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The Company Zomedica Corp. ( Zomedica or the Company ) was incorporated on January 7, 2013 under the Business Corporations Act (Alberta) as Wise Oakwood Ventures Inc. ( WOW ) and was classified as a capital pool company, as defined in Policy 2.4 of the TSX Venture Exchange. ZoMedica Pharmaceuticals Inc. ( ZoMedica ) was incorporated on May 14, 2015, under the Canada Business Corporations Act.
The business is unprofitable at the operating level (-263.36% margin). The thesis depends entirely on whether and when it reaches sustainable profitability.
Revenue grew 17.4%, still solid. Margins contracted 76.2pp, which offsets some of the top-line progress.
ROIC dropped from -18.32% to -42.30%, capital efficiency is deteriorating. Negative free cash flow of -$18M. The business is consuming cash, not generating it.
Profitability & Returns
Revenue (TTM)
$34M
▲ +17.4% YoY
Net Income (TTM)
-$23M
▼ -74.2% YoY
Op. Margin
-71.97%
▼ -76.2pp YoY
ROIC
-16.25%
▼ -24.0pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
-$17M
▲ +36.8% YoY
Op. Cash Flow (TTM)
-$16M
▲ +25.3% YoY
Net Debt
-$45M
Net Cash Position
Cash & Equiv.
$48M
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