Free cash flow remains highly unstable, evidenced by a swing from a 29.3% margin in 2024Q4 to a -5.5% margin in 2025Q1, exacerbated by a 6.5% average CapEx/Revenue ratio.
| Cash from Operations | 399.9M | 340.3M | 502M | 261M | 174.3M | 166.5M | 259.9M | 358.8M | 118.5M | 162M | 227.8M |
| Operating CF Margin % | - | 11.8% | 19.53% | 11.31% | 7.77% | 8.18% | 13.43% | 20.66% | 8.11% | 11.08% | 13.37% |
| Operating CF Growth % | 8427.1% | -32.21% | 92.34% | 49.74% | 4.68% | -35.94% | -27.56% | 202.78% | -26.85% | -28.88% | - |
| Net Income | 222.6M | 208.4M | 93.7M | 159.2M | 245.8M | 69.6M | 106.6M | 113.3M | 75.7M | 89.7M | 123M |
| Depreciation & Amortization | 222.9M | 223M | 195M | 159.5M | 154.1M | 136.9M | 115.2M | 85.8M | 67.6M | 65.7M | 65.6M |
| Stock-Based Compensation | 26M | 26.4M | 24.3M | 23.9M | 19.1M | 18M | 20M | 14.6M | 9.9M | 9M | 10.5M |
| Deferred Taxes | 34.2M | 26M | 25.2M | 31.8M | 44.8M | 11.9M | 9.6M | 17.3M | 22.4M | 10.3M | 23.1M |
| Other Non-Cash Items | -32.3M | 11.5M | -21.2M | 34.2M | -224.2M | -19.6M | 4.7M | -4.8M | 13.3M | -12.2M | -4.7M |
| Working Capital Changes | -73.5M | -154.2M | 185M | -147.6M | -65.3M | -50.3M | 3.8M | 132.6M | -70.4M | -500K | 10.3M |
| Change in Receivables | 8.1M | -69.5M | 70M | -47.8M | -65.9M | -34.3M | -40.7M | 102.5M | -69.8M | -24.3M | -26.5M |
| Change in Inventory | -68.5M | -72.6M | 59.2M | -83.5M | -26.7M | -24.6M | 32.6M | -22.7M | -29.9M | 24.3M | 56.4M |
| Change in Payables | -24.3M | 21.9M | -48.3M | 77.2M | 27M | 34.7M | 43.5M | 3.5M | 20.6M | 7.1M | -20.5M |
| Cash from Investing | -208.3M | -121.4M | -1.51B | -285.8M | 90.7M | -570.3M | -528.2M | -109.4M | -364.5M | -126.4M | -79.8M |
| Capital Expenditures | -175.1M | -165.6M | -189.7M | -203.5M | -138M | -85.1M | -82.1M | -85.4M | -44.8M | -82.4M | -84.8M |
| CapEx % of Revenue | 6.2% | 5.74% | 7.38% | 8.82% | 6.15% | 4.18% | 4.24% | 4.92% | 3.07% | 5.63% | 4.98% |
| Acquisitions | 13M | 44.2M | -1.42B | -120.9M | 196.5M | -505.2M | -455.7M | -32.9M | -329.9M | -47.5M | 5M |
| Investments | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -46.2M | 0 | 104.9M | 38.6M | 32.2M | 20M | 9.6M | 8.9M | 10.2M | 3.5M | 0 |
| Cash from Financing | -185.1M | -191.6M | 1.09B | -30.8M | -177.5M | 380.9M | 123.7M | -108.4M | 338.6M | -42.8M | -144.2M |
| Debt Issued (Net) | -165.4M | -168.7M | 1.13B | 14.2M | -140.2M | 416.8M | 146.5M | -81.2M | 179.7M | 500K | -500K |
| Equity Issued (Net) | -10.9M | 0 | -10.6M | -25.2M | -27.5M | -19.5M | -11.8M | -15.4M | -3.5M | 0 | 0 |
| Dividends Paid | -9.9M | -10M | -9.7M | -9.8M | -9.8M | -9.8M | -9.8M | -9.9M | 0 | 0 | 0 |
| Share Repurchases | -23.6M | 0 | -10.6M | -25.2M | -27.5M | -19.5M | -11.8M | -15.4M | -3.5M | 0 | 0 |
| Other Financing | 1.1M | -12.9M | -23.3M | -10M | 0 | -6.6M | -1.2M | -1.9M | 162.4M | -43.3M | -143.7M |
| Net Change in Cash | -14.7M | 27.3M | 82.5M | -55.6M | 87.5M | -22.9M | -144.6M | 141M | 92.6M | -7.2M | 3.8M |
| Free Cash Flow | 224.8M | 175.5M | 312.3M | 57.5M | 36.3M | 81.4M | 177.8M | 273.4M | 73.7M | 79.6M | 143M |
| FCF Margin % | 7.96% | 6.09% | 12.15% | 2.49% | 1.62% | 4% | 9.19% | 15.74% | 5.05% | 5.44% | 8.39% |
| FCF Growth % | -10.62% | -43.8% | 443.13% | 58.4% | -55.41% | -54.22% | -34.97% | 270.96% | -7.41% | -44.34% | - |
| FCF per Share | 4.57 | 3.58 | 6.40 | 1.18 | 0.75 | 1.67 | 3.67 | 5.65 | 1.51 | 1.63 | 2.93 |
