Beneficient exhibits a structural inability to self-fund, as demonstrated by the 2026Q3 period where the firm recorded a $19.9 million net income while simultaneously suffering a $9.4 million operating cash outflow.
| Cash from Operations | -43.18M | -37.7M | -58.22M | -95.12M | -95.12M | -54.01M | -51.19M | 17.81M | -2.08M |
| Operating CF Margin % | - | 474.55% | 58.86% | 90.6% | 90.6% | -52.96% | -84.9% | 22.42% | -5.14% |
| Operating CF Growth % | -61.88% | 35.24% | 38.8% | -76.11% | 0% | -5.51% | -387.35% | 956.58% | - |
| Net Income | -49.57M | -803K | -2.1B | -130.98M | -130.98M | -50.87M | -334.04M | -195K | -5M |
| Depreciation & Amortization | 969K | 1.7M | 3.77M | 3.61M | 3.61M | 1.05M | 332K | 237K | 3.03M |
| Stock-Based Compensation | 1.78M | 5.65M | 39.1M | 10.09M | 10.09M | 71.54M | 148.72M | 0 | 0 |
| Deferred Taxes | -590K | 80K | 0 | -1.07M | -1.07M | 3.46M | 0 | 0 | 0 |
| Other Non-Cash Items | 101.45M | -52.98M | 2.02B | 34.35M | 34.35M | -78.7M | 144.13M | -17.62M | 4.94M |
| Working Capital Changes | 2.46M | 8.66M | 17.2M | -2.1M | -2.1M | -488K | -10.33M | 35.39M | -5.05M |
| Change in Receivables | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | -1.51M | 41.45M | 8.63M | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | 69.97M | 28.11M | 44.06M | 63.02M | 63.02M | -5.98M | 70.44M | 141.54M | 102.43K |
| Capital Expenditures | -124K | -1.1M | -1.76M | -2.08M | -2.08M | -3.22M | -2.98M | -374K | -196.14K |
| CapEx % of Revenue | -0.83% | -13.83% | -1.78% | -1.98% | -1.98% | 3.16% | 4.94% | 0.47% | 0.49% |
| Acquisitions | 0 | - | - | - | - | - | - | - | - |
| Investments | 0 | 291.37M | 329.12M | 329.12M | 497.22M | 674.17M | 409.94M | 24.55M | 497.73M |
| Other Investing | 61.4M | 0 | 968K | 0 | 0 | -2.76M | 73.42M | 141.91M | 298.57K |
| Cash from Financing | -23.12M | 2.97M | 12.59M | -34.46M | -34.46M | 43.86M | -5.24M | -156.36M | -5.34M |
| Debt Issued (Net) | 0 | - | - | - | - | - | - | - | - |
| Equity Issued (Net) | 344K | 6.39M | - | -8.43M | -1000K | - | - | - | - |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 271K | 0 | -1.41M | -8.43M | -8.43M | 0 | -26.45M | -124.87M | 0 |
| Other Financing | -4.08M | 0 | 4.34M | -7.37M | -7.37M | 119.2M | 78.07M | 0 | 0 |
| Net Change in Cash | 3.67M | -6.63M | -1.57M | -66.56M | -66.56M | -16.13M | 6.2M | 10.8M | -7.32M |
| Free Cash Flow | -43.58M | -38.8M | -59.98M | -97.19M | -97.19M | -57.23M | -54.17M | 17.44M | -2.28M |
| FCF Margin % | 293.16% | 488.38% | 60.64% | 92.58% | 92.58% | -56.12% | -89.85% | 21.95% | -5.63% |
| FCF Growth % | -10.86% | 35.3% | 38.29% | -69.83% | 0% | -5.65% | -410.6% | 866.33% | - |
| FCF per Share | - | -0.07 | -19.08 | -298.71 | - | -99.95 | -94.60 | 0.39 | -0.05 |
| FCF Conversion (FCF/Net Income) | 0.88x | -0.74x | 0.03x | 0.73x | 0.73x | 0.93x | 0.15x | -3.55x | 0.23x |
| Interest Paid | 0 | 0 | - | 0 | 0 | - | - | - | - |
| Taxes Paid | 0 | 0 | - | 0 | 0 | - | - | - | - |
Persistent operating cash deficit
As reported in financial statements, Beneficient consistently records negative operating cash flows despite intermittent net income spikes, with the 2026Q3 period showing a $19.9 million profit alongside a $9.4 million cash outflow, highlighting a fundamental breakdown in the conversion of accounting gains into actual liquidity.
The recurring divergence between net income and operating cash flow suggests that reported earnings are heavily influenced by non-cash mark-to-market adjustments rather than operational cash generation. Investors should monitor this disconnect, as it implies that the company's accounting profitability does not translate into the cash required to fund its liquidity-provision business model.
Based on recent SEC filings, Beneficient has failed to generate positive free cash flow in any of the last ten quarters, with cash burn reaching as high as $22.6 million in 2024Q3, indicating a structural inability to self-fund operations through its current service and liquidity fee streams.
The consistent negative free cash flow trajectory suggests that the company's capital requirements for maintaining its fiduciary platform and liquidity pool significantly outweigh its fee-based inflows. This trend warrants further investigation into how long the firm can sustain operations without recurring external financing or significant asset divestitures.
According to quarterly data, working capital changes have been highly erratic, swinging from a $9.0 million inflow in 2024Q4 to a $7.3 million outflow in 2024Q3, which suggests that the company's cash position is highly sensitive to the timing of liquidity transactions and trust-related settlements.
The lack of a stable working capital cycle indicates that the firm's cash flow is subject to the unpredictable nature of its alternative asset liquidity provisions. This volatility complicates cash forecasting and suggests that the company may struggle to maintain adequate liquidity buffers during periods of market stress.
As indicated by historical data, the company relies heavily on stock-based compensation, which reached $8.5 million in 2024Q2, effectively masking the true cash cost of talent and diluting shareholders while the core business continues to burn cash at an unsustainable rate across all observed periods.
The reliance on non-cash compensation appears to be a mechanism to preserve limited cash reserves, yet it fails to address the underlying operational cash deficit. Analysts should be wary of these adjustments, as they may obscure the true economic cost of maintaining the specialized expertise required for the TEFFI-based platform.
Quick answers to the most common questions about buying BENF stock.
Beneficient (BENF) generated $-37.7M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Beneficient (BENF) reported negative free cash flow of $38.8M in 2025, indicating capital requirements exceeded cash from operations.
Beneficient (BENF) spent $1.1M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.