Share count
2.8Bpeak FY2025
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XCH, XCHG Limited American Depositary Share
We are a Cayman Islands exempted company and our affairs are governed by our memorandum and articles of association, as amended and restated from time to time, and the Cayman Islands Companies Act, and the common law of the Cayman Islands.
Our registered office in the Cayman Islands is located at the offices of ICS Corporate Services (Cayman) Limited of Palm Grove Unit 4, 265 Smith Road, George Town, P.O.
The business
What it sells, where the money comes from, the kind of company it is.
Revenue · FY2025
$25M
−40.5% YoY · −5% 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.
- Situation
- Unprofitable. No meaningful revenue yet; the record is the cash on hand against the burn.
- What moves the needle
- Operating margin has run around −29% through the cycle on a 46% 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. Inventory runs near 18% of sales, so how fast it turns back into cash — and the risk of writing it down when demand softens — sits alongside the margin. On its own account, the filing leans hardest on customer concentration, set against the numbers in what the filing emphasizes, below.
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 →Revenue spreads across 5 regions, the largest Europe at 50%.
Revenue by geography, FY2025
- Europe50%$13M
- North America27%$7M
- China15%$4M
- South America7%$2M
- Various Other Unspecified Countries2%$495K
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, 2022–2025
realized figures from each filing · older years to the left| 2022’22 | 2023’23 | 2024’24 | 2025’25 | TTMTTMDec 2025 | |
|---|---|---|---|---|---|
| Income statement | |||||
| $29M | $39M | $42M | $25M | $25M | RevenueRevenue |
| 36% | 46% | 50% | 46% | 46% | Gross marginGross mgn |
| $2M | ($7M) | ($12M) | ($33M) | ($33M) | Operating incomeOp. inc. |
| 5.6% | −16.9% | −28.5% | −129.9% | −129.9% | Operating marginOp. mgn |
| $2M | ($8M) | ($12M) | ($33M) | ($33M) | Net incomeNet inc. |
| Cash flow & returns | |||||
| $849K | ($6M) | ($7M) | ($8M) | ($8M) | Operating cash flowOp. cash |
| $138K | $203K | $233K | $275K | $275K | DepreciationDeprec. |
| ($899K) | $2M | $5M | $25M | $25M | Working capital & otherWC & other |
| — | — | -348% | -398% | -398% | ROICROIC |
| — | — | -40% | -182% | -182% | Return on equityROE |
| — | — | −40% | −182% | −182% | Retained to equityRetained/eq |
| Balance sheet | |||||
| — | $16M | $27M | $11M | $11M | Cash & investmentsCash+inv |
| — | $12M | $11M | $7M | $7M | ReceivablesReceiv. |
| — | $7M | $8M | $9M | $9M | InventoryInvent. |
| — | $6M | $8M | $7M | $7M | Accounts payablePayables |
| — | $13M | $11M | $10M | $10M | Operating working capitalOper. WC |
| — | $40M | $54M | $37M | $37M | Current assetsCur. assets |
| — | $31M | $26M | $24M | $24M | Current liabilitiesCur. liab. |
| — | 1.3× | 2.1× | 1.6× | 1.6× | Current ratioCurr. ratio |
| — | $41M | $57M | $43M | $43M | Total assetsAssets |
| — | ($16M) | ($27M) | ($11M) | ($11M) | Net debt / (cash)Net debt |
| 24.7× | -33.5× | -56.6× | -151.8× | -151.8× | Interest coverageInt. cov. |
| ($28M) | ($30M) | $30M | $18M | $18M | Shareholders’ equityEquity |
| Per share | |||||
| 656M | 713M | 1.29B | 2.80B | 0K | Shares out (diluted)Shares |
| $0.04 | $0.05 | $0.03 | $0.01 | — | Revenue / shareRev/sh |
| $0.00 | $-0.01 | $-0.01 | $-0.01 | — | EPS (diluted)EPS |
| $-0.04 | $-0.04 | $0.02 | $0.01 | — | Book value / shareBVPS |
The diluted share count moved ×1.8 into 2024 — shares issued, not a split the totals corroborate — and the per-share figures carry the counts as filed.
The diluted share count moved ×2.17 into 2025 — shares issued, not a split the totals corroborate — and the per-share figures carry the counts as filed.
The record, charted
FY2022–2025Each measure over its full record; the current point and the worst year marked.
