Share count
122Mpeak FY2025
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RR, Richtech Robotics Inc.
Richtech is a robotics and artificial intelligence technology company focused on developing advanced embodied AI systems that aims to improve the efficiency and productivity of U.S. businesses.
Richtech trains proprietary artificial intelligence models on in-house data to operate advanced robotic systems in the real world.
We design, engineer, manufacture, and deploy next generation embodied AI systems to serve a wide range of industries—including food service, retail, industrial manufacturing, automotive, healthcare, and hospitality.
The business
What it sells, where the money comes from, the kind of company it is.
Revenue · FY2025
$5M
+19.0% YoY · −6% 3-yr CAGR
Vital signs · TTM
The business in brief
read the 10-K →What this business is and what moves its needle, from its own SEC filings.
- What it is
- Revenue is led by Rental Arrangements (28%) and Leasing (28%), with 2 more lines behind.
- Situation
- Unprofitable. No meaningful revenue yet; the record is the cash on hand against the burn. Distress / turnaround. Thin interest coverage, or operating cash burned against real debt, across the record. The balance sheet carries this situation; the debt schedule sets the clock. Net current asset value. Current assets alone exceed every liability combined, and the surplus is most of the balance sheet: the shape Graham called a net-net.
- What moves the needle
- Operating margin has run around −167% through the cycle on a 65% gross margin, the operating line in the red even at its best — so the lever is whether the spending below the gross line can come down enough to clear a profit: revenue growth against the cost curve, and the cash runway until it does. Stock-based pay runs about 74% of sales, a real and recurring claim on owners that the GAAP margin understates. Read this kind of business on the capital-goods cycle and the aftermarket. 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 rarely cleared the cost of capital (median −6%, above 15% in 0 of 4 years). Owner earnings, the cash-based check, have been thin too. This is price-taker territory, where the balance sheet and the cycle matter more than any multiple; the rest is in the 10-K.
Every line is arithmetic on the company's filings, shown in full in the sections below.
Where the money comes from
read the 10-K →Revenue spreads across 4 lines, the largest Rental Arrangements at 28%.
Revenue by product line, FY2025
- Rental Arrangements28%$1M
- Leasing28%$1M
- Services28%$1M
- Retail and management services12%$615K
From the segment footnote of the company's own 10-K. 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, 2022–2025
realized figures from each filing · older years to the left| 2022’22 | 2023’23 | 2024’24 | 2025’25 | TTMTTMDec 2025 | |
|---|---|---|---|---|---|
| Income statement | |||||
| $6M | $9M | $4M | $5M | $5M | RevenueRevenue |
| 65% | 69% | 64% | 65% | 56% | Gross marginGross mgn |
| 37% | 40% | 152% | 348% | 507% | SG&A / revenueSG&A/rev |
| 29% | 23% | 48% | 48% | 49% | R&D / revenueR&D/rev |
| ($376K) | $289K | ($7M) | ($18M) | ($26M) | Operating incomeOp. inc. |
| −6.2% | 3.3% | −166.8% | −355.7% | −523.9% | Operating marginOp. mgn |
| ($507K) | ($339K) | ($8M) | ($16M) | ($21M) | Net incomeNet inc. |
| Cash flow & returns | |||||
| ($3M) | ($3M) | ($5M) | ($9M) | ($7M) | Operating cash flowOp. cash |
| $13 | $13K | $81K | $2M | $2M | DepreciationDeprec. |
| ($2M) | ($3M) | $3M | $668K | $8M | Working capital & otherWC & other |
| — | — | $725K | $5M | $5M | CapexCapex |
| — | — | 17.1% | 99.3% | 101.4% | Capex / revenueCapex/rev |
