Liquidity remains critically constrained, with a free cash flow margin of -76.2% in 2025Q2 and a cash balance that plummeted to just $14,300 by the end of 2024Q4.
| Cash from Operations | -10.16M | -885K | -2.11M | -1.19M | -20.11M | 5.04M | 12.31M | -414.6K | 6.99M | 2.27M |
| Operating CF Margin % | - | -4.73% | -2.87% | -54.26% | -165.68% | 20.5% | 51.65% | -2.24% | 49.41% | 24.31% |
| Operating CF Growth % | 0% | 58.09% | -77.22% | 94.08% | -498.77% | -59.02% | 3068.92% | -105.93% | 207.39% | - |
| Net Income | -13.08M | -9.53M | -26.69M | -9.08M | -58.63M | 7.94M | 9.07M | 7.92M | 5.12M | 2.57M |
| Depreciation & Amortization | 103.21K | 208.67K | 420.46K | 354.23K | 3.86M | 1.01M | 921.68K | 463.54K | 207.96K | 99.75K |
| Stock-Based Compensation | 23.52M | 966.21K | 0 | 4.04M | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 119.13K | 63.11K | -48.71K | -107.4K | -14.43K | -4.23K |
| Other Non-Cash Items | 27.61M | 2.32M | 62.81M | 3.36M | 31.4M | 1.08M | 921.9K | 496.3K | 93.35K | 225.4K |
| Working Capital Changes | -48.31M | 5.15M | -38.65M | 4.18M | 3.31M | -5.04M | 1.44M | -9.19M | 1.58M | -621.32K |
| Change in Receivables | -13.3M | 15.2M | -16.12M | 5.15M | 4.01M | -6.22M | -3.4M | -6.63M | -2.37M | -849.83K |
| Change in Inventory | 8.13M | -47.02M | -17.55M | 116.11K | 41.46K | 34.49K | 145.89K | 304.07K | 346.82K | 323.18K |
| Change in Payables | -33.88M | 33.84M | -6.26K | -21.89K | 746.84K | -82.42K | -1.1M | -4.15M | 3.12M | 186.16K |
| Cash from Investing | 0 | 0 | -15.38K | 6.34K | -4.52M | -10.76M | -19.11M | 10.8M | -15.81M | -4.75M |
| Capital Expenditures | 0 | 0 | 0 | -3.43K | -16.53M | -11.87M | -6.64M | -4.48M | -2.02M | -1.74M |
| CapEx % of Revenue | 0% | 0% | 0% | 0.16% | 136.15% | 48.23% | 27.86% | 24.17% | 14.29% | 18.65% |
| Acquisitions | 0 | 0 | -15.38K | 5 | -955.1K | 11.29K | -12.47M | 76 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 9.76K | 12.99M | 1.09M | 0 | 0 | 0 | 0 |
| Cash from Financing | 11.21M | 484.86K | 2.25M | 2.53M | 7.57M | 2.49M | 10.6M | -426.22K | 10.17M | 2.04M |
| Debt Issued (Net) | -351.84K | -186K | -690.86K | 2.46M | -5.42M | -204.94K | 2.7M | -365.09K | 1.37M | -218.24K |
| Equity Issued (Net) | 11.56M | 70K | 3M | 88.59K | 12.83M | 2.7M | 0 | -92.85K | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 0 | 600.39K | -53.91K | -13.09K | 160.67K | 0 | 7.9M | 31.72K | 8.8M | 2.26M |
| Net Change in Cash | 1.05M | -395K | 337.19K | 26.09K | -15.62M | 321.98K | 0 | 0 | 0 | 0 |
| Free Cash Flow | -10.16M | -885K | -2.11M | -1.19M | -36.64M | 2.84M | 10.09M | -459.51K | 6.94M | 2.25M |
| FCF Margin % | -27.92% | -4.73% | -2.87% | -54.41% | -301.82% | 11.53% | 42.34% | -2.48% | 49.03% | 24.04% |
| FCF Growth % | - | 58.09% | -76.71% | 96.74% | -1392.01% | -71.9% | 2295.91% | -106.63% | 208.51% | - |
| FCF per Share | -19.24 | -1.48 | -6.82 | -1.40 | -72.50 | 7.11 | 28.71 | -1.32 | 19.93 | 6.46 |
| FCF Conversion (FCF/Net Income) | 0.78x | 0.09x | 0.11x | 0.13x | 0.34x | 0.62x | 1.36x | -0.05x | 1.36x | 0.88x |
| Interest Paid | 0 | 206.63K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 6.08K | 1.1M | 1.53M | 779.46K | 0 | 0 | 0 | 0 |
Imminent operational insolvency risk
As reported in recent SEC filings, BHAT's operating cash flow of -$10.2 million in 2025Q2 significantly diverges from its net loss of -$855.9K, indicating that the company's reported earnings fail to capture the substantial cash burn required to sustain its current operational model.
The massive discrepancy between net income and operating cash flow suggests that the company is struggling with significant non-cash adjustments or, more likely, a rapid deterioration in working capital efficiency. Investors should monitor this gap closely, as it implies that the business is consuming cash at a rate far exceeding what the income statement might suggest.
Based on the latest financial data, BHAT's free cash flow margin reached -76.2% in 2025Q2, reflecting a persistent inability to generate positive cash returns from its core business activities despite historical attempts to pivot toward AR-integrated toy products.
The consistent failure to achieve positive free cash flow indicates that the company's capital-intensive hardware model is not self-sustaining. This trajectory suggests that the firm remains entirely dependent on external financing to cover its ongoing operating deficits and capital requirements.
According to recent financial statements, the company experienced a -$48.3 million working capital change in 2025Q2, which highlights a severe breakdown in the cash conversion cycle and suggests that capital is being trapped in inefficient inventory or uncollectible receivables.
This massive outflow in working capital is a primary driver of the company's current liquidity crisis. It appears that the firm is unable to effectively manage its payables or convert its inventory into cash, which may indicate that products are failing to move through distribution channels as anticipated.
As indicated by the provided data, the company's cash flow statement reveals a critical lack of liquidity, with only $14,300 in cash reserves, a figure that warrants further investigation into the company's ability to continue as a going concern in the near term.
The cash flow statement masks the severity of the company's financial position by failing to show any meaningful path to positive cash generation. The reliance on stock-based compensation and the absence of sustainable operating cash flows suggest that the company's survival is currently tethered to speculative financing rather than operational success.
Quick answers to the most common questions about buying BHAT stock.
Fujian Blue Hat Interactive Entertainment Technology Ltd. (BHAT) generated $-0.9M in net cash from operating activities in 2024. This reflects the cash generated directly from core business operations.
Fujian Blue Hat Interactive Entertainment Technology Ltd. (BHAT) reported negative free cash flow of $0.9M in 2024, indicating capital requirements exceeded cash from operations.
Fujian Blue Hat Interactive Entertainment Technology Ltd. (BHAT) spent $0.0M on capital expenditures in 2024. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.