Gross margin
46%low FY2022
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
“During the year ended December 31, 2024, we identified two material weaknesses in its internal control over financial reporting.”
The figures below are only as sound as the controls that produced them. read the note →
Will it survive?
- Can it pay its interest? -151.8×Does not cover its interestOperating income ($33M) ÷ interest expense $215K
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 cash, debt-freeCash $11M − debt $0
What this means
Cash and short-term investments exceed every dollar of debt by $11M, 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.
- Long (60+ days)DSO 102 + DIO 255 − DPO 182 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?
- Not enough dataIndustry peers: median -139%
What this means
The filing data didn't include the inputs for this check.
- Not enough dataIndustry peers: median -435%
What this means
The filing data didn't include the inputs for this check.
- Loss, and burning cashNet income ($33M) · cash from operations ($8M)
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? —Not enough data
What this means
The filing data didn't include the inputs for this check.
Graham’s defensive tests · 0 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 · $25M
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 NearCurrent ratio ≥ 2× · 1.58×
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 $-0.01/share (latest year $-0.01), the averaged base the calculator's gate runs on, and book value is $0.01/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 1 of 4
What this means
Lost money in 3 year(s), look at what happened there before trusting the average.
- Operating margin −6% → −79% (2-yr avg ends)
What this means
Through the cycle the operating margin slipped — about −6% early to −79% lately, median −29% — competition or costs are biting in.
- Worst year 2025 · −129.9% op. margin
What this means
Operations went underwater in 2025, understand why before trusting the good years.
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.
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.
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, 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$37M
- Cash & short-term investments$11M
- Receivables$7M
- Inventory$9M
- Other current assets$9M
Current liabilities$24M
- Accounts payable$7M
- Other current liabilities$17M
Current ratio1.58×all current assets ÷ what's due · Graham looked for 2×
Quick ratio1.18×stricter: inventory excluded
Cash ratio0.48×strictest: cash alone against what's due
Working capital$14Mthe cushion left after near-term bills
Cash runway1.5 yrsthe business is consuming cash; this is how long the cash on hand lasts at that rate
Deeper floors
Tangible book value$18Mequity stripped of goodwill & intangibles
Net current asset value$12MGraham's net-net: current assets less all liabilities
Debt incl. operating leases$593K$593K of it operating leases
Deferred revenue$4Mcustomer cash collected before delivery; operating float
From the company's latest filing.
Peers, Electrical Equipment
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 |
|---|---|---|---|---|---|
| EOSEEos Energy Enterprises Inc. | $114M | — | -1234.4% | -592% | -1136% |
| ONDSOndas Inc. | $51M | 43% | -618.3% | -139% | -543% |
| ENVXEnovix Corporation | $32M | 19% | -1051.7% | -113% | -666% |
| XCHXCHG Limited American Depositary Share | $25M | 46% | -22.7% | -398% | — |
| SESSES AI Corporation | $21M | 54% | -393.4% | -35% | -292% |
| SLDPSolid Power Inc. | $18M | — | -537.1% | -21% | -435% |
| SATLSatellogic Inc. | $18M | — | -405.6% | -194% | -318% |
| QUIKQuickLogic Corporation | $14M | 52% | -97.1% | -156% | -64% |
| Group median | — | 46% | -471.4% | -148% | — |
The price
What a price has to assume.
What the price implies
reverse-DCFEnter the US price, in dollars: the NYSE/Nasdaq quote you hold. Per the filing's own cover, “American depositary shares, each representing 40 Class”; XCHG Limited American Depositary Share reports in USD, so every figure in this tool is stated per ADS so your dollar quote reconciles exactly. The record tables elsewhere on this page remain as filed.
The owner-earnings base could not be formed from this filing’s tagged data (operating cash flow or capital spending is missing), so the owner-earnings reverse-DCF has no base to grow. We read the price from both ends instead: type a price to see the 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.
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The assumptions
Revenue, delivered−4%/yr’22→’25
Enter a price to run it.
Owner earnings it must reach—
Margin the price demands—
Owner-earnings margin today—
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, "XCHG Limited American Depositary Share (XCH), the owner's record," https://ownerscorecard.com/c/XCH, data as of 2026-07-09.
Manual order: ← WYHG its page in the Manual XHG →
Industry order: ← WWD the Electrical Equipment chapter