Share count
60Mpeak FY2023
← All companies ← CSTE Manual CURR → ← CTSH IT Services & Consulting DAVA →
CTW, CTW
IT Services & Consulting asset-light
Our cost of revenue primarily consists of the costs that are directly related to providing our platform and services to game developers, who are our customers.
We expect our cost of revenues to increase in absolute amount in line with our expansion of business and customer base growth, and to decrease as a percentage of our revenues in the long run through economics of scale and improvement of operation efficiency.
The business
What it sells, where the money comes from, the kind of company it is.
Revenue · FY2025
$90M
+32.1% YoY
Vital signs · TTM, with 3-yr average
Revenue $90M 3-yr avg $74M
The business in brief
read the 10-K →What this business is and what moves its needle, from its own SEC filings.
- What moves the needle
- Gross margin has run about 76% and operating margin about 8.9% through the cycle, a wide spread between price and the cost of what it sells — whether that advantage is durable pricing power or a margin that can erode is the question the record is for. The operating margin has swung widely — from −1.2% to 10% — on a steadier 76% gross margin, so what moves it sits below the gross line, in operating spend and one-off charges more than in the cost of the product itself. The cash cycle has run negative through the cycle (a median of −67 days): the operation is paid before it pays, so working capital releases cash as the business grows rather than tying it up. Read this kind of business on retention and the cost of growth. On its own account, the filing leans hardest on customer concentration, set against the numbers in what the filing emphasizes, below.
- Is it a good business?
- Return on capital has run in the teens (median 19%, above 15% in 2 of 3 years), though buybacks and expensed R&D and brands shrink the capital base, so the figure overstates the underlying economics. Owner earnings, the cash-based check, have been thin too. Returns like these are solid but short of clear franchise economics; whether they hold is what the 10-K settles, not the multiple.
Every line is arithmetic on the company's filings, shown in full in the sections below.
Where the money comes from
read the 20-F →Japan is 70% of revenue, so this is largely a single-region business.
Revenue by geography, FY2025
- Japan70%$63M
- South Korea10%$9M
- North America8%$8M
- Taiwan5%$5M
- Europe3%$3M
- Other3%$3M
From the segment footnote of the company's own 20-F. Shares are of total revenue; the profit bar shows each segment's share of segment operating profit, before unallocated corporate costs.
The record
Ten years of arithmetic, read across the cycle.
The record, 2023–2025
realized figures from each filing · older years to the left| 2023’23 | 2024’24 | 2025’25 | TTMTTMJul 2025 | |
|---|---|---|---|---|
| Income statement | ||||
| $63M | $68M | $90M | $90M | RevenueRevenue |
| 73% | 76% | 76% | 76% | Gross marginGross mgn |
| $6M | $7M | ($1M) | ($1M) | Operating incomeOp. inc. |
| 8.9% | 9.7% | −1.2% | −1.2% | Operating marginOp. mgn |
| $3M | $6M | $4M | $4M | Net incomeNet inc. |
| 35% | 27% | 13% | 13% | Effective tax rateTax rate |
| Cash flow & returns | ||||
| $3M | $2M | $111K | $111K | Operating cash flowOp. cash |
| $779K | $2M | $3M | $3M | DepreciationDeprec. |
| ($2M) | ($6M) | ($6M) | ($6M) | Working capital & otherWC & other |
| $135K | $710K | $585K | $585K | CapexCapex |
| 0.2% | 1.0% | 0.6% | 0.6% | Capex / revenueCapex/rev |
| $2M | $877K | ($473K) | ($473K) | Owner earningsOwner earn. |
| 3.9% | 1.3% | −0.5% | −0.5% | Owner earnings marginOE mgn |
| $2M | $877K | ($473K) | ($473K) | Free cash flowFCF |
| 3.9% | 1.3% | −0.5% | −0.5% | Free cash flow marginFCF mgn |
| 19% | 52% | -6% | -6% | ROICROIC |
| 18% | 25% | 14% | 14% | Return on equityROE |
| 18% | 25% | 14% | 14% | Retained to equityRetained/eq |
| Balance sheet | ||||
| — | $14M | $12M | $12M | Cash & investmentsCash+inv |
| — | $1M | $1M | $1M | ReceivablesReceiv. |
| — | $3M | $2M | $2M | Accounts payablePayables |
| — | ($2M) | ($967K) | ($967K) | Operating working capitalOper. WC |
| — | $18M | $18M | $18M | Current assetsCur. assets |
| — | $12M | $8M | $8M | Current liabilitiesCur. liab. |
| — | 1.5× | 2.1× | 2.1× | Current ratioCurr. ratio |
| — | $44M | $47M | $47M | Total assetsAssets |
| — | ($14M) | ($12M) | ($12M) | Net debt / (cash)Net debt |
| $19M | $24M | $28M | $28M | Shareholders’ equityEquity |
| Per share | ||||
| 60.0M | 60.0M | 60.0M | 60.0M | Shares out (diluted)Shares |
| $1.05 | $1.14 | $1.51 | $1.51 | Revenue / shareRev/sh |
| $0.06 | $0.10 | $0.06 | $0.06 | EPS (diluted)EPS |
| $0.04 | $0.01 | $-0.01 | $-0.01 | Owner earnings / shareOE/sh |
| $0.04 | $0.01 | $-0.01 | $-0.01 | Free cash flow / shareFCF/sh |
| $0.00 | $0.01 | $0.01 | $0.01 | Cap. spending / shareCapex/sh |
| $0.31 | $0.40 | $0.46 | $0.46 | Book value / shareBVPS |
The record, charted
FY2023–2025Each measure over its full record; the current point and the worst year marked.
