Cash conversion remains inconsistent, evidenced by a 2026Q1 OCF/NI ratio of -2.21, reflecting significant volatility in working capital cycles that periodically pressure free cash flow.
| Cash from Operations | 984.76K | 1.93M | 2.68K | 2.92M | -126.06K | 48.41K | -89.7K | -175.04K | -468.49K | -369.96K | -321.73K | -321.73K |
| Operating CF Margin % | - | 7.35% | 0.01% | 12.41% | -5.4% | 2.96% | -8.86% | -17.63% | -50.2% | -63.57% | -67.63% | -67.63% |
| Operating CF Growth % | 418.17% | 71945.61% | -99.91% | 2414.97% | -360.41% | 153.96% | 48.75% | 62.64% | -26.63% | -14.99% | - | - |
| Net Income | 996.65K | 854.99K | 2M | 1.82M | -182.9K | -297.75K | -172.77K | -149.97K | -342.54K | -538.78K | -773.66K | -773.66K |
| Depreciation & Amortization | 239.47K | 148.5K | 130.61K | 95.18K | 7.87K | 9.97K | 10.46K | 5.93K | 3.03K | 1.39K | 490 | 490 |
| Stock-Based Compensation | 809.02K | 1.11M | 267.18K | 207.34K | 21.97K | 138.8K | 0 | 5K | 32.09K | 131.34K | 0 | 0 |
| Deferred Taxes | 124.36K | 187.92K | -231.59K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -11.84K | -270.11K | -6.82K | 26.47K | 41.71K | -2.85K | 1.23K | 3.9K | 7.52K | 8.04K | 624.28K | 624.28K |
| Working Capital Changes | -1.17M | -101.57K | -2.16M | 764.57K | -14.7K | 200.24K | 71.38K | -39.9K | -168.59K | 28.04K | -77.83K | -77.83K |
| Change in Receivables | -558.68K | -489.59K | -118.29K | -160.28K | -21.98K | 90.26K | -101.65K | -55.05K | 750 | -4.44K | 8.3K | 8.3K |
| Change in Inventory | -1.16M | 907.26K | -2.13M | 353.99K | 95.98K | -226.44K | -23.55K | 58.51K | -197.31K | 11.7K | -92.61K | -92.61K |
| Change in Payables | -641.7K | 117.68K | 138.17K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -9.72K | -9.72K |
| Cash from Investing | -347.37K | -394.3K | -160.53K | 1M | 0 | -15.41K | -9.23K | -14.36K | -4.12K | -5.46K | -3.67K | -3.67K |
| Capital Expenditures | -138.1K | -213.48K | -138.44K | -65.65K | 0 | -15.41K | -9.23K | -14.36K | -4.12K | -5.46K | -3.67K | -3.67K |
| CapEx % of Revenue | 0.49% | 0.81% | 0.5% | 0.28% | 0% | 0.94% | 0.91% | 1.45% | 0.44% | 0.94% | 0.77% | 0.77% |
| Acquisitions | 0 | 0 | 0 | 1.07M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -209.27K | -180.81K | -22.08K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | 138.13K | -18.39K | -1.42M | 540.05K | 2.85K | 54.91K | 161.79K | 307.71K | 283.61K | 422.6K | 692.46K | 692.46K |
| Debt Issued (Net) | -2.5K | -6.37K | -28.19K | -40.42K | 31.7K | 3K | 159.6K | -1.29K | 0 | 0 | -100K | -100K |
| Equity Issued (Net) | 0 | 0 | -1.25M | 447.85K | 0 | 0 | 0 | 309K | 283.4K | 422.5K | 792.46K | 792.46K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 140.63K | -12.02K | -146.27K | 132.62K | -28.85K | 51.91K | 2.19K | 0 | 210 | 99 | 0 | 0 |
| Net Change in Cash | 775.52K | 1.52M | -1.58M | 4.46M | -123.21K | 87.91K | 62.85K | 118.31K | -189K | 47.18K | 367.05K | 367.05K |
| Free Cash Flow | 767.53K | 1.53M | -157.85K | 2.85M | -126.06K | 33K | -98.93K | -189.4K | -472.61K | -375.42K | -325.41K | -325.41K |
| FCF Margin % | 2.74% | 5.84% | -0.57% | 12.13% | -5.4% | 2.02% | -9.77% | -19.08% | -50.64% | -64.51% | -68.4% | -68.4% |
| FCF Growth % | -31.55% | 1072.05% | -105.53% | 2362.8% | -482.01% | 133.35% | 47.76% | 59.92% | -25.89% | -15.37% | - | - |
| FCF per Share | 0.09 | 0.19 | -0.01 | 0.16 | -0.06 | 0.02 | -0.05 | -0.09 | -0.23 | -0.19 | -0.16 | -0.16 |
| FCF Conversion (FCF/Net Income) | 0.77x | 2.26x | 0.00x | 1.60x | 0.69x | -0.16x | 0.52x | 1.17x | 1.37x | 0.69x | 0.42x | 0.42x |
| Interest Paid | 3.63K | 3.74K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 75.64K | 137.27K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Volatile working capital cycles
As reported in recent quarterly filings, AXIL's operating cash flow frequently decouples from net income, evidenced by a 2026Q1 OCF/NI ratio of -2.21, which suggests that reported profitability is not consistently translating into actual cash generation for the business.
The significant variance between net income and operating cash flow indicates that non-cash items and accruals are heavily influencing the bottom line. Investors should monitor this disconnect, as it implies that the company's earnings quality may be lower than the headline figures suggest.
Based on the provided cash flow data, AXIL's free cash flow trajectory remains highly erratic, swinging from a peak margin of 14.6% in 2025Q1 to a low of -14.3% in 2024Q3, reflecting the underlying instability of the company's current operational model.
The inability to maintain positive free cash flow suggests that the business is struggling to balance its growth ambitions with operational efficiency. This inconsistency warrants further investigation into whether the company can achieve self-sustaining cash generation without recurring external support.
According to historical cash flow statements, AXIL experiences extreme working capital volatility, including a $1.5 million outflow in 2024Q3, which indicates that inventory management and collection cycles are currently exerting significant pressure on the company's liquidity position.
These sharp fluctuations in working capital suggest that the company may be facing challenges in aligning its production cycles with actual consumer demand. Such instability often masks the true underlying cash-generating capability of the core business segments.
As disclosed in recent financial statements, AXIL consistently utilizes stock-based compensation, reaching $180.4K in 2026Q3, which effectively subsidizes operating expenses and potentially inflates the company's reported cash flow metrics by reducing the need for cash-based compensation.
The reliance on equity-based incentives suggests that the company is attempting to preserve cash, yet this practice dilutes existing shareholders and obscures the true cost of operations. Analysts should adjust for these non-cash expenses to better understand the company's actual cash burn rate.
Quick answers to the most common questions about buying AXIL stock.
AXIL Brands, Inc. (AXIL) generated $1.9M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
AXIL Brands, Inc. (AXIL) generated $1.5M 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.
AXIL Brands, Inc. (AXIL) spent $0.2M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.