Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was stable compared to the prior quarter, while operating cash flow improved to a less negative level. Free cash flow remained negative but showed a narrower margin, though the company's liquidity position remains constrained.
- Revenue was broadly unchanged from the previous quarter, while operating cash outflow decreased, resulting in a less negative free cash flow. Capital expenditure remained minimal, and the free cash flow margin improved from a deeply negative level to a less negative one.
- Compared to the immediately preceding quarter, revenue was similar, operating cash flow was less negative, and free cash flow margin improved. Versus the same quarter one year ago, operating cash flow was more negative and capital expenditure was slightly higher; revenue data for that period was not provided.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$15.8M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$3.2M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$3.2M
Cash generated by operations before capital spending.
CapEx
$17706
Capital spending and related asset purchases.
FCF margin
-456.4%
The share of revenue converted into free cash flow.
Cash flow trend
A short quarterly history shows whether FCF is scaling with revenue or only spiking for one period.
| Period | Revenue | Operating CF | CapEx | FCF | FCF margin |
|---|---|---|---|---|---|
| 2023-09-30 | n/a | -$3.0M | $0 | -$3.0M | n/a |
| 2023-12-31 | n/a | -$4.3M | $0 | -$4.3M | n/a |
| 2024-03-31 | $700433 | -$5.2M | $4578 | -$5.2M | -747.6% |
| 2024-06-30 | $704848 | -$3.2M | $17706 | -$3.2M | -456.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 22.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.5% | Lower capital intensity usually supports FCF margin. |
| Net cash | n/a | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Reduced operating cash outflow
Operating cash outflow decreased relative to the prior quarter, leading to a less negative free cash flow and an improved margin. This was the most notable change among the metrics.
The slower cash burn provides some near-term relief, but the company's limited cash reserves and going concern uncertainty remain critical risks.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was broadly unchanged from the previous quarter, while operating cash outflow decreased, resulting in a less negative free cash flow. Capital expenditure remained minimal, and the free cash flow margin improved from a deeply negative level to a less negative one.
Compared to the immediately preceding quarter, revenue was similar, operating cash flow was less negative, and free cash flow margin improved. Versus the same quarter one year ago, operating cash flow was more negative and capital expenditure was slightly higher; revenue data for that period was not provided.
Monitor the company's cash position and the substantial doubt about its ability to continue as a going concern, as disclosed in the filing.