Cash flow generation is volatile, with operating cash flow turning negative at -$10.0M in Q4 2026, while a surge in CapEx to 21.6% of revenue and a $30.9M working capital swing obscure the underlying cash burn.
Alpha and Omega Semiconductor Limited (AOSL) cash flow statement — 19-year operating, investing & financing cash flows
| Metric | Jun'26 | Jun'25 | Jun'24 | Jun'23 | Jun'22 | Jun'21 | Jun'20 | Jun'19 | Jun'18 | Jun'17 | Jun'16 | Jun'15 | Jun'14 | Jun'13 | Jun'12 | Jun'11 | Jun'10 | Jun'09 | Jun'08 |
|---|
| Cash from Operations | -16.32M | 29.67M | 25.71M | 20.47M | 218.87M | 128.74M | 62.31M | 31.42M | 3.48M | 42.65M | 40.18M | 27.67M | 37.96M | 28.01M | 32.88M | 30.09M | 29.79M | 22.72M | 1.5M |
| Operating CF Margin % | -2.4% | 4.26% | 3.91% | 2.96% | 28.15% | 19.6% | 13.4% | 6.97% | 0.83% | 11.13% | 11.97% | 8.44% | 11.93% | 8.3% | 9.61% | 8.33% | 9.87% | 12.27% | 0.6% |
| Operating CF Growth % | -155.01% | 15.39% | 25.58% | -90.65% | 70% | 106.6% | 98.32% | 802.9% | -91.84% | 6.14% | 45.22% | -27.11% | 35.54% | -14.82% | 9.28% | 1.01% | 31.13% | 1415.41% | - |
| Net Income | 0 | -96.98M | -11.08M | 12.36M | 453.18M | 56.29M | -18.26M | -14.64M | 4.95M | 9.26M | -3.03M | -7.76M | -3.1M | -5.58M | 12.92M | 37.83M | 37.82M | -716K | -25.19M |
| Depreciation & Amortization | 0 | 62.4M | 53.76M | 43.21M | 42.85M | 52.69M | 45.09M | 32.04M | 29.42M | 27.19M | 27.3M | 27.55M | 27.88M | 29.36M | 25.26M | 16.68M | 9.01M | 7.53M | 3.05M |
| Stock-Based Compensation | 0 | 29.57M | 21.64M | 37.49M | 31.32M | 15.32M | 10.45M | 13.18M | 11.41M | 6.63M | 4.31M | 4.49M | 3.38M | 4.82M | 5.42M | 6.17M | 3.56M | 3.54M | 4.92M |
| Deferred Taxes | 0 | -13.27M | -880K | -1.42M | 31.57M | 1.55M | 85K | -452K | -2.24M | 7.22M | 871K | 785K | 574K | 1.02M | -1.47M | -246K | -1.17M | 0 | 0 |
| Other Non-Cash Items | -16.32M | 79.03M | 4.87M | 1.59M | -393.31M | 426K | 498K | 21K | 45K | -425K | 527K | -353K | -523K | 2.6M | 567K | -2.6M | -6.51M | -1.11M | 27.83M |
| Working Capital Changes | 0 | -31.08M | -42.59M | -72.76M | 53.25M | 2.47M | 24.45M | 1.27M | -40.1M | -7.23M | 10.2M | 2.96M | 9.76M | -4.22M | -9.82M | -27.74M | -12.94M | 13.47M | -9.12M |
| Change in Receivables | 0 | -22.23M | 9.87M | 43.26M | -30.09M | -22.52M | 11.02M | 9.24M | -5.34M | -1.82M | 12.19M | -2.25M | 2.13M | 552K | 3.09M | -5.2M | -9.36M | 8.57M | -3.84M |
| Change in Inventory | 0 | 6.07M | -12.5M | -25.21M | -57.42M | -18.77M | -22.79M | -21.46M | -13.93M | -7.41M | -4.67M | 2.39M | 1.78M | -2.56M | 1.63M | -26.94M | -5.6M | 9.74M | -15.87M |
| Change in Payables | 0 | 13.29M | -2.41M | -19.57M | 23.75M | -528K | -1.78M | 6.41M | 4.87M | 4.51M | -1.16M | 3.33M | 5.52M | 1.76M | -20.77M | 15K | -2.94M | -3.32M | 9.81M |
| Cash from Investing | 86.1M | -36.44M | -35.74M | -109.63M | -130.82M | -72.54M | -60.85M | -112.44M | -194.13M | -55.59M | -21.72M | -21.34M | -9.19M | -17.28M | -57.93M | -49.82M | -14.69M | -9.74M | -23.75M |
