Capital allocation remains disciplined with a consistent $5.1 million quarterly dividend payout, though cash flow from operations remains volatile due to the timing of accruals and non-cash items.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 |
|---|
| Cash from Operations | 94.41M | 67.53M | 28.96M | 28.98M | 102.97M | 149.83M | -22.25M | 19.25M | 53.55M | 47.89M | 33.99M | 24.36M | 21.37M | 57.87M | 0 |
| Operating CF Growth % | 671.86% | 133.18% | -0.08% | -71.85% | -31.28% | 773.34% | -215.61% | -64.06% | 11.82% | 40.9% | 39.53% | 13.98% | -63.07% | - | - |
| Net Income | 27.1M | 17.44M | 17.78M | 11.7M | 40.01M | 52.68M | 44.67M | 29.54M | 25.87M | 15M | 14.04M | 17.11M | 20.77M | 20.27M | 16.26M |
| Depreciation & Amortization | 11.61M | 16.09M | 14.88M | 8.51M | 8.24M | 8.81M | 8.93M | 8.77M | 8.73M | 9.86M | 11.38M | 8.73M | 8.16M | 7.46M | 0 |
| Deferred Taxes | 6.66M | 5.89M | -3.98M | 893K | 913K | 2.79M | -4.43M | 337K | -20K | 9.74M | -3.04M | 581K | -1.73M | -974K | 0 |
| Other Non-Cash Items | 45.66M | 39.61M | 10.18M | 25.17M | 40.88M | 82.78M | -44.4M | -16.13M | 119K | 4.43M | 3.68M | 3.38M | -2.33M | 215K | -16.26M |
| Working Capital Changes | 730K | -14.2M | -11.55M | -16.23M | 11.02M | -319K | -28.94M | -5.02M | 17.01M | 7.92M | 6.47M | -6.47M | -4.88M | 29.66M | 0 |
| Cash from Investing | 116.82M | 76.55M | -330.03M | -51.99M | -292.62M | -417.66M | -538.39M | -65.59M | -154.71M | -205.09M | -59.41M | -32.21M | -9.02M | -166.18M | 0 |
| Purchase of Investments | -407.37M | -382.14M | -110.11M | 0 | -95.6M | -789.96M | -414.72M | -123.23M | -29.56M | -38.23M | -82.49M | -27.49M | -18.39M | -67.65M | 0 |
| Sale/Maturity of Investments | 463.49M | 553.61M | 216.98M | 259.97M | 134.03M | 153.09M | 145.33M | 70.03M | 43.85M | 42.9M | 102.72M | 40.1M | 107.06M | 45.42M | 0 |
| Net Investment Activity | 56.11M | 171.47M | 106.87M | 259.97M | 38.42M | -636.87M | -269.4M | -53.2M | 14.29M | 4.67M | 20.23M | 12.61M | 88.67M | -22.23M | 0 |
| Acquisitions | 0 | 0 | 8.61M | 0 | 101.51M | 0 | -9.28M | 10.38M | 0 | 0 | -45.44M | -4.31M | -10.84M | -1.88M | 0 |
| Other Investing | 59.7M | -94.92M | -433.15M | -308.79M | -430.77M | 220.92M | -255.9M | -19.88M | -165.25M | -206.49M | -32.51M | -36.6M | -84.75M | -138.25M | 0 |
| Cash from Financing | -165.38M | -138.13M | 232.42M | 94.76M | 5.59M | 337.18M | 589.6M | 149.7M | 19.81M | 71.83M | -33.37M | 229.09M | -39.37M | 57.17M | 0 |
| Dividends Paid | -20.83M | -20.82M | -15.45M | -14.82M | -12.8M | -10.75M | -10.39M | -8.91M | -7.46M | -6.73M | -6.19M | -6.06M | -5.53M | -4.89M | 0 |
| Share Repurchases | -7.15M | -737K | -276K | -6.64M | -738K | -712K | -482K | -1.95M | -356K | -294K | -357K | -27K | 0 | -203K | 0 |
| Stock Issued | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 62.8M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Net Stock Activity | -7.15M | -737K | -276K | -6.64M | -738K | -712K | -482K | 60.86M | -356K | -294K | -357K | -27K | 0 | -203K | 0 |
| Debt Issuance (Net) | 1000K | 1000K | -1000K | -1000K | 1000K | 80K | -210K | -1000K | 1000K | 1000K | -1000K | 1000K | 1000K | -1000K | 0 |
| Other Financing | -252.75M | -186.41M | 324.95M | 180.13M | -358.75M | 348.56M | 600.68M | 191.44M | -35.67M | 49.75M | 25.02M | 195.85M | -36.36M | 67.12M | 0 |
| Net Change in Cash | 45.85M | 5.95M | -68.65M | 71.65M | -184.07M | 69.35M | 28.96M | 103.36M | -81.35M | -85.37M | -58.79M | 220.63M | -27.02M | -51.13M | 0 |
| Exchange Rate Effect | 24.85M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 67.19M | 61.24M | 129.89M | 58.24M | 242.31M | 172.96M | 144.01M | 40.65M | 122M | 207.37M | 266.16M | 45.53M | 72.54M | 123.68M | 0 |
| Cash at End | 128.83M | 67.19M | 61.24M | 129.89M | 58.24M | 242.31M | 172.96M | 144.01M | 40.65M | 122M | 207.37M | 266.16M | 45.53M | 72.54M | 0 |
| Interest Paid | 81.13M | 110.36M | 110.02M | 72.64M | 15.1M | 4.54M | 12.64M | 18.43M | 12.31M | 8.03M | 7.26M | 3.38M | 3.39M | 0 | 0 |