| — | — | ($6M) | ($14M) | ($12M) | Owner earningsOwner earn. |
| — | — | −136.4% | −278.5% | −244.2% | Owner earnings marginOE mgn |
| — | — | ($6M) | ($14M) | ($12M) | Free cash flowFCF |
| — | — | −136.4% | −278.5% | −244.2% | Free cash flow marginFCF mgn |
| -11% | 0% | -1% | -19% | -2% | ROICROIC |
| -17% | -7% | -20% | -6% | -6% | Return on equityROE |
| −17% | −7% | −20% | −6% | −6% | Retained to equityRetained/eq |
| Balance sheet | |||||
| $327K | $433K | $31M | $252M | $328M | Cash & investmentsCash+inv |
| $2M | $6M | $1M | $2M | $2M | ReceivablesReceiv. |
| $1M | $822K | $1M | $1M | $2M | InventoryInvent. |
| $175K | $1M | $150K | $397K | $132K | Accounts payablePayables |
| $3M | $5M | $2M | $3M | $4M | Operating working capitalOper. WC |
| $4M | $7M | $33M | $256M | $333M | Current assetsCur. assets |
| $741K | $3M | $455K | $2M | $9M | Current liabilitiesCur. liab. |
| 4.7× | 2.4× | 72.6× | 107.5× | 35.7× | Current ratioCurr. ratio |
| $4M | $8M | $43M | $273M | $349M | Total assetsAssets |
| — | $1.0B | $1.0B | $118K | $1.0B | Total debtDebt |
| — | $1000M | $969M | ($252M) | $672M | Net debt / (cash)Net debt |
| — | — | -9.3× | -216.2× | -319.2× | Interest coverageInt. cov. |
| $3M | $5M | $42M | $270M | $340M | Shareholders’ equityEquity |
| — | — | — | 73.8% | 75.5% | Stock comp / revenueSBC/rev |
| Per share | |||||
| 40.0M | 62.2M | 70.0M | 122M | 198M | Shares out (diluted)Shares |
| $0.15 | $0.14 | $0.06 | $0.04 | $0.02 | Revenue / shareRev/sh |
| $-0.01 | $-0.01 | $-0.12 | $-0.13 | $-0.10 | EPS (diluted)EPS |
| — | — | $-0.08 | $-0.12 | $-0.06 | Owner earnings / shareOE/sh |
| — | — | $-0.08 | $-0.12 | $-0.06 | Free cash flow / shareFCF/sh |
| — | — | $0.01 | $0.04 | $0.03 | Cap. spending / shareCapex/sh |
| $0.07 | $0.08 | $0.60 | $2.21 | $1.72 | Book value / shareBVPS |
The diluted share count moved ×1.55 into 2023 — shares issued, not a split the totals corroborate — and the per-share figures carry the counts as filed.
The diluted share count moved ×1.74 into 2025 — shares issued, not a split the totals corroborate — and the per-share figures carry the counts as filed.
The diluted share count moved ×1.62 into TTM — shares issued, not a split the totals corroborate — and the per-share figures carry the counts as filed.
Per-share growththe realized rate an owner's share compounded
| 3-yr | 5-yr | |
|---|---|---|
| Revenue / share | −35.1%/yr | −35.1%/yr (3-yr) |
| Capital spending / share | +296.3%/yr (1-yr) | +296.3%/yr (1-yr) |
| Book value / share | +211.9%/yr | +211.9%/yr (3-yr) |
The record, charted
FY2022–2025Each measure over its full record; the current point and the worst year marked.
ROIC
−19%low FY2025
Gross margin
65%low FY2024
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 turned a $16M loss into ($14M) of owner earnings: more cash than the profit line showed, after the non-cash charges and the capital it put back in.
| FY2025 | FY2024 | |
|---|---|---|
| Reported net income | ($16M) | ($8M) |
| Depreciation & amortizationnon-cash charge added back | +$2M | +$81K |
| Stock-based compensationreal costnon-cash, but a real cost | +$4M | — |
| Working capital & othertiming of cash in and out, other non-cash items | +$668K | +$3M |
| Cash from operations | ($9M) | ($5M) |
| Capital expenditurecash put back in to keep running and to grow | −$5M | −$725K |
| Owner earnings | ($14M) | ($6M) |
| Owner-earnings marginowner earnings ÷ revenue | -279% | -136% |
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 . The cash-flow statement also adds stock comp back as non-cash, but it is a real cost paid in shares; counted as the expense it is (less $4M), owner earnings is nearer ($18M).