| Capital Expenditures | 0 | -37.18M | -37.09M | -110.43M | -138.01M | -72.7M | -62.4M | -112.05M | -177.75M | -55.59M | -21.9M | -21.49M | -9.39M | -17.57M | -36.32M | -42.07M | -13.98M | -10.07M | -22.84M |
| CapEx % of Revenue | - | 5.34% | 5.64% | 15.97% | 17.75% | 11.07% | 13.42% | 24.85% | 42.17% | 14.5% | 6.52% | 6.55% | 2.95% | 5.21% | 10.61% | 11.64% | 4.63% | 5.44% | 9.21% |
| Acquisitions | 0 | 0 | 0 | 0 | 5.61M | 0 | 0 | 0 | 0 | -600K | 0 | 0 | 0 | 0 | -21.43M | -3.4M | 0 | -40K | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 86.1M | 739K | 1.34M | 798K | 1.58M | 161K | 1.55M | -384K | -16.38M | 603K | 180K | 147K | 204K | 295K | -183K | -2.52M | -705K | 363K | -915K |
| Cash from Financing | -41.8M | -15.5M | -9.9M | -29.61M | 21.85M | -18.99M | 37.65M | 75.1M | 206.95M | 40.81M | -36.69M | -17.98M | -3.4M | -485K | 20.46M | -12.67M | 43.47M | 3.37M | 10.18M |
| Debt Issued (Net) | 0 | -12.6M | -12.34M | -18.78M | 24.35M | -17.16M | 35.81M | 51.61M | 90.46M | -819K | -940K | -14.63M | -4.84M | -3.57M | 19.7M | -15.6M | -10.57M | 3.62M | 9.86M |
| Equity Issued (Net) | 0 | 7.8M | 10.11M | -4.45M | 6.14M | 0 | 0 | -1.5M | -15.1M | 0 | -42.08M | -5.82M | -918K | -5K | -1.57M | -693K | 53.87M | -300K | -28K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | -13.43M | 0 | 0 | 0 | -1.5M | -15.1M | 0 | -42.08M | -5.82M | -918K | -5K | -1.57M | -693K | 0 | -300K | -28K |
| Other Financing | -41.8M | -10.7M | -7.68M | -6.38M | -8.64M | -1.83M | 1.84M | 24.99M | 131.59M | 41.63M | 6.33M | 2.47M | 2.36M | 3.09M | 2.34M | 3.62M | 172K | 51K | 351K |
| Net Change in Cash | 27.93M | -22.04M | -20.06M | -119.05M | 109.84M | 42.11M | 38.41M | -7.43M | 15.79M | 27.97M | -18.31M | -11.7M | 25.38M | 10.24M | -4.54M | -32.29M | 58.59M | 16.32M | -11.88M |
| Free Cash Flow | -16.32M | -7.51M | -11.38M | -89.95M | 80.85M | 56.04M | -83K | -81.03M | -190.65M | -12.94M | 18.28M | 6.18M | 28.57M | 10.43M | -3.44M | -11.98M | 15.81M | 12.64M | -22.43M |
| FCF Margin % | -2.4% | -1.08% | -1.73% | -13.01% | 10.4% | 8.53% | -0.02% | -17.97% | -45.23% | -3.38% | 5.45% | 1.88% | 8.98% | 3.09% | -1% | -3.32% | 5.24% | 6.83% | -9.04% |
| FCF Growth % | -117.25% | 33.98% | 87.35% | -211.26% | 44.26% | 67622.89% | 99.9% | 57.5% | -1373.36% | -170.78% | 195.95% | -78.38% | 173.77% | 403.58% | 71.32% | -175.82% | 25.02% | 156.37% | - |
| FCF per Share | -0.54 | -0.26 | -0.40 | -3.05 | 2.87 | 2.06 | -0.00 | -3.28 | -7.67 | -0.52 | 0.81 | 0.23 | 1.10 | 0.41 | -0.13 | -0.48 | 0.75 | 0.66 | -1.20 |
| FCF Conversion (FCF/Net Income) | 0.39x | -0.31x | -2.32x | 1.66x | 0.48x | 2.22x | -9.45x | -2.15x | 0.24x | 3.08x | -13.72x | -3.49x | -11.48x | -5.02x | 2.55x | 0.80x | 0.79x | -41.91x | -0.06x |
| Interest Paid | 0 | 2.92M | 2.56M | 3.71M | 3.4M | 5.64M | 2.22M | 6.58M | 700K | 70K | 9K | 171K | 304K | 418K | 342K | 263K | 188K | 0 | 0 |
| Taxes Paid | 0 | 4.62M | 5.76M | 1.54M | 5.77M | 970K | 2.26M | 1.84M | 2.98M | 2.55M | 3.14M | 4.81M | 2.58M | 3.78M | 4.88M | 2.54M | 1.51M | 0 | 0 |
Quick answers to the most common questions about buying AOSL stock.
