Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased from both the prior quarter and the same quarter last year. However, free cash flow remained negative, with the margin improving from the prior quarter but weakening compared to the year-ago period.
- Operating cash flow was negative, and capital expenditure increased, resulting in negative free cash flow. The free cash flow margin, while still deeply negative, improved from the previous quarter but worsened from a year earlier.
- Compared to the immediately preceding quarter, operating cash flow and free cash flow were less negative, and the free cash flow margin improved. Versus the same quarter one year ago, operating cash flow and free cash flow were more negative, and the margin weakened.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$61.2M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$15.2M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$14.7M
Cash generated by operations before capital spending.
CapEx
$442000
Capital spending and related asset purchases.
FCF margin
-522.4%
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 |
|---|---|---|---|---|---|
| 2023-03-31 | $1.6M | -$13.6M | $64000 | -$13.6M | -861.5% |
| 2023-06-30 | $1.7M | -$15.5M | $15000 | -$15.5M | -907.1% |
| 2023-09-30 | $2.6M | -$16.9M | $62000 | -$16.9M | -660.7% |
| 2023-12-31 | $2.9M | -$14.7M | $442000 | -$15.2M | -522.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 94.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 15.2% | 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.
Operating cash flow trend
Operating cash flow improved from the prior quarter but remained negative and was worse than the year-ago level. This sequential improvement was the most notable change among the metrics.
Sustained operations depend on further cash flow improvement or external financing, given the going concern language in the filing.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was negative, and capital expenditure increased, resulting in negative free cash flow. The free cash flow margin, while still deeply negative, improved from the previous quarter but worsened from a year earlier.
Compared to the immediately preceding quarter, operating cash flow and free cash flow were less negative, and the free cash flow margin improved. Versus the same quarter one year ago, operating cash flow and free cash flow were more negative, and the margin weakened.
The company's ability to obtain additional financing, as highlighted in the filing context regarding going concern uncertainties.