+186.3%Accruals ratio. Net operating assets grew +186.3% relative to their average in FY2025 — the accrual component of earnings. Accruals are building sharply — a large slice of profit sits in operating assets, not cash; Richardson/Sloan link high accruals to weaker future returns as they reverse. The cash-flow cross-check agrees: reported earnings ran behind operating cash by -8% of net operating assets.
41d DSOReceivables vs revenue. Days sales outstanding moved from 26 to 41 days FY2024→FY2025 (receivables +70% vs revenue +10%). Receivables are outrunning sales — a flag for aggressive revenue recognition or slipping collections.
64dInventory days. Days inventory outstanding moved from 3 to 64 FY2024→FY2025 (against cost of goods sold; inventory +2394% vs +23% in cost of sales). Inventory is outrunning what's being sold — a flag for softening demand or obsolescence risk ahead.
-15%Return on invested capital. Return on invested capital is -15% and rising from -84% — well below its ~9% cost of capital, so reinvested dollars may be destroying value, not building it.
+29.6%/yrShare-count dilution. Diluted share count changed +89% over the last 3 years to FY2025 (+29.6%/yr). The count is GROWING — existing holders are being diluted. That's ~29.6% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2022 has been diluted ~89%.
18% of revStock-based comp load. Stock-based compensation ran 18% of revenue in FY2025 — about $0.49 per diluted share. Meaningful — reported free cash flow flatters the economics, since SBC is a real cost paid in shares.