Persistent negative free cash flow, which reached -$2.6 million in 2026Q1, highlights the company's total dependence on external financing to fund its research activities.
| Cash from Operations | -12.04M | -17.31M | -20.29M | -47.83M | -35.58M | -28.43M | -9.46M | -44.73M |
| Operating CF Margin % | - | - | - | - | - | - | -375.73% | -1332.29% |
| Operating CF Growth % | -505.72% | 14.71% | 57.57% | -34.4% | -25.15% | -200.53% | 78.85% | - |
| Net Income | -60.11M | -39.22M | 42.01M | -384.63M | -52.56M | -55.64M | -32.91M | 160.31M |
| Depreciation & Amortization | 78K | 78K | 97K | 99K | 68K | 3K | 0 | 1.26M |
| Stock-Based Compensation | 1.58M | 5.32M | 6.25M | 0 | 5.89M | 5.22M | 4.79M | 5.25M |
| Deferred Taxes | 0 | 0 | 0 | 0 | 4.75M | 1.18M | 0 | -14.64M |
| Other Non-Cash Items | 44.84M | 23.46M | -69.35M | 339.45M | -3K | 19.38M | 17.21M | -196.96M |
| Working Capital Changes | 1.57M | -6.94M | 706K | -2.74M | 6.27M | 1.42M | 1.45M | 50K |
| Change in Receivables | 0 | 0 | 0 | 0 | 0 | 0 | -148K | -24K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -7.39M |
| Change in Payables | 426K | -4.97M | 2.52M | -4.59M | 6.61M | -898K | 667K | 3.92M |
| Cash from Investing | 0 | -4K | 0 | 0 | -306K | -170K | -1.26M | -117.29M |
| Capital Expenditures | 0 | -4K | 0 | 0 | -306K | -170K | 0 | -1.69M |
| CapEx % of Revenue | - | - | - | - | - | - | - | 50.46% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | -1.26M | -36.53M |
| Investments | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | 7.83M | 20.3M | 15.15M | 14M | 40.51M | 13.56M | 24.57M | 73.21M |
| Debt Issued (Net) | 0 | 0 | 15M | 14M | 40.51M | 15M | 25.11M | 9.68M |
| Equity Issued (Net) | 3.62M | 18.51M | 147K | 0 | 0 | 0 | 0 | 77.73M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -64K |
| Other Financing | 4.21M | 1.79M | 0 | 0 | 0 | -1.44M | -541K | -14.2M |
| Net Change in Cash | -4.2M | 2.99M | -5.14M | -4.59M | 4.62M | -15.04M | 13.84M | -88.8M |
| Free Cash Flow | -12.04M | -17.31M | -20.29M | -47.83M | -35.89M | -28.6M | -9.46M | -46.42M |
| FCF Margin % | - | - | - | - | - | - | -375.73% | -1382.75% |
| FCF Growth % | 38.61% | 14.69% | 57.57% | -33.25% | -25.48% | -202.33% | 79.62% | - |
| FCF per Share | -0.99 | -1.74 | -35.23 | -0.62 | -18.61 | -16.31 | -103.26 | -502.91 |
| FCF Conversion (FCF/Net Income) | 0.20x | 0.44x | -0.48x | 0.12x | 0.68x | 0.51x | 0.29x | -0.26x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Imminent liquidity and dilution
As reported in financial statements, AEON's net income frequently diverges from operating cash flow, with the OCF/NI ratio fluctuating wildly between -0.87 and 0.57, illustrating that accounting profits are largely decoupled from the actual cash requirements of the firm's ongoing clinical development activities.
The extreme volatility in the OCF/NI ratio suggests that net income is heavily influenced by non-cash items or accounting adjustments that do not reflect the company's underlying cash burn. Investors should interpret these earnings figures with caution, as they fail to provide a reliable proxy for the actual liquidity drain occurring within the business.
Based on recent SEC filings, AEON has consistently reported negative free cash flow in every observed period, with quarterly outflows reaching as high as $11.0 million, confirming that the company remains entirely dependent on external financing to sustain its research and development operations.
The persistent negative FCF trajectory highlights the absence of a self-funding mechanism, which is typical for a pre-revenue biotech but underscores the high risk of capital exhaustion. The lack of any positive FCF trend suggests that the company's cash runway is strictly limited by its ability to access equity markets.
According to the provided cash flow data, working capital changes have been highly erratic, swinging from a $5.8 million outflow in 2025Q1 to a $3.3 million inflow in 2024Q4, which suggests significant variability in the timing of clinical trial payments and vendor obligations.
This instability in working capital management may indicate that the company is managing its cash outflows reactively based on available liquidity rather than a structured operational cycle. Such fluctuations complicate cash flow forecasting and may signal potential stress in managing vendor relationships during periods of tight capital.
As disclosed in financial statements, AEON has utilized stock-based compensation to manage its cash position, with quarterly SBC figures consistently appearing in the $1.3 million to $1.7 million range, effectively acting as a non-cash substitute for salary and operational expenses.
While SBC helps preserve the limited cash balance, it represents a significant dilution risk for shareholders that is not captured in the headline operating cash flow figures. Analysts should monitor the extent to which this reliance on equity-based incentives masks the true cost of talent acquisition and retention in a competitive biotech environment.
Quick answers to the most common questions about buying AEON stock.
AEON Biopharma, Inc. (AEON) generated $-17.3M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
AEON Biopharma, Inc. (AEON) reported negative free cash flow of $17.3M in 2025, indicating capital requirements exceeded cash from operations.
AEON Biopharma, Inc. (AEON) 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.