Free cash flow remains deeply negative, highlighted by a -1612.5% FCF margin in 2025Q2, indicating a structural inability to fund operations internally.
| Cash from Operations | -668.62M | -9.79M | -9.77M | -8.14M | -10.93M | -10.08M | -5.17M | -10.06M | -858.12K | -114.92K | -201.8K |
| Operating CF Margin % | - | -122.7% | -107.6% | -106.32% | -172.13% | -203.37% | -161.15% | -38.6% | -4.17% | -0.84% | -1.02% |
| Operating CF Growth % | -30284.64% | -0.17% | -20.03% | 25.57% | -8.49% | -94.8% | 48.59% | -1072.76% | -646.71% | 43.05% | - |
| Net Income | -5.22B | -32.79B | -22.58M | -3.6M | -10.82M | 62.87M | -45.06M | -16.74M | 1.14M | 93.15K | -9.33M |
| Depreciation & Amortization | 1.43B | 1.56B | 1.59M | 1.5M | 2.07M | 3.31M | 3.61M | 6.77M | 6.71M | 4.21M | 4.81M |
| Stock-Based Compensation | 308.29M | 496.72M | 1.1M | 150.52K | 791.31K | 1.32M | 5.14M | 277.05K | -766.42K | 483.37K | 869.3K |
| Deferred Taxes | -536.66M | -536.66M | -425K | 0 | 0 | -912.27K | 20.42M | 930.34K | 19.12K | -18.68K | 0 |
| Other Non-Cash Items | 33.06B | 31.25B | 10.42M | 980.58K | 1.17M | -77.87M | 4.02M | 290.98K | -2.54M | -290.35K | -287.29K |
| Working Capital Changes | 9.14M | 10.36M | 125.94K | -7.17M | -4.14M | 1.21M | 6.69M | -1.59M | 522.41K | 100.96K | 3.74M |
| Change in Receivables | -405.86M | -2.88M | -97.8K | -262.41K | 315.71K | -118.71K | 361.93K | -685.98K | -902.61K | 170.24K | 1.78M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 1.8M | 5.68M | 1.76M | 0 | 0 | 0 |
| Change in Payables | 501.95M | 5.75M | 737.59K | -39.28K | -22.36K | -556.78K | 687.63K | -982.15K | 113.52K | 45.39M | 0 |
| Cash from Investing | 11.39B | -38.39M | 23.81M | 6.13M | -70.14M | 105.86M | -5.51M | 8.04M | 213.9K | -138.69M | -347.77K |
| Capital Expenditures | -86.22M | -118.48M | -136K | -378.06K | -94.34K | -191.67K | -356.52K | -2.26M | -17.18M | -5.87M | -245.65K |
| CapEx % of Revenue | 5.53% | 1485.63% | 1.5% | 4.94% | 1.49% | 3.87% | 11.1% | 8.68% | 83.4% | 42.94% | 1.24% |
| Acquisitions | 0 | 0 | 0 | -6.43M | 0 | 106.05M | 0 | 14.94M | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 55.4B | 95.26B | -19.95M | -561.97K | -49.95K | 106.05M | 0 | -50.1K | 213.9K | -262.09K | -102.11K |
| Cash from Financing | -18.41B | 800.66K | 23.93M | 7.15M | -610.56K | -3.42M | 9.16M | 3.65M | 350K | 139.23M | 1.42M |
| Debt Issued (Net) | -9.85K | 7.5M | 17.58M | 9.23M | 0 | -3.42M | 2.91M | 0 | 350K | -62.5K | 1.08M |
| Equity Issued (Net) | -6.6M | -885 | 6.6M | -2.08M | -610.56K | 0 | 7M | 0 | 0 | 139.3M | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -6.6M | 0 | -422 | -2.08M | -610.56K | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -18.4B | -6.69M | -249K | 0 | 0 | 0 | -745.09K | 3.65M | 33.95M | 100 | 333.74K |
| Net Change in Cash | -7.64M | -47.4M | 37.92M | 5.15M | -81.72M | 92.46M | -1.5M | 1.62M | -294.23K | -2.09M | 867.19K |
| Free Cash Flow | -4.61B | -9.9M | -12.13M | -9.19M | -11.03M | -10.27M | -5.53M | -12.33M | -18.04M | -5.99M | -447.45K |
| FCF Margin % | -295.65% | -124.19% | -133.59% | -120% | -173.61% | -207.24% | -172.25% | -47.28% | -87.56% | -43.78% | -2.25% |
| FCF Growth % | -107.03% | 18.34% | -32.04% | 16.71% | -7.38% | -85.71% | 55.14% | 31.67% | -201.39% | -1237.79% | - |
| FCF per Share | -73.99 | -0.25 | -0.33 | -0.25 | -0.28 | -0.26 | -0.19 | -0.76 | -4.14 | -1.37 | -0.03 |
| FCF Conversion (FCF/Net Income) | 0.88x | 0.30x | 0.58x | 2.37x | 1.01x | -0.16x | 0.11x | 0.60x | 0.03x | -1.23x | 0.02x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 169.71K | 0 | 0 |
Operational cash flow insolvency
According to recent financial statements, AGAE exhibits a severe disconnect between net income and operating cash flow, with the OCF/NI ratio frequently reaching extreme levels, such as the 3.26 observed in 2023Q4, indicating that accounting losses fail to capture the full extent of cash burn.
The consistent inability to generate positive operating cash flow despite reported net losses suggests that the company's accrual-based accounting masks a more aggressive cash depletion profile. Investors should monitor this divergence as it implies that the underlying business model requires significant cash infusions just to maintain current, albeit shrinking, operations.
As reported in quarterly filings, AGAE's free cash flow trajectory remains deeply negative, with FCF margins reaching as low as -1612.5% in 2025Q2, highlighting a structural inability to fund operations through internal cash generation while maintaining the company's high-cost physical infrastructure.
The volatility in FCF margins suggests that the company's cash outflows are not merely a function of growth investment but are tied to rigid fixed costs that do not scale with revenue. This trend warrants further investigation into whether the company can achieve a cash-flow-positive state without a fundamental restructuring of its cost base.
Based on reported figures, AGAE's capital expenditure intensity has been highly erratic, peaking at 119% of revenue in 2024Q4, which suggests that the company is forced to reinvest heavily in its physical assets just to sustain its existing, declining event-based revenue stream.
The high capital intensity relative to revenue indicates that the Luxor arena requires constant technological and facility upgrades to remain competitive in the gaming space. This ongoing maintenance burden appears to be a primary driver of the company's cash burn, limiting the capital available for strategic pivots.
Analysis of recent SEC filings reveals that AGAE's cash flow statement is heavily distorted by non-cash adjustments and stock-based compensation, such as the $303.5 million adjustment in 2025Q3, which complicates the assessment of the company's true operational health and its ability to preserve remaining capital.
These large, non-operational adjustments suggest that the cash flow statement may be obscuring the true extent of the company's operational insolvency. Investors should be wary of relying on headline cash figures, as they appear to be heavily influenced by accounting maneuvers rather than sustainable cash-generating activities.
Quick answers to the most common questions about buying AGAE stock.
Allied Gaming & Entertainment Inc. (AGAE) generated $-9.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Allied Gaming & Entertainment Inc. (AGAE) reported negative free cash flow of $9.9M in 2025, indicating capital requirements exceeded cash from operations.
Allied Gaming & Entertainment Inc. (AGAE) spent $118.5M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.