Free cash flow remains deeply negative, with quarterly outflows frequently exceeding $8 million, highlighting an unsustainable burn rate that necessitates urgent capital intervention.
| Cash from Operations | -40.54M | -38.12M | -32.5M | -33.51M | -40.36M | -26.42M | -15.29M | -22.56M |
| Operating CF Margin % | - | -3715.69% | -4232.03% | -2279.8% | -1147.63% | -1174.57% | -4603.92% | - |
| Operating CF Growth % | -136.2% | -17.29% | 3.02% | 16.97% | -52.79% | -72.82% | 32.24% | - |
| Net Income | -42.02M | -45.17M | -49.32M | -43.5M | -40.49M | -58.09M | -15.63M | -25.61M |
| Depreciation & Amortization | 530K | 538K | 1.32M | 557K | 481K | 342K | 228K | 237K |
| Stock-Based Compensation | 5.5M | 0 | 15.73M | 13.64M | 9.15M | 2.33M | 491K | 411K |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 84K |
| Other Non-Cash Items | -4.84M | 4.56M | -528K | -756K | -8.12M | 24.46M | 1.11M | 184K |
| Working Capital Changes | -953K | 1.95M | 293K | -3.46M | -1.37M | 4.54M | -1.49M | 2.13M |
| Change in Receivables | -451K | -418K | 1.1M | 694K | -2.02M | -50K | -137K | 556K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | -239K | 113K | -553K | -103K | -769K | 458K | -1.06M | 692K |
| Cash from Investing | 24.48M | -24.67M | 3.99M | -15.25M | -1.32M | -684K | 9.7M | -8.54M |
| Capital Expenditures | -278K | -303K | -622K | -249K | -918K | -784K | -156K | -227K |
| CapEx % of Revenue | 19.21% | 29.53% | 80.99% | 16.94% | 26.1% | 34.86% | 46.99% | - |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - |
| Other Investing | 58.56M | -24.37M | 4.61M | -15M | -400K | 100K | 9.86M | -8.31M |
| Cash from Financing | 16.94M | 53.43M | 13.53M | 23.2M | -4.94M | 125.08M | 1.53M | 35.55M |
| Debt Issued (Net) | -233K | 21.7M | 0 | 0 | -5.22M | 13.41M | 56K | 4.2M |
| Equity Issued (Net) | 17.17M | 31.73M | 13.53M | 22.5M | 277K | 0 | 1.19M | 31.34M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 0 | 0 | 0 | 703K | 0 | 111.67M | 286K | 0 |
| Net Change in Cash | 1.36M | -39.88M | -14.98M | -25.57M | -46.62M | 97.98M | -4.05M | 4.45M |
| Free Cash Flow | -40.82M | -38.43M | -33.12M | -33.76M | -41.28M | -27.2M | -15.44M | -22.79M |
| FCF Margin % | -2820.73% | -3745.22% | -4313.02% | -2296.73% | -1173.73% | -1209.43% | -4650.9% | - |
| FCF Growth % | -32.04% | -16.01% | 1.89% | 18.21% | -51.76% | -76.15% | 32.23% | - |
| FCF per Share | -0.33 | -0.34 | -0.41 | -0.47 | -0.60 | -0.45 | -0.25 | -2.49 |
| FCF Conversion (FCF/Net Income) | 0.97x | 0.82x | 0.66x | 0.77x | 1.00x | 0.45x | 0.98x | 0.86x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 209K | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Liquidity and commercialization delay
As reported in financial statements, Arbe's operating cash flow consistently tracks net losses, with an OCF/NI ratio that frequently fluctuates, suggesting that the company's reported earnings are heavily influenced by non-cash items rather than a sustainable ability to generate cash from its core semiconductor operations.
The persistent gap between net income and operating cash flow indicates that the company is not yet generating meaningful cash from its business activities. Investors should monitor the reliance on stock-based compensation, which appears to be a significant non-cash adjustment that masks the true extent of the underlying cash burn.
Based on the provided quarterly data, Arbe's free cash flow remains deeply negative, with quarterly outflows often exceeding $8 million, which underscores the company's ongoing struggle to reach a self-sustaining financial trajectory while it continues to fund its high-resolution radar development and prototype manufacturing efforts.
The consistent negative FCF margins suggest that the company is currently in a capital-intensive phase where every dollar of revenue is eclipsed by the cost of operations. This trajectory warrants further investigation into how long the current cash reserves can support such a high rate of cash consumption.
According to recent SEC filings, Arbe's working capital changes have been highly erratic, swinging from a $4.4 million inflow in 2025Q1 to a $3.2 million outflow in 2025Q2, which suggests that the company's cash position is highly sensitive to the timing of project-based payments and inventory management.
This volatility in working capital appears to be a byproduct of the company's reliance on non-recurring engineering fees and early-stage sample shipments. Such fluctuations make it difficult to forecast future liquidity needs, as the timing of cash inflows remains tied to unpredictable automotive development milestones.
As indicated by the financial data, the company's cash flow statement is heavily impacted by stock-based compensation, which has reached as high as $4.2 million in a single quarter, effectively subsidizing the operating burn while potentially diluting the value for existing shareholders over the long term.
The reliance on equity-based incentives to manage cash burn may provide temporary relief but does not address the fundamental lack of operational profitability. Analysts should consider whether this strategy is sustainable if the company fails to secure significant design wins in the near future.
Quick answers to the most common questions about buying ARBE stock.
Arbe Robotics Ltd. (ARBE) generated $-38.1M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Arbe Robotics Ltd. (ARBE) reported negative free cash flow of $38.4M in 2025, indicating capital requirements exceeded cash from operations.
Arbe Robotics Ltd. (ARBE) spent $0.3M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.