Persistent negative free cash flow, ranging between $1.3 million and $2.1 million per quarter, underscores the company's reliance on external financing to sustain operations.
| Cash from Operations | -6.52M | -6.49M | -6.92M | -6.81M | -11.19M | -11.95M | -7.63M | -6.34M | -2.5M | -494.86K | -274.38K | -465.22K |
| Operating CF Margin % | - | - | - | - | - | - | - | - | - | - | - | - |
| Operating CF Growth % | 17.53% | 6.21% | -1.7% | 39.15% | 6.39% | -56.55% | -20.42% | -153.71% | -404.87% | -80.35% | 41.02% | - |
| Net Income | -7.77M | -7.98M | -13.2M | -7M | -12.73M | -19.42M | -10.89M | -8.59M | -11.63M | -1.14M | -420.2K | -817.99K |
| Depreciation & Amortization | 565 | 565 | 565 | 564 | 60.5K | 55.11K | 564 | 565 | 563 | 565 | 565 | 565 |
| Stock-Based Compensation | 271.43K | 676.2K | 796.83K | 1.75M | 3.37M | 4.24M | 2.01M | 1.6M | 5.37M | 205.4K | 153.56K | 250.82K |
| Deferred Taxes | 0 | 0 | 0 | 0 | -502 | -94.08K | -1.56M | 0 | 3.48M | 0 | 0 | 0 |
| Other Non-Cash Items | -1.25M | 342.13K | 5.09M | -757.66K | -522K | 1.81M | 1.56M | 441.76K | 1.13M | 102.26K | 0 | 1.09K |
| Working Capital Changes | 266.21K | 465.67K | 386.14K | -794.21K | -1.37M | 1.46M | 1.25M | 208.17K | -849.32K | 336.37K | -8.32K | 100.29K |
| Change in Receivables | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -367 | -117 | 0 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 41.14K | 356.81K | 171.01K | -159.41K | 108.35K | -353.77K | 624.79K | 90.53K | -34.81K | 324.82K | -17.47K | 15.84K |
| Cash from Investing | 0 | 150K | 0 | 1.5M | 0 | -34.02K | -350K | 0 | 0 | 35.12K | 0 | 0 |
| Capital Expenditures | 0 | 0 | 0 | 0 | 0 | -64.61K | 0 | 0 | 0 | 0 | 0 | 0 |
| CapEx % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 30.59K | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 150K | 0 | 1.5M | 0 | 0 | -350K | 0 | 0 | 35.12K | 0 | 0 |
| Cash from Financing | 8.74M | 8.47M | 7.85M | 4.13M | 9.13M | 13.64M | 5.61M | 9.25M | 6.35M | 390K | 200K | 0 |
| Debt Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -75K | 350K | 200K | 0 |
| Equity Issued (Net) | 8.74M | 8.47M | 4.02M | 4.13M | 9.12M | 11.75M | 5.16M | 8.2M | 6.27M | 40K | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | -1.66K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 0 | 0 | 3.82M | 0 | 1.86K | 1.89M | 450.01K | 1.05M | 156.25K | 0 | 0 | 0 |
| Net Change in Cash | 2.22M | 2.13M | 923.44K | -1.17M | -2.06M | 1.66M | -2.38M | 2.91M | 3.85M | -69.75K | -74.38K | -465.22K |
| Free Cash Flow | -6.52M | -6.49M | -6.92M | 0 | -11.19M | -12.01M | -7.63M | -6.34M | -2.5M | -494.86K | -274.38K | -465.22K |
| FCF Margin % | - | - | - | - | - | - | - | - | - | - | - | - |
| FCF Growth % | 5.26% | 6.21% | - | 100% | 6.89% | -57.39% | -20.42% | -153.71% | -404.87% | -80.35% | 41.02% | - |
| FCF per Share | -4.76 | -9.71 | -9.31 | - | -263.07 | -403.94 | -382.79 | -402.09 | -328.09 | -56.49 | -35.89 | -60.81 |
| FCF Conversion (FCF/Net Income) | 0.84x | 0.81x | 0.52x | 0.97x | 0.88x | 0.62x | 0.70x | 0.74x | 0.21x | 0.43x | 0.65x | 0.57x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Clinical Trial Funding Shortfall
According to quarterly financial data, ADIL consistently reports net losses that exceed operating cash outflows, with the OCF/NI ratio fluctuating between 0.25 and 1.02, suggesting that non-cash charges and warrant-related accounting adjustments significantly distort the company's true cash-based operational performance and underlying burn rate.
The divergence between net income and operating cash flow highlights the impact of non-cash expenses on the company's reported bottom line. Investors should monitor this gap closely, as it suggests that GAAP net income is an unreliable proxy for the actual capital required to sustain clinical development.
As reported in recent filings, ADIL maintains a persistent negative free cash flow trajectory, with quarterly outflows typically ranging between $1.3 million and $2.1 million, reflecting the company's ongoing reliance on external financing to fund its clinical-stage research and development activities without any offsetting revenue generation.
The lack of positive free cash flow is characteristic of a pre-revenue biotech firm, yet the consistency of these outflows underscores the urgency of achieving a clinical milestone. This trend suggests that the company's survival remains tethered to its ability to access capital markets rather than operational self-sufficiency.
Based on the provided cash flow statements, ADIL exhibits erratic working capital movements, with quarterly changes oscillating between positive inflows of $393.4K and outflows of $264.1K, indicating that timing differences in vendor payments and clinical trial accruals create meaningful, albeit temporary, fluctuations in the company's available liquidity.
These working capital swings appear to be a byproduct of the project-based nature of clinical trial management rather than structural efficiency. Analysts should interpret these shifts as noise that obscures the underlying, steady-state cash burn required to maintain the AD04 program.
Data from recent SEC filings indicates that ADIL's cash flow statement is heavily influenced by non-operating items, including warrant-related adjustments and occasional acquisition-related cash flows, which mask the core operational costs associated with the company's primary mission of advancing its precision medicine therapeutic candidate.
The presence of these items warrants further investigation, as they complicate the assessment of the company's true operational efficiency. Investors should focus on the core cash burn to determine how much runway remains before the company must seek additional dilutive capital.
Quick answers to the most common questions about buying ADIL stock.
Adial Pharmaceuticals, Inc. (ADIL) generated $-6.5M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Adial Pharmaceuticals, Inc. (ADIL) reported negative free cash flow of $6.5M in 2025, indicating capital requirements exceeded cash from operations.
Adial Pharmaceuticals, Inc. (ADIL) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.