The company has failed to generate positive free cash flow in any of the last ten quarters, with a recent $1.0M share repurchase in 2026Q1 appearing inconsistent with its ongoing $1.9M quarterly cash burn.
| Cash from Operations | -7.42M | -7.69M | -6.55M | -6.58M | -7.77M | -2.73M | -343K |
| Operating CF Margin % | - | -209.51% | -84.39% | -117.32% | -87.96% | -31.9% | -4.02% |
| Operating CF Growth % | 48.33% | -17.44% | 0.43% | 15.33% | -184.96% | -694.75% | - |
| Net Income | -6.4M | -8.26M | -4.37M | -6.29M | -10.98M | -5.25M | -1.5M |
| Depreciation & Amortization | 16K | 20K | 26K | 27K | 23K | 37K | 46K |
| Stock-Based Compensation | 300K | 309K | 337K | 377K | 220K | 0 | 43K |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 828K |
| Other Non-Cash Items | 1.68M | 1.22M | 69K | -1.36M | 4.8M | 2.69M | 755K |
| Working Capital Changes | -556K | -975K | -2.61M | 666K | -1.83M | -207K | -510K |
| Change in Receivables | 305K | 559K | -952K | 2.37M | -887K | -731K | 3K |
| Change in Inventory | -179K | -293K | -11K | 239K | -429K | 78K | -817K |
| Change in Payables | -38K | -166K | -787K | -25K | -139K | -217K | 963K |
| Cash from Investing | -50K | -8K | 197K | 3.82M | -4.03M | -54K | -21K |
| Capital Expenditures | -54K | -9K | -1K | -9K | 0 | -54K | -21K |
| CapEx % of Revenue | 1.38% | 0.25% | 0.01% | 0.16% | - | 0.63% | 0.25% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - |
| Other Investing | 4K | 1K | 198K | 3.83M | -4.03M | 0 | 0 |
| Cash from Financing | 13.59M | 9.8M | 3.09M | 3.76M | 15.29M | 2.9M | 356K |
| Debt Issued (Net) | 304K | 55K | -3.46M | -769K | -1.24M | 2.9M | 356K |
| Equity Issued (Net) | 7.99M | 9.74M | 2.06M | 4.95M | 18.7M | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -1.04M | 0 | 0 | -50K | 0 | 0 | 0 |
| Other Financing | 5.3M | 0 | 4.49M | -420K | -2.17M | 0 | 0 |
| Net Change in Cash | 6.13M | 2.1M | -3.25M | 1.24M | 5.32M | 124K | -8K |
| Free Cash Flow | -7.47M | -7.7M | -6.55M | -6.59M | -7.77M | -2.78M | -364K |
| FCF Margin % | -191.22% | -209.75% | -84.41% | -117.48% | -87.96% | -32.53% | -4.27% |
| FCF Growth % | 12.29% | -17.56% | 0.55% | 15.22% | -179.42% | -663.74% | - |
| FCF per Share | - | -5.29 | -12.73 | -27.30 | -44.70 | -135.69 | -17.78 |
| FCF Conversion (FCF/Net Income) | 1.17x | 0.93x | 1.50x | 1.05x | 0.71x | 0.52x | 0.23x |
| Interest Paid | 0 | 0 | 624K | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Liquidity and operational sustainability
According to the provided quarterly cash flow data, Actelis Networks consistently reports operating cash outflows that frequently exceed net losses, as evidenced by the 2024Q3 period where the company recorded a $2.4M cash burn against a net loss of only $511,000, indicating poor earnings quality.
The recurring gap between net income and operating cash flow suggests that the company's accounting losses are being compounded by significant cash-based working capital requirements. This divergence implies that the business model is not only failing to generate accounting profit but is also struggling to manage the cash-conversion cycle effectively.
As reported in financial statements, the company has failed to achieve positive free cash flow in any of the last ten quarters, with quarterly burn rates frequently hovering between $1.8M and $2.4M, highlighting a structural inability to self-fund operations through its current hardware-centric revenue model.
The persistent negative free cash flow trajectory suggests that the company remains entirely dependent on external financing to sustain its operations. Investors should monitor whether the company can reach a scale where operating cash flow covers its fixed costs, as the current trend indicates a deepening reliance on capital markets.
Based on the reported figures, working capital changes have been highly erratic, swinging from a $2.2M outflow in 2024Q2 to a $1.8M inflow in 2024Q1, which suggests significant instability in the company's ability to manage receivables and inventory levels across its project-based hardware deployments.
These fluctuations in working capital likely reflect the lumpy nature of municipal and military contract milestones, which complicates cash flow forecasting. The inability to maintain a consistent working capital cycle suggests that the company's liquidity is highly sensitive to the timing of customer payments and inventory procurement.
Despite persistent operating losses, the company utilized $1.0M for share repurchases in 2026Q1, a decision that warrants further investigation given the company's limited cash position of $4.4M and the ongoing need to fund substantial quarterly operating deficits through external capital sources.
Allocating cash to share repurchases while the core business is burning through millions in operating cash appears counterintuitive and may signal a management focus on supporting the stock price rather than prioritizing operational runway. This deployment strategy increases the risk of future dilutive equity raises to replenish the balance sheet.
Analysis of the cash flow statement reveals that stock-based compensation consistently adds back to cash flow, with quarterly figures often reaching $90,000, which masks the true economic cost of employee retention in a business that is otherwise failing to generate positive cash from its core operations.
While stock-based compensation is a non-cash expense, it represents a real economic cost to shareholders through dilution that is not fully captured in the operating cash flow metric. The reliance on these adjustments to soften the reported cash burn suggests that the company's underlying operational performance is even weaker than the headline cash flow figures imply.
Quick answers to the most common questions about buying ASNS stock.
Actelis Networks, Inc. (ASNS) generated $-7.7M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Actelis Networks, Inc. (ASNS) reported negative free cash flow of $7.7M in 2025, indicating capital requirements exceeded cash from operations.
Actelis Networks, Inc. (ASNS) 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.