MeritValue

Zeta Network Group

ZNBdata completeness 88%9 fiscal years on file

Data notes: no data for concept 'totalDebt'

The thesis, from the filings

Zeta Network Group earns about -105% on invested capital, and has bought back 77% of its shares over 5 years. 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$3.6M1$16.5M2—$2.83M3$8.73M3
Net income−$8.24M4−$77.2M5−$37.8M6−$26.9M6−$43M6
Operating cash flow−$2.8M7−$29.4M8−$7.88M9−$2.78M9−$8.34M9
Capital expenditure$2.02M10$39,60211——$3.4M12
Free cash flow (derived)−$4.82M7−$29.4M8——−$11.7M9
Total debt—————
Cash & equivalents$174,18913$872,31314$239,47314$20,21814$1.06M14
Diluted shares1.7M3.9M3,66715,233385,066

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
$605.67
your share of equity
Profit it earned you last year
−$1,116.73
Free cash flow it threw off
−$304.81
Debt you’d be carrying
—

10 shares is a claim on $605.67 of net worth that earned you −$1,116.73 and generated −$304.81 of cash last year.

iii. Is this a good business?
Moat signal · return on invested capital
-105% avg · 5y
FY21 -8%FY22 -128%FY23 -122%FY24 -114%FY25 -152%

It earned an average -105% 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
−77% shares · 5y

Share count is down 77% 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
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 2021-06-30 · accession 0001213900-22-072178 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 20-F · period ending 2022-06-30 · accession 0001213900-24-088518 (Revenues)
  3. 20-F · period ending 2024-06-30 · accession 0001213900-25-109175 (Revenues)
  4. 20-F · period ending 2021-06-30 · accession 0001213900-23-086925 (NetIncomeLoss)
  5. 20-F · period ending 2022-06-30 · accession 0001213900-24-088518 (NetIncomeLoss)
  6. 20-F · period ending 2023-06-30 · accession 0001213900-25-109175 (NetIncomeLoss)
  7. 20-F · period ending 2021-06-30 · accession 0001213900-23-086925 (NetCashProvidedByUsedInOperatingActivities)
  8. 20-F · period ending 2022-06-30 · accession 0001213900-24-088518 (NetCashProvidedByUsedInOperatingActivities)
  9. 20-F · period ending 2023-06-30 · accession 0001213900-25-109175 (NetCashProvidedByUsedInOperatingActivities)
  10. 20-F · period ending 2021-06-30 · accession 0001213900-23-086925 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 20-F · period ending 2022-06-30 · accession 0001213900-24-088518 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 20-F · period ending 2025-06-30 · accession 0001213900-25-109175 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 20-F · period ending 2021-06-30 · accession 0001213900-21-055782 (CashAndCashEquivalentsAtCarryingValue)
  14. 20-F · period ending 2022-06-30 · accession 0001213900-25-109175 (CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents)