Operating cash flow was 1.97 times net income in 2026Q3 and free cash flow reached $198M, but net acquisition outlays of $540M in the same quarter show that most discretionary cash is directed toward M&A rather than shareholder returns.
APi Group Corporation (APG) cash flow statement — 9-year operating, investing & financing cash flows
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 |
|---|
| Cash from Operations | 775M | 759M | 620M | 514M | 270M | 182M | 496M | 150M | 112M | 118M |
| Operating CF Margin % | - | 9.59% | 8.83% | 7.42% | 4.12% | 4.62% | 13.83% | 15.23% | 3% | 3.87% |
| Operating CF Growth % | 69.06% | 22.42% | 20.62% | 90.37% | 48.35% | -63.31% | 342.86% | 33.93% | -5.08% | - |
| Net Income | 367M | 302M | 250M | 153M | 73M | 47M | -153M | -153M | 136M | 112M |
| Depreciation & Amortization | 362M | 327M | 302M | 303M | 304M | 202M | 263M | 69M | 109M | 69M |
| Stock-Based Compensation | 49M | 44M | 32M | 29M | 18M | 12M | 5M | 156M | 3M | 10M |
| Deferred Taxes | 11M | 15M | -30M | -32M | -47M | 6M | -74M | -2M | 0 | 0 |
| Other Non-Cash Items | 444M | 154M | 107M | 111M | 33M | 62M | 241M | -2M | -1M | 26M |
| Working Capital Changes | -458M | -83M | -41M | -50M | -111M | -147M | 214M | 82M | -135M | -99M |
| Change in Receivables | -401M | -74M | -11M | -43M | -217M | -172M | 238M | 146M | -173M | -106M |
| Change in Inventory | -13M | 6M | 9M | 13M | -30M | -2M | 11M | 0 | -9M | -1M |
| Change in Payables | 72M | 5M | 16M | -14M | 71M | 78M | -24M | -32M | 1M | 5M |
| Cash from Investing | -1.45B | -254M | -829M | -115M | -2.9B | -121M | -340M | -1.73B | -300M | -56M |
| Capital Expenditures | -102M | -96M | -84M | -86M | -79M | -55M | -38M | -11M | -74M | -39M |
| CapEx % of Revenue | 1.15% | 1.21% | 1.2% | 1.24% | 1.2% | 1.4% | 1.06% | 1.12% | 1.98% | 1.28% |
| Acquisitions | -1.37B | -186M | -778M | -83M | -2.84B | -86M | -319M | -2.56B | -234M | -63M |
| Investments | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 19M | 28M | 33M | 54M | 17M | 20M | 17M | 848M | 8M | 46M |
| Cash from Financing | 495M | -121M | 245M | -532M | 1.76B | 917M | 99M | 1.4B | 203M | -106M |
| Debt Issued (Net) | 818M | -7M | 413M | -484M | 1.04B | 329M | 229M | 1.21B | 303M | 40M |
| Equity Issued (Net) | -328M | -75M | -142M | -41M | 753M | 676M | -27M | 210M | 1.23B | -1M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -74M | -111M |
| Share Repurchases | -328M | -75M | -600M | -41M | -44M | 0 | -30M | 0 | 0 | -1M |
| Other Financing | 5M | -39M | -26M | -7M | -37M | -88M | -103M | -26M | -26M | -34M |
| Net Change in Cash | -183M | 412M | 21M | -127M | -884M | 976M | 259M | -181M | 13M | -41M |
| Free Cash Flow | 673M | 663M | 536M | 428M | 191M | 127M | 458M | 139M | 38M | 79M |
| FCF Margin % | 7.56% | 8.38% | 7.64% | 6.18% | 2.91% | 3.22% | 12.77% | 14.11% | 1.02% | 2.59% |
| FCF Growth % | 17.66% | 23.69% | 25.23% | 124.08% | 50.39% | -72.27% | 1105.26% | 265.79% | -51.9% | - |
| FCF per Share | 1.56 | 1.59 | 1.33 | 1.21 | 0.48 | 0.41 | 1.80 | 0.53 | 0.22 | 0.65 |
| FCF Conversion (FCF/Net Income) | 1.83x | 2.51x | 2.48x | 3.36x | 3.70x | 3.87x | -3.24x | -0.98x | 0.82x | 1.05x |
| Interest Paid | 91M | 136M | 152M | 150M | 120M | 41M | 47M | 14M | 0 | 8M |
| Taxes Paid | 74M | 111M | 101M | 95M | 43M | 66M | 29M | 3M | -9M | 8M |
Quick answers to the most common questions about buying APG stock.
