Operational cash burn remains a critical concern, with the company reporting a $3.2M negative free cash flow in 2026Q1 and an OCF/NI ratio as low as 0.11 in 2024Q4, indicating poor conversion of earnings to cash.
| Cash from Operations | -12.12M | -11.26M | -6.04M | -2.83M | -4.96M | -1.56M |
| Operating CF Margin % | - | -249.25% | -637.08% | -1549.64% | -1183.1% | -510.2% |
| Operating CF Growth % | -412.1% | -86.4% | -113.61% | 42.99% | -218.48% | - |
| Net Income | -19.08M | -17.59M | -7.68M | -1.88M | -5.45M | -3.2M |
| Depreciation & Amortization | 577.97K | 543.17K | 466.69K | 433.6K | 157.8K | 146.29K |
| Stock-Based Compensation | 1.12M | 859.95K | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 6.33M | 6.06M | 1.07M | -2.06M | -22.82K | -34.85K |
| Working Capital Changes | -1.07M | -1.14M | 109.03K | 676.12K | 355.34K | 1.53M |
| Change in Receivables | 74.99K | 127.15K | -29.31K | 58.36K | 65.7K | -133.8K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 56.88K | -3.63K | 2.52K | 48.93K | 235.43K | 54.97K |
| Cash from Investing | -2.05M | -1.74M | -1.55M | 506.1K | 1.08M | -2.65M |
| Capital Expenditures | -76.56K | -42.9K | -529.08K | -175.24K | -452.45K | -4.98M |
| CapEx % of Revenue | 1.73% | 0.95% | 55.79% | 96% | 107.88% | 1632.2% |
| Acquisitions | 0 | - | - | - | - | - |
| Investments | - | - | - | - | - | - |
| Other Investing | -601.31K | -676.14K | -50K | 0 | 1.56M | 2.45M |
| Cash from Financing | 17.62M | 17.65M | 4.26M | 7.52M | 3.04M | 5.53M |
| Debt Issued (Net) | 0 | - | - | - | - | - |
| Equity Issued (Net) | 25.47M | 25.57M | 0 | 0 | 4.28M | 98.25K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -2.45M | -2.45M | -727.5K | 7.52M | -416.31K | -1.07M |
| Net Change in Cash | 3.46M | 4.66M | 0 | 5.2M | -838.53K | 1.33M |
| Free Cash Flow | -12.27M | -11.31M | -6.05M | -3M | -5.41M | -6.54M |
| FCF Margin % | -276.76% | -250.2% | -638.41% | -1645.64% | -1290.98% | -2142.4% |
| FCF Growth % | -67.71% | -86.72% | -101.57% | 44.52% | 17.24% | - |
| FCF per Share | -2.32 | -3.70 | -0.14 | -0.07 | -3.18 | -0.16 |
| FCF Conversion (FCF/Net Income) | 0.64x | 0.64x | 0.23x | 1.51x | 0.91x | 0.29x |
| Interest Paid | 418.28K | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 |
Persistent Operating Cash Burn
Based on reported financial statements, reAlpha Tech Corp. consistently exhibits a significant gap between net income and operating cash flow, with OCF/NI ratios fluctuating wildly, including a notable 0.11 reading in 2024Q4, which suggests that accounting losses are not fully capturing the underlying cash-based operational requirements.
The recurring disparity between net income and operating cash flow indicates that the company's accrual-based accounting may be masking the severity of its cash-burning activities. Investors should monitor whether this divergence stems from non-cash expenses or timing differences in property syndication, as the current trend suggests that cash outflows are structurally decoupled from reported profitability metrics.
As reported in recent filings, reAlpha Tech Corp. maintains a consistently negative free cash flow trajectory, with quarterly outflows reaching as high as $4.3M in 2025Q3, underscoring the company's inability to self-fund its operations through its current property syndication and platform services business model.
The persistent negative FCF margins suggest that the company is currently in a capital-intensive growth phase that lacks a clear path to self-sustainability. Without a significant shift in revenue scale or a reduction in operating overhead, the company appears reliant on external financing to bridge the gap between its cash-consuming operations and its long-term strategic objectives.
According to historical cash flow data, working capital changes have been highly erratic, swinging from a $3.6M inflow in 2023Q3 to a $1.7M outflow in 2025Q3, which indicates that the company's cash position is highly sensitive to the timing of property-related transactions and inventory management.
The volatility in working capital suggests that the company's cash flow is heavily dependent on the successful and timely execution of property syndication events. This reliance creates significant liquidity risk, as any delay in closing these transactions could lead to sudden cash crunches that the company may be ill-equipped to manage given its current burn rate.
Financial disclosures reveal that stock-based compensation has been a consistent feature of the company's cash flow statement, with quarterly adjustments reaching $340.8K in 2026Q1, which effectively masks the true economic cost of talent acquisition and retention within the firm's high-overhead operating structure.
While stock-based compensation is a non-cash expense, its prevalence suggests that the company is utilizing equity to preserve limited cash reserves. Investors should consider the dilutive impact of these grants, as they represent a real economic cost to shareholders that is not fully reflected in the reported operating cash flow figures.
Quick answers to the most common questions about buying AIRE stock.
reAlpha Tech Corp. Common Stock (AIRE) generated $-11.3M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
reAlpha Tech Corp. Common Stock (AIRE) reported negative free cash flow of $11.3M in 2025, indicating capital requirements exceeded cash from operations.
reAlpha Tech Corp. Common Stock (AIRE) 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.