Alpha and Omega Semiconductor Limited (AOSL) generated $-16.3M in net cash from operating activities in 2026. This reflects the cash generated directly from core business operations.
Alpha and Omega Semiconductor Limited (AOSL) reported negative free cash flow of $16.3M in 2026, indicating capital requirements exceeded cash from operations.
Alpha and Omega Semiconductor Limited (AOSL) spent $0.0M on capital expenditures in 2026. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
Key Metrics
Top Statement Risk
Persistent negative operating margins
Metrics are mathematically derived from official filings.
Earnings Quality Deteriorates with Cash Burn
AOSL's operating cash flow has turned negative, with the latest quarter showing a -$10.0M OCF against a -$13.1M net loss, indicating that cash generation is now tracking closely with reported losses after a period of positive conversion.
The OCF/NI ratio of 0.77 in Q4 2026 suggests that non-cash charges, likely depreciation and stock-based compensation, are now the primary drivers of the gap between net loss and operating cash flow. This marks a significant deterioration from earlier quarters where positive OCF was sustained despite net losses, implying that the company's ability to generate cash from core operations has weakened materially as the cyclical downturn deepens.
FCF Volatility Driven by CapEx Timing
Free cash flow has swung wildly, from a -$20.3M deficit in Q3 2026 to a $26.8M surplus in Q4 2026, a reversal driven almost entirely by a $36.9M capital expenditure in the final quarter, highlighting the lumpy nature of AOSL's investment cycle.
The FCF margin of 15.7% in Q4 2026 is misleadingly positive, as it masks the underlying operational cash burn and is solely the result of a large, likely project-based, capital outlay. This volatility underscores that AOSL's FCF trajectory is not a reliable indicator of operational health but rather a reflection of the timing of major manufacturing investments, which appear to be accelerating despite the company's current losses.
Aggressive CapEx Amid Operational Losses
Capital expenditures surged to $36.9M in Q4 2026, representing 21.6% of revenue, a dramatic increase from the 7.4% level in the prior quarter, suggesting a major investment cycle is underway despite the company's negative operating margins.
This elevated capital intensity, especially when contrasted with peers like DIOD (FCF margin 8.7%), indicates AOSL is pursuing a capacity expansion or technology transition (likely for its aMOS5 or SiC platforms) during a cyclical trough. The strategic risk is significant; if the anticipated demand recovery in AI servers or advanced computing does not materialize, this investment could lead to further underutilization and margin pressure, exacerbating the fixed-cost burden identified in the income statement analysis.
Working Capital Swings Mask Underlying Demand
Working capital provided a massive $30.9M cash inflow in Q4 2026, a sharp reversal from the -$14.0M outflow in Q3, which appears to be driven by inventory liquidation or receivables collection rather than sustainable operational improvement.
The large positive swing in working capital is the primary reason operating cash flow was less negative than net income in the latest quarter. This suggests the company may be aggressively managing its balance sheet to preserve cash, potentially by drawing down inventory built during prior quarters. Investors should monitor whether this is a one-time adjustment or a sign of further demand softening, as it could indicate channel destocking rather than a true recovery in end-market consumption.
Capital Deployment Shifts to Buybacks
In Q4 2026, AOSL deployed $18.2M toward share repurchases, its first significant buyback activity in the observed period, while maintaining zero dividends, signaling a shift in capital allocation priorities despite ongoing operational losses.
The initiation of buybacks during a period of negative operating cash flow and elevated capital expenditure is a notable strategic choice. It may indicate management's confidence in a near-term inflection or an attempt to support the stock price. However, this deployment competes directly with the need to fund the aggressive CapEx program and sustain operations, potentially straining the company's otherwise fortress-like cash position if the cyclical recovery is delayed.
Cash Flow Obscures True Investment Burden
The cash flow statement does not fully capture the economic cost of AOSL's manufacturing joint ventures, such as the Chongqing facility, where capital contributions and loss-sharing arrangements may be masking the true cash burn required to maintain its production footprint.
The 'Acq Net' line shows sporadic cash outflows for acquisitions or JV investments, such as the $92.1M in Q1 2026, which are not reflected in standard CapEx. Furthermore, the significant stock-based compensation (e.g., $20.5M in Q4 2026) is a non-cash charge that inflates operating cash flow relative to net income but represents a real economic dilution to shareholders. These factors suggest the reported cash flow metrics may understate the full capital intensity and dilutive costs of AOSL's business model.