APi Group Corporation (APG) generated $759.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
APi Group Corporation (APG) generated $663.0M 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.
APi Group Corporation (APG) spent $96.0M 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, APi Group Corporation (APG) spent $75.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Acquisition-driven cash deployment volatility
Metrics are mathematically derived from official filings.
Operating Cash Far Exceeds Reported Earnings
According to the reported quarterly figures, APG's operating cash flow was 1.97 times net income in 2026Q3 and 3.94 times in 2025Q4, a gap that suggests reported earnings understate cash generation during these periods.
Across the ten quarters shown, OCF/NI ranged from roughly 0.84 to 4.22, pointing to lumpy working capital and non-cash charges rather than a stable earnings-to-cash relationship. Amortization of acquired intangibles and integration accruals likely depress GAAP net income while leaving operating cash largely intact. The consistently high multiples in Q4 periods may indicate seasonal collection timing, which warrants further investigation before treating the conversion as structural.
Free Cash Flow Concentrated in Q4 Quarters
Based on the reported figures, APG's free cash flow margin peaked at 16.8% in 2025Q4 and 14.2% in 2024Q4, while most other quarters remained between 2% and 4%, indicating highly seasonal cash generation.
The pattern of strong Q4 free cash flow alongside weak intervening quarters suggests annual cash generation depends heavily on year-end collections rather than a steady run-rate. Investors should monitor whether the 2026Q3 margin of 7.8% reflects an improving trend or a timing benefit. Trailing free cash flow is therefore difficult to extrapolate from any single quarter.
Working Capital Swings Drive Quarterly Volatility
As reported in the cash flow statements, APG's working capital change moved from negative $229.0M in 2025Q4 to positive $229.0M in 2025Q3, a reversal that accounts for much of the period's operating cash variability.
Large sign reversals in working capital suggest that receivables and payables timing, possibly tied to percentage-of-completion billing, is the dominant driver of reported operating cash. The sustained outflows in 2026Q1 and 2026Q2 may indicate build-up in project receivables or contract assets. Whether these balances convert to cash in subsequent periods is a key question for assessing collection efficiency.
Acquisitions Absorb Most Discretionary Cash
According to the reported quarterly figures, APG deployed $540.0M in net acquisitions in 2026Q3 and $583.0M in 2024Q2, with no dividends paid across the ten quarters, indicating capital is directed toward M&A rather than shareholder distributions.
Acquisition spending is the largest single use of cash in several quarters, which suggests the buy-and-build strategy consumes the bulk of operating cash generation. Share buybacks were material in 2024Q4 at $600.0M but have been minimal since, a shift that may reflect a change in capital priorities. The return on this acquisition capital will ultimately determine whether the cash deployed creates durable value.
Capital Intensity Remains Light
Based on reported figures, APG's capital expenditure ran between 0.7% and 1.5% of revenue across the period, with 1.1% in 2026Q3, consistent with an asset-light service model.
Low capex intensity fits a labor-driven service business where growth relies on technicians rather than heavy fixed assets. Depreciation and amortization of roughly $80M to $100M per quarter exceeds capex materially, which appears to reflect acquired intangible amortization rather than maintenance requirements. The gap between EBITDA and free cash flow therefore appears driven more by working capital and acquisition-related items than by equipment reinvestment.
Strong Cash Quarters May Mask Fragility
As reported in the quarterly cash flow data, APG's strongest cash quarters coincide with year-end periods, so the headline cash generation may overstate the run-rate that investors can rely on across a full year.
If the Q4 peaks reflect collection timing rather than durable earnings power, the cash profile could look materially weaker on a trailing basis. Acquisition spending that consumed $540.0M in 2026Q3 alone means free cash flow after M&A has been negative in several quarters, which warrants monitoring. Investors should test whether cash conversion holds once acquisition-related outflows are normalized before treating current operating cash as recurring.