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 10-K · source on SEC EDGAR →
Material weakness in financial controls
“We have identified a material weakness in our internal control over financial reporting as of September 30, 2025.”
The figures below are only as sound as the controls that produced them. read the note →
Will it survive?
- Can it pay its interest? -216.2×Does not cover its interestOperating income ($18M) ÷ interest expense $83K
What this means
A full year of operating profit didn't cover the interest bill. This is the zombie zone: the business depends on refinancing, asset sales, or forbearance to service its debt.
- Net debt against an operating lossCash $194M + ST investments $58M − debt $1.0B
What this means
Netting $252M of cash and short-term investments against $1.0B of debt leaves $748M owed, with no operating profit this year to measure it against — understand that combination before anything else about the company. Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
- Long (60+ days)DSO 129 + DIO 287 − DPO 83 days
What this means
Days cash is tied up between paying suppliers and collecting from customers. Lower is better; a long cycle means growth itself eats cash.
Is it a good business?
- Below average through the cycle4-yr median, range -19%–0%; -1% latest = NOPAT ($14M) ÷ invested capital $1.1BIndustry peers: median -74%
What this means
The rate the business earns on the money tied up in it, Buffett's north star, because over time a stock tracks the ROIC beneath it. Above ~15% sustained hints at a moat; a return below the cost of capital (~8%) erodes value as a business grows rather than building it — the test Buffett weighs most. The headline is the median of the last 4 years (it ran -1% most recently), so one peak or trough year doesn't set the verdict. Asset-light businesses (R&D expensed, little capital) read artificially high, pair this with Owner Earnings.
- Owner-earnings margin -279%Consumes cashOwner earnings ($14M) = operating cash ($9M) − maintenance capex $5MIndustry peers: median -19%
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 -279% of revenue this year. Treating stock comp as the real expense it is (less $4M of SBC) leaves ($18M).
- Loss, and burning cashNet income ($16M) · cash from operations ($9M)
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
The company reported a net loss, so a conversion ratio isn't meaningful. What matters then is whether operations still threw off cash, here, they did not.
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? 2.16×ExpandingCapex $5M ÷ depreciation $2M
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 3 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 · $5M
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× · 107.45×
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.
- Conservative debt MissDebt ≤ working capital · $1.0B vs $253M WC
What this means
Graham's rule that borrowings not exceed net current assets. Capital-heavy and buyback-heavy firms routinely fail it, read it next to interest coverage, not alone.
- 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 $-0.04/share (latest year $-0.08), the averaged base the calculator's gate runs on, and book value is $1.36/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.
Durability & moat, 2022–2025
Whether the record’s returns held, and what the capital reinvested earned.
- Profitable years 0 of 4
What this means
Lost money in 4 year(s), look at what happened there before trusting the average.
- Return on capital ≥ 15% 0 of 3 yrs
What this means
A moat shows up as a high return on invested capital that holds year after year, not one good vintage.
- Operating margin −1% → −261% (2-yr avg ends)
What this means
Through the cycle the operating margin slipped — about −1% early to −261% lately, median −167% — competition or costs are biting in.
- Reinvestment, incremental ROIC returns capital
What this means
The capital base barely grew: this business returns cash through dividends and buybacks rather than reinvesting. Judge it on the cash returned, not on compounding.
- Worst year 2025 · −355.7% op. margin
What this means
Operations went underwater in 2025, understand why before trusting the good years.
- How management talks about it Owner’s terms
What this means
Returns have thinned, but the filing discusses it in an owner’s vocabulary rather than selling past it — candor about a hard stretch counts for more than an adjective.
Does AI threaten the moat?
Low contestabilityThe moat is physical, regulated or balance-sheet-funded, the kind AI cuts costs within but does not contest.
In its own filing Framed as a capability
The filing positions AI as something the company uses, not something it fears.
“Business Overview Richtech is a robotics and artificial intelligence ("AI") technology company focused on developing advanced embodied AI systems that aims to improve the efficiency and productivity of U.S. businesses.”
