Operational sustainability is under pressure as the company burned $3.2 million in free cash flow during 2026Q1, reflecting a persistent inability to convert revenue into positive cash generation.
| Cash from Operations | -22.7M | -28.95M | -42.3M | -63.98M | -46.98M | -14.33M | -35 |
| Operating CF Margin % | - | -190.06% | -131.73% | -119.67% | -73.17% | -37.47% | - |
| Operating CF Growth % | 183.54% | 31.57% | 33.89% | -36.19% | -227.87% | -40939900% | - |
| Net Income | -33.35M | -28.75M | -26.15M | -80.61M | -37.74M | -12.39M | -5.17K |
| Depreciation & Amortization | 951K | 983K | 997K | 746K | 2M | 707K | 0 |
| Stock-Based Compensation | 3.78M | 3.15M | 3.06M | 8.36M | 437K | 313K | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 1.27M | 0 | 0 |
| Other Non-Cash Items | 18.9M | 3.5M | -21.8M | 7.33M | 840K | -1.47M | 0 |
| Working Capital Changes | -4.1M | -7.82M | 1.6M | 194K | -13.79M | -1.5M | 5.13K |
| Change in Receivables | 2.09M | 844K | 8.98M | -1.32M | -22.82M | -927K | 0 |
| Change in Inventory | -332K | -486K | 543K | -3.71M | -1.15M | -1.28M | 0 |
| Change in Payables | -1.08M | -3.14M | -3.92M | 4.66M | 3.32M | -488K | 0 |
| Cash from Investing | 0 | 0 | -611K | -1.61M | -1.55M | -912K | 0 |
| Capital Expenditures | 0 | 0 | -611K | -1.61M | -1.55M | -912K | 0 |
| CapEx % of Revenue | 0% | - | 1.9% | 3% | 2.41% | 2.38% | - |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | 7.34M | 18.97M | 20.21M | 95.99M | 30.54M | 28.95M | 47.13K |
| Debt Issued (Net) | 795K | 795K | 280K | 71K | 30.95M | 19.07M | 170K |
| Equity Issued (Net) | 20.91M | 18.97M | 21.26M | 213K | 132K | 9.87M | 25K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -14.43M | -795K | -1.33M | 95.7M | -548K | 1K | -147.88K |
| Net Change in Cash | -15.35M | -9.98M | -22.7M | 30.4M | -17.99M | 13.7M | 47.09K |
| Free Cash Flow | -22.7M | -28.95M | -42.91M | -65.59M | -48.53M | -15.24M | -40 |
| FCF Margin % | -180.19% | -190.06% | -133.64% | -122.67% | -75.58% | -39.85% | - |
| FCF Growth % | 47.99% | 32.54% | 34.57% | -35.15% | -218.42% | -38102400% | - |
| FCF per Share | -25.50 | -57.55 | -286.43 | -691.24 | -676.08 | -53.01 | -0.00 |
| FCF Conversion (FCF/Net Income) | 0.68x | 1.01x | 1.62x | 0.79x | 1.24x | 1.16x | 0.01x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 1.32M | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Critical liquidity depletion risk
As evidenced by the quarterly cash flow statements, Allurion's operating cash flow consistently trails net income, with the most recent period showing an OCF/NI ratio of 0.53, suggesting that reported earnings are not being effectively converted into the liquid resources necessary to sustain the company's current operational scale.
The persistent gap between net income and operating cash flow indicates that non-cash charges and working capital requirements are exerting significant pressure on the company's liquidity. Investors should monitor this divergence closely, as it implies that the underlying quality of earnings remains weak and insufficient to fund the firm's ongoing cash requirements.
Based on historical financial data, Allurion's free cash flow remains deeply negative, with the company burning through $3.2 million in the most recent quarter alone, a trend that highlights the structural inability of the current business model to generate self-sustaining cash flow from its core operations.
The consistent negative FCF margins, which reached -109.3% in the latest quarter, underscore the company's reliance on external financing to cover its operating deficits. This trajectory suggests that without a fundamental shift in revenue generation or cost management, the firm will continue to face significant challenges in achieving a path toward cash flow neutrality.
According to reported figures, working capital fluctuations have been a significant drag on cash, with a $1.1 million outflow in the most recent quarter, reflecting the difficulties in managing inventory and receivables effectively during a period of sharp revenue contraction and shifting market demand for weight-loss solutions.
The volatility in working capital changes suggests that the company is struggling to align its inventory levels with actual sales velocity, potentially leading to inefficient cash usage. This instability in the cash conversion cycle warrants further investigation, as it may indicate deeper issues with supply chain management or channel inventory buildup.
As reported in financial statements, the company's reliance on stock-based compensation, which totaled $638,000 in the most recent quarter, masks the true extent of the cash burn by providing a non-cash expense that does not alleviate the immediate need for liquid capital to fund operations.
While stock-based compensation helps preserve cash in the short term, it does not address the fundamental issue of negative operating cash flow and the resulting liquidity constraints. Analysts should be wary of viewing these non-cash adjustments as a substitute for genuine operational profitability, as they do not improve the company's long-term solvency.
Quick answers to the most common questions about buying ALUR stock.
Allurion Technologies Inc. (ALUR) generated $-28.9M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Allurion Technologies Inc. (ALUR) reported negative free cash flow of $28.9M in 2025, indicating capital requirements exceeded cash from operations.
Allurion Technologies Inc. (ALUR) 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.