ROIC
−6%low FY2025
Gross margin
76%low FY2023
Owner earnings vs. net income
Owner earningsNet incomeThe accountant's number, and the cash an owner can take; the gap is the tell.
($473K)owner earningsvs.$4Mnet incomelow FY2025
Where the cash went
ReinvestBuybacksDividendsAcquisitionsRetainedEach year's operating cash, by what management did with it: the mix, and how it drifts.
FY2023FY2025
Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.
In fiscal 2025 the business reported $4M of profit but ($473K) of owner earnings: $4M less than the profit line, taken out by capital spending and the timing of cash.
| FY2025 | FY2024 | FY2023 | |
|---|---|---|---|
| Reported net income | $4M | $6M | $3M |
| Depreciation & amortizationnon-cash charge added back | +$3M | +$2M | +$779K |
| Working capital & othertiming of cash in and out, other non-cash items | −$6M | −$6M | −$2M |
| Cash from operations | $111K | $2M | $3M |
| Capital expenditurecash put back in to keep running and to grow | −$585K | −$710K | −$135K |
| Owner earnings | ($473K) | $877K | $2M |
| Owner-earnings marginowner earnings ÷ revenue | -1% | 1% | 4% |
Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position .
Much of fiscal 2025's profit didn't arrive as operating cash; it sits in “working capital & other” above. That can be a real inventory or timing swing, or profit that doesn't run through operating cash at all: a heavy tax year, equity-method earnings, or investment income booked through investing. For a year like this, owner earnings understates the cash earned; the full cash-flow statement carries the rest.
Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.
Quality & stewardship
Returns, the balance sheet, capital allocation, and pay.
Owner’s Scorecard
FY2025 20-F · source on SEC EDGAR →
Material weakness in financial controls
“Changes in Internal Control over Financial Reporting As disclosed in the registration statement on Form F-1, as amended (File number 333-287306), we identified two material weaknesses in our internal control over financial reporting.”
The figures below are only as sound as the controls that produced them. read the note →
Will it survive?
- No meaningful interest burdenLittle or no interest expense reported
What this means
Little or no interest expense reported, the business isn't leaning on lenders to operate.
- Net cash, debt-freeCash $12M − debt $0
What this means
Cash and short-term investments exceed every dollar of debt by $12M, on net the company owes nothing, and can act from strength when others can't. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
- Negative, funded by othersDSO 6 + DIO 0 − DPO 39 days
What this means
Days cash is tied up between paying suppliers and collecting from customers. A negative cycle is a quiet moat: suppliers and customers fund the operation (Buffett's “float”), the company grows on other people's money. (Little or no inventory, a services / asset-light model, so the inventory leg is ~0.)
Is it a good business?
- Not enough dataIndustry peers: median -3%
What this means
The filing data didn't include the inputs for this check.
- Thin through the cycle3-yr median margin, range -1%–4%; latest ($473K) = operating cash $111K − maintenance capex $585KIndustry peers: median 7%
What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's -1% of revenue this year, a 1% median across 3 years.
- Thinly cash-backedCash from ops $111K ÷ net income $4M
In the filing’s words The filing discloses a material weakness in its financial controls — the reported numbers here, and the record built on them, are only as reliable as the controls that produced them.
What this means
How much of reported profit showed up as operating cash. Above 1× is reassuring; well below suggests earnings lean on accruals. One year is noisy, growth and working-capital swings distort it, and this is operating cash, not free cash. Watch the multi-year trend.
How is the cash used?
- Not enough data
What this means
The filing data didn't include the inputs for this check.
- Investing or harvesting? 0.22×HarvestingCapex $585K ÷ depreciation $3M
What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.
Graham’s defensive tests · 1 of 2 met
Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.
- Adequate size MissRevenue ≥ $2B · $90M
What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
- Strong liquidity PassCurrent ratio ≥ 2× · 2.15×
What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
- Moderate price —P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price
What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $0.07/share (latest year $0.06), the averaged base the calculator's gate runs on, and book value is $0.46/share. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.
Does AI threaten the moat?
Elevated contestabilityThe product is software or information, the very thing capable AI now produces more cheaply, so the moat is more contestable than the record alone implies.
