Free cash flow remains deeply negative, with quarterly outflows frequently exceeding $500,000 and capital expenditure relative to revenue reaching as high as 154.4% in 2025Q4.
| Cash from Operations | -1.93M | -2.46M | -2.81M | -3.25M | -6.72M | -5.33M | -2.81M | -2.23M | -134.35K |
| Operating CF Margin % | - | -2222.77% | -1686.1% | -384.51% | -963.51% | -790.82% | -4703.18% | -14978.5% | - |
| Operating CF Growth % | 108.33% | 12.74% | 13.4% | 51.62% | -25.89% | -89.84% | -25.74% | -1563.45% | - |
| Net Income | -2.98M | -3.62M | -4.4M | -4.15M | -9.06M | -11.59M | -4.17M | -3.94M | -980.2K |
| Depreciation & Amortization | 301.64K | 433.8K | 533.67K | 682.48K | 875.6K | 751.5K | 522.26K | 159.84K | 2.73K |
| Stock-Based Compensation | 408.73K | 226.05K | 834.47K | 179.53K | 1.44M | 876.29K | 555.05K | 607.12K | 361.6K |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -28.91K | -13.15K | 0 | 71.94K | 148.95K | 4.62M | 94.31K | 897.57K | 675K |
| Working Capital Changes | 369.96K | 515.13K | 221.27K | -29.83K | -122.37K | 454 | 188.59K | 39.61K | 173.59K |
| Change in Receivables | -22.5K | 23.72K | -15.06K | -455 | 36.58K | 10K | -61.12K | 5K | 0 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -168.63K | 0 |
| Change in Payables | -12.63K | -23.49K | -21.16K | -52.21K | 77.92K | -46.8K | -95.49K | 202.28K | 0 |
| Cash from Investing | -292.8K | -378.3K | -375.87K | -396.03K | -711.62K | -842.33K | -795.75K | -1.03M | -183.42K |
| Capital Expenditures | -161.6K | -378.3K | -1.17K | -27.12K | -16.57K | -73.43K | -10.76K | -1.03M | -183.42K |
| CapEx % of Revenue | 47.33% | 342.48% | 0.7% | 3.21% | 2.38% | 10.88% | 18.01% | 6899.18% | - |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - |
| Other Investing | -131.2K | 0 | -374.7K | -368.91K | -695.05K | -768.9K | -784.99K | -997.53K | -198K |
| Cash from Financing | 0 | 3.1M | 0 | 1.85M | 3.87M | 12.8M | 6.69M | -1.06K | 4.59M |
| Debt Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 1.92M | 0 | 0 |
| Equity Issued (Net) | 0 | 3.1M | 0 | 1.85M | 3.87M | 12.8M | 4.77M | 0 | 4.65M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.06K | 0 |
| Other Financing | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.06K | -60.8K |
| Net Change in Cash | -2.22M | 262.4K | -3.19M | -1.79M | -3.56M | 6.62M | 3.08M | -3.27M | 4.27M |
| Free Cash Flow | -2.01M | -2.46M | -3.19M | -3.65M | -7.43M | -6.18M | -3.61M | -3.26M | -317.76K |
| FCF Margin % | -589.14% | -2222.77% | -1911.33% | -431.38% | -1065.61% | -915.68% | -6035% | -21877.67% | - |
| FCF Growth % | 28.62% | 23.02% | 12.5% | 50.92% | -20.24% | -71.31% | -10.47% | -927.22% | - |
| FCF per Share | -0.44 | -0.70 | -1.25 | -1.48 | -3.83 | -3.60 | -2.67 | -2.60 | -0.29 |
| FCF Conversion (FCF/Net Income) | 0.68x | 0.68x | 0.64x | 0.78x | 0.74x | 0.46x | 0.67x | 0.57x | 0.14x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Capital exhaustion and dilution
As reported in quarterly filings, the company's operating cash flow consistently trails net losses, with an OCF/NI ratio that fluctuates wildly, indicating that reported earnings are not supported by cash generation and that accruals provide little insight into the firm's actual economic viability.
The persistent gap between net income and operating cash flow suggests that the company's accounting losses are not merely non-cash charges but reflect a genuine, ongoing cash drain. Investors should monitor this divergence, as it implies that the business model lacks the necessary cash-generative capacity to sustain its current operating structure.
Based on the provided cash flow statements, Amesite's free cash flow remains deeply negative across all observed periods, with quarterly outflows frequently exceeding $500,000, confirming that the company is currently consuming its limited capital reserves to fund basic operations rather than investing in growth.
The consistent negative free cash flow trajectory highlights a structural inability to cover operating expenses with internal revenue. This trend suggests that the company remains entirely dependent on external financing to maintain its existence, which may lead to further shareholder dilution.
According to recent financial data, the company's capital expenditure relative to revenue has reached as high as 154.4%, a figure that suggests the firm is spending more on maintaining its infrastructure than it is generating in total sales, which is highly unsustainable for a software entity.
The high capital intensity relative to revenue indicates that the company is struggling to achieve the scalability typical of software-as-a-service providers. This level of spending appears to be a defensive measure to keep the platform operational rather than a strategic investment in future growth.
As evidenced by the quarterly cash flow data, working capital changes are highly erratic, with swings ranging from a $589.4K inflow to a $537.7K outflow, suggesting that the company lacks a predictable cycle for managing its receivables and payables in a stable manner.
These significant fluctuations in working capital likely reflect the lumpy, project-based nature of the company's revenue rather than a disciplined operational cycle. Such volatility warrants further investigation, as it complicates the ability to forecast future cash needs and highlights the fragility of the current business model.
Based on the provided financial statements, the company utilizes stock-based compensation to manage its cash burn, with figures reaching as high as $672.5K in a single quarter, which effectively shifts the cost of operations from the cash flow statement to the equity base.
This reliance on equity-based incentives suggests that the company is attempting to preserve its $2.33M cash balance at the expense of existing shareholders. Investors should be wary of this practice, as it masks the true cost of talent and creates a persistent overhang of potential dilution.
Quick answers to the most common questions about buying AMST stock.
Amesite Inc. (AMST) generated $-2.5M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Amesite Inc. (AMST) reported negative free cash flow of $2.5M in 2025, indicating capital requirements exceeded cash from operations.
Amesite Inc. (AMST) spent $0.4M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.