RE:RE:Interesting StatsAn example in 2022 annual report:
On the Income Statement, it reads "Amortization of Intangible Assets" = $51.7M
Under Operating Cash Flow, it reads "Depcreciation & Amortization" = $62.6M
So, the majority is intangible assets which I understand as our drug rights. Only 11M is for GBT/hard assets.
Goodwill is not amortized.
If the drugs are accurately amortized, which I assume is unlikely as some of the drugs could far outlast their amortization, then that money will have to be reinvested in replacing those drugs. So, what % of that is a real cost to GUD? 90%, 80%? 60%? I have no idea
If you're being conservative and say 90% is a real cost, then that 51.7 turns to a cost of $46.5M which would turn OCF to a free cash flow of negative 6M for 2022. Eventually, it's the FCF that will really matter. In the short term, OCF is great.