidedByUsedInOperatingActivities)
  16. 20-F · period ending 2021-12-31 · accession 0001104659-22-043847 (PaymentsToAcquirePropertyPlantAndEquipment)
  17. 20-F · period ending 2022-12-31 · accession 0001104659-23-051969 (PaymentsToAcquirePropertyPlantAndEquipment)
  18. 20-F · period ending 2023-12-31 · accession 0001104659-24-052248 (PaymentsToAcquirePropertyPlantAndEquipment)
  19. 20-F · period ending 2024-12-31 · accession 0001410578-25-000729 (PaymentsToAcquirePropertyPlantAndEquipment)
  20. 20-F · period ending 2025-12-31 · accession 0001104659-26-044557 (PaymentsToAcquirePropertyPlantAndEquipment)
  21. 20-F · period ending 2025-12-31 · accession 0001104659-26-044557 (ShortTermBorrowings)
  22. 20-F · period ending 2021-12-31 · accession 0001104659-22-043847 (CashAndCashEquivalentsAtCarryingValue)
  23. 20-F · period ending 2022-12-31 · accession 0001104659-23-051969 (CashAndCashEquivalentsAtCarryingValue)
  24. 20-F · period ending 2023-12-31 · accession 0001104659-24-052248 (CashAndCashEquivalentsAtCarryingValue)
  25. 20-F · period ending 2024-12-31 · accession 0001410578-25-000729 (CashAndCashEquivalentsAtCarryingValue)
  26. 20-F · period ending 2025-12-31 · accession 0001104659-26-044557 (CashAndCashEquivalentsAtCarryingValue)