| Income Taxes Paid | 2.64M | 2.64M | 448K | 10.84M | 12.53M | 13.12M | 13.58M | 7.22M | 5.35M | 13.07M | 1.61M | 10.16M | 11.26M | 0 | 0 |
| Free Cash Flow | 95.41M | 58.83M | 16.59M | 25.71M | 101.18M | 148.13M | -26.06M | 16.35M | 49.8M | 44.94M | 32.3M | 20.45M | 19.27M | 54.05M | 0 |
| FCF Growth % | 735.49% | 254.62% | -35.48% | -74.59% | -31.7% | 668.34% | -259.44% | -67.17% | 10.8% | 39.12% | 57.95% | 6.13% | -64.35% | - | - |
Earnings Volatility from Fees
According to recent financial disclosures, Alerus Financial Corporation generated $23.0 million in net income during 2026Q1, reflecting a recovery in earnings capacity that supports organic capital retention despite the historical volatility observed in prior quarters where net income occasionally dipped into negative territory during 2025Q4.
The ability to generate consistent net income is essential for maintaining regulatory capital buffers, especially given the firm's reliance on fee-based segments that can experience lumpy revenue recognition. Investors should monitor whether this recent earnings recovery can be sustained to support future growth initiatives without necessitating external capital raises.
As reported in quarterly cash flow statements, Alerus Financial Corporation actively managed its investment securities portfolio, notably executing a significant $377.9 million purchase in 2025Q4, which suggests a strategic effort to rebalance duration or yield profiles in response to shifting interest rate expectations across the broader market.
The high volume of securities purchases and sales indicates that the investment portfolio serves as a primary liquidity management tool rather than a static asset base. This active turnover may introduce non-cash volatility into the income statement, warranting further investigation into the realized gains or losses associated with these frequent portfolio adjustments.
Based on reported figures, Alerus Financial Corporation maintained a consistent dividend payout of approximately $5.1 million in 2026Q1, demonstrating a commitment to shareholder returns that appears stable even during periods of earnings fluctuation, such as the $66.0 thousand net loss recorded in the 2024Q4 period.
The firm's decision to prioritize dividends over aggressive share buybacks suggests a conservative approach to capital allocation that favors income-oriented investors. However, the sustainability of these payments remains tethered to the firm's ability to maintain profitability in its core banking and retirement segments, which may face ongoing margin pressure.
As indicated by the wide variance in OCF/NI ratios, ranging from -144.23 in 2024Q4 to 3.64 in 2024Q3, the reported cash flow from operations often masks the underlying operational performance due to the impact of non-cash items and the timing of accruals within the retirement services segment.
The extreme fluctuations in operating cash flow suggest that traditional cash flow metrics are less reliable for assessing the core health of this institution. Analysts should focus on the underlying earnings quality and the stability of fee-based revenue streams rather than relying on the headline cash flow figures, which appear heavily distorted by accounting adjustments.
Quick answers to the most common questions about buying ALRS stock.
Alerus Financial Corporation (ALRS) generated $67.5M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Alerus Financial Corporation (ALRS) generated $58.8M 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.
Alerus Financial Corporation (ALRS) 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.
In 2025, Alerus Financial Corporation (ALRS) returned $20.8M to shareholders via cash dividends and spent $0.7M on share repurchases. This shows the company's commitment to returning capital to its equity investors.