In its own filing Raised, but not as a competitor
The filing raises AI among its risks, but in other terms (security, regulation, energy or the like), not as a competitor to its product; it frames AI mainly as a capability.
AI has collapsed the cost of building a capable substitute for the very thing this business sells. When a credible alternative can be assembled for a fraction of the incumbent's price, it is pricing power that erodes first, not revenue tomorrow. The live question is whether the moat survives that, not whether it held in the past. Whether that question is answerable at all is yours to decide, against your own circle of competence.
Read from the filing's own risk factors, paired with the industry's structure under its SIC code; the durability is read above, the price below.
All figures as filed; the source filing is linked above.
Current Position
as of fiscal year-end, Jul 31, 2025Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.
Current assets$18M
- Cash & short-term investments$12M
- Receivables$1M
- Other current assets$4M
Current liabilities$8M
- Accounts payable$2M
- Other current liabilities$6M
Current ratio2.15×all current assets ÷ what's due · Graham looked for 2×
Quick ratio2.15×stricter: inventory excluded
Cash ratio1.45×strictest: cash alone against what's due
Working capital$10Mthe cushion left after near-term bills
Deeper floors
Tangible book value$28Mequity stripped of goodwill & intangibles
Net current asset value($779K)Graham's net-net: current assets less all liabilities
Debt incl. operating leases$3M$3M of it operating leases
Deferred revenue$145Kcustomer cash collected before delivery; operating float
From the company's latest filing.
Peers, IT Services & Consulting
The same industry, side by side on owner economics. Each figure is a through-cycle median, so a peak or trough year can’t distort it; the group median at the foot is the line to read each against.
| Company | Revenue | Gross margin | Op. margin | ROIC | Owner earn. margin |
|---|---|---|---|---|---|
| BBAIBigBear.ai Inc. | $128M | 25% | -62.6% | -31% | -19% |
| CEVACeva, Inc. | $110M | 89% | -1.2% | -0% | 7% |
| RUMRumble Inc. | $101M | — | -125.9% | -322% | -86% |
| GLOOGloo Holdings Inc. | $95M | — | -209.1% | -76% | -196% |
| CTWCTW | $90M | 76% | 8.9% | 19% | 1% |
| RDVTRed Violet Inc. Common Stock | $90M | — | -3.0% | -3% | 20% |
| ISSCInnovative Solutions and Support Inc. | $84M | 55% | 16.9% | 11% | 12% |
| SLPSimulations Plus Inc. | $79M | 74% | 27.8% | 9% | 29% |
| Group median | — | 74% | -2.1% | -2% | 4% |
The price
What a price has to assume.
What the price implies
reverse-DCFEnter the home-market price, not the US ADR quote. CTW reports in USD, and every figure here (owner earnings, book value, the share count) is on that ordinary-share basis. Enter the price on the same basis: the local-exchange quote per ordinary share. A US ADR price in dollars bundles the ADR-to-ordinary ratio, so it will not reconcile with these figures and would throw the multiple off.
Type today's close and see the owner-earnings growth you'd have to believe to justify it, beside what CTW has delivered.
CTW’s latest year shows negative owner earnings, below the record’s own through-cycle owner earnings. So the tool opens on the through-cycle base, the cash it would earn at rest; clear the toggle below to read the latest year exactly as reported.
$
Base
—
The assumptions
9.0% = the 4.55% 10-year Treasury (Jul 15, 2026) + 4.45 points of equity premium. The rate you require is yours to set.
Enter a price above to run it.
A dated snapshot of the price you typed, the assumptions you set, and what the page showed for them. A snapshot is never edited after it is saved. Your notebook is yours alone — the commitment states what is stored and what we will never do.
Implied by the price—
Owner-earnings growth, delivered—
Owner-earnings growth, delivered—
Owner-earnings yield—
What a growth belief costs, in multiples
The growth each return requires, at your price
P/E (3-yr earnings ’23–’25)—
P/B—
Graham’s price gate—
Graham capped the multiple at 15×; Buffett and Munger let that rule go: a wonderful business can deserve 50× if the thesis holds. The gate marks the bargain-hunter's floor.
Against a high-grade bond: Graham’s yardstick bond yield%
Prefilled with the 10-year Treasury (4.55%, as of Jul 15, 2026). Edit it for today’s exact figure, or a AAA corporate yield.
Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.
Owner-earnings yield—
High-grade bond yield—
Margin over the bond—
Owner earnings ($473K) on 60M shares outstanding (a weighted average, the only count this filer tags); net cash $12M. The base opens on the through-cycle figure (the latest year sits off the record’s own median, and Graham’s averaging cuts both ways); clear Normalize to use the year as filed. Net of stock comp treats option pay as the expense it is. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.
Cite: Owner Scorecard, "CTW (CTW), the owner's record," https://ownerscorecard.com/c/CTW, data as of 2026-07-09.
Manual order: ← CSTE its page in the Manual CURR →
Industry order: ← CTSH the IT Services & Consulting chapter DAVA →