WTF Waton Financial Ltd

Overview and Growth

Waton Financial Ltd generated $11.08M of revenue in fiscal 2026, with net loss of $15.15M and an operating cash outflow of $7.06M. Revenue of $11.08M sets the scale for evaluating how effectively sales translated into profit and cash during the year. Compared with $7.45M in fiscal 2025, revenue recorded a 48.8% year-over-year increase. On a per-share basis, diluted EPS was -$0.31, which connects the reported earnings outcome with the company’s diluted share count. A diluted share base of 48.22M links the aggregate earnings figure to diluted EPS and helps frame the per-share comparison. Diluted shares moved 15.4% from 41.79M in fiscal 2025, leaving the current share base higher year over year. At period end, total assets were $54.66M, framing the scale of the company’s operating and financing commitments. The revenue-to-assets relationship was 0.2x, showing the sales generated relative to the resources carried on the balance sheet.

Profitability

The company recorded an operating loss of $14.53M after the reported operating expense base. Relative to revenue, the operating deficit measured 131.1%, showing the shortfall after operating costs. After all below-operating-line items, the company recorded a net loss of $15.15M for the fiscal year. Net margin was -136.7%, reflecting a loss equal to 136.7% of reported revenue. EBITDA was negative $14.37M, showing a deficit before interest, taxes, depreciation, and amortization. The pretax result was a loss of $15.15M, establishing the deficit before tax effects. The pretax loss equaled 136.7% of revenue, measuring the pre-tax deficit against sales. The reported income-tax provision was $0.00, the amount recognized between pretax income and the final net-income result. The net loss equaled 69.7% of period-end equity, showing the deficit relative to book capital. The loss-to-assets relationship was 27.7%, placing the bottom-line deficit against the company’s resource base. The net loss widened to $15.15M from $11.97M in fiscal 2025.

Liquidity and Capital Structure

Total assets were $54.66M, supported by $32.93M of liabilities and $21.73M of shareholder equity. Current assets were $50.15M against $32.47M of current liabilities, framing the resources and obligations classified within the near-term balance-sheet horizon. At 1.54x, the current ratio shows that short-term assets were greater than short-term liabilities at period end. The company held $10.41M in cash and equivalents, a narrower liquidity measure than total current assets. Measured only with cash and equivalents, coverage of current liabilities was 32.1%, excluding receivables and other current assets. Equity equaled 39.7% of assets, showing the shareholder-capital layer within the company’s balance sheet. The liabilities-to-assets relationship was 60.3%, placing reported obligations against the full positive asset balance. The cash-to-assets relationship was 19.0%, comparing reported cash and equivalents with the full positive asset balance. The asset base changed 77.9% from $30.72M in fiscal 2025, leaving current total assets higher year over year. Reported equity changed 70.2% from $12.77M in fiscal 2025, placing the current capital base higher year over year. Compared with $7.72M in fiscal 2025, the current cash balance moved 34.9% and finished higher.

Cash Flow and Earnings Quality

Operating activities used $7.06M of cash, resulting in an operating cash outflow for the year. The company spent $323.57K on capital expenditures while operations also absorbed cash, so both ongoing activity and investment drew on liquidity during the period. Operating cash flow and capital spending combined to leave a $7.38M cash deficit after capital spending. Relative to revenue, the post-investment cash deficit represented 66.6%. The free-cash-flow deficit equaled 13.5% of total assets, placing the cash shortfall against the company’s resource base. The company shifted from generating $359.96K of operating cash in fiscal 2025 to absorbing $7.06M.

Based on the annual report for the fiscal year ending Mar 31, 2026. Analysis generated Sep 24, 2026.