| FCF Conversion (FCF/Net Income) | 1.01x | 1.63x | 5.36x | 1.64x | 0.71x | 2.39x | 2.44x | 3.17x | 1.57x | 1.81x | 1.85x |
| Interest Paid | 0 | 0 | 0 | 23.4M | 23.6M | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 13.6M | 21.9M | 2.9M | 0 | 0 | 0 | 0 | 0 |
Cyclical Working Capital Volatility
As reported in financial statements, Arcosa's OCF/NI ratio has exhibited extreme volatility, ranging from a negative 0.03 in 2025Q1 to a massive 8.13 in 2024Q3, suggesting that net income is a poor proxy for the actual cash-generating capacity of the underlying industrial operations.
The significant divergence between net income and operating cash flow indicates that non-cash charges and working capital swings heavily influence reported profitability. Investors should monitor whether this disconnect stems from the percentage-of-completion accounting methods used in long-term infrastructure projects, which may decouple revenue recognition from actual cash collection.
Based on Arcosa's reported figures, FCF margins have fluctuated wildly from a peak of 29.3% in 2024Q4 to a low of -5.5% in 2025Q1, highlighting the company's struggle to maintain consistent cash conversion amidst shifting project cycles and capital expenditure requirements.
The erratic FCF trajectory suggests that the company's cash flow profile is highly sensitive to the timing of large-scale infrastructure contract milestones. This inconsistency warrants further investigation into whether the current capital expenditure levels are sufficient to sustain long-term growth or if they are merely reactive to project-specific demands.
According to recent SEC filings, Arcosa's CapEx/Revenue ratio has remained consistently elevated, averaging roughly 6.5% over the last ten quarters, which underscores the capital-intensive nature of maintaining quarrying equipment and specialized steel fabrication facilities required for its core business segments.
The persistent capital intensity suggests that Arcosa must continuously reinvest a significant portion of its revenue to maintain its competitive position in the aggregates and infrastructure markets. This high fixed-cost burden may limit the company's ability to generate meaningful free cash flow during periods of top-line contraction.
As indicated by quarterly data, working capital changes have been a major source of cash flow volatility, with a massive $179.7 million inflow in 2024Q4 followed by an $80.7 million outflow in 2025Q1, reflecting the cyclical nature of inventory and receivables management.
These dramatic swings in working capital appear to be a structural feature of the company's project-based business model, where large contract payments can create temporary liquidity spikes or drains. Analysts should be wary of interpreting these short-term fluctuations as indicators of long-term operational efficiency or cash flow sustainability.
Quick answers to the most common questions about buying ACA stock.
Arcosa, Inc. (ACA) generated $340.3M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Arcosa, Inc. (ACA) generated $175.5M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Arcosa, Inc. (ACA) spent $165.6M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Arcosa, Inc. (ACA) returned $10.0M to shareholders via cash dividends. This shows the company's commitment to returning capital to its equity investors.