AI is unlikely to contest a moat that is physical, regulated or balance-sheet-funded; here it reads more as a cost tool than a threat, and the company is using it that way.
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 the latest quarter, Dec 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$333M
- Cash & short-term investments$328M
- Receivables$2M
- Inventory$2M
- Other current assets$322K
Current liabilities$9M
- Accounts payable$132K
- Other current liabilities$9M
Current ratio35.73×all current assets ÷ what's due · Graham looked for 2×
Quick ratio35.53×stricter: inventory excluded
Cash ratio35.30×strictest: cash alone against what's due
Working capital$323Mthe cushion left after near-term bills
Cash runway27.3 yrsthe business is consuming cash; this is how long the cash on hand lasts at that rate
Revenue, latest quarter vs. a year ago−8.8%the freshest read on whether the business is still growing
Current ratio, recent quarters4.3× → 35.7×
Deeper floors
Tangible book value$330Mequity stripped of goodwill & intangibles
Net current asset value$323MGraham's net-net: current assets less all liabilities
Debt incl. operating leases$719K$607K of it operating leases
Deferred revenue$358Kcustomer cash collected before delivery; operating float
From the company's latest filing.
Management, ownership & pay
read the proxy →From the proxy: how much of the business the people running it own, and how they are paid.
- Stock-based compensation$4M
The slice of the business handed to employees in shares this year, 74% of revenue. Buffett's oldest accounting fight: this is compensation, compensation is an expense, real whether or not the headline earnings admit it. One trap: the cash-flow statement adds SBC back, so the operating cash, and the owner earnings drawn from it, are flattered by exactly this amount; counted as the cost it is, what an owner keeps is lower.
Peers, Industrial Machinery
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 |
|---|---|---|---|---|---|
| SEISolaris Energy Infrastructure Inc. | $622M | — | 17.0% | 9% | 19% |
| GHMGraham Corporation | $245M | 22% | 1.9% | 3% | 6% |
| OUSTOuster Inc. | $169M | 27% | -297.0% | -101% | -224% |
| CEPLCapstone Energy Plus Inc. | $106M | 14% | -23.2% | -74% | -19% |
| ASYSAmtech Systems Inc. | $79M | 37% | 1.8% | 1% | -4% |
| VELOVelo3D Inc. | $46M | -5% | -153.6% | -147% | -140% |
| CHRNChronoScale Holdings Corporation | $13M | 50% | -120.5% | -139% | -100% |
| RRRichtech Robotics Inc. | $5M | 65% | -86.5% | -6% | -279% |
| Group median | — | 27% | -54.9% | -40% | -59% |
The price
What a price has to assume.
What the price implies
reverse-DCFRichtech Robotics Inc. is profitable, but owner earnings are negative this year because capital spending currently outruns operating cash, a build-out, so the owner-earnings reverse-DCF has no positive base to grow. We read the price from both ends instead: type a price to see the steady-state profitability it demands, then set the mature margin you would believe and weigh the two against each other. Nothing leaves your browser unless you enter it in your notebook.
$
The assumptions
Revenue, delivered−12%/yr’22→’25
Enter a price to run it.
Owner earnings it must reach—
Margin the price demands—
Owner-earnings margin today−244%
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.
Two reads of one future. From your price: the owner earnings the company must reach, valued at a mature multiple and discounted back at your rate, expressed as the margin it implies on revenue grown at your rate. From your belief: the mature margin you would credit, set on the dial above. When the margin the price demands runs above the one you would believe, you are paying for a future taken on faith. For a deep cyclical at a trough, normalized through-cycle earnings are the better lens; this mode is for the genuinely unprofitable, and for the profitable business whose capital spending currently outruns its cash.
Cite: Owner Scorecard, "Richtech Robotics Inc. (RR), the owner's record," https://ownerscorecard.com/c/RR, data as of 2026-07-09.
Manual order: ← RPRX its page in the Manual RRBI →
Industry order: ← RBC the Industrial Machinery chapter RRX →