Free cash flow has deteriorated from a 167.0% margin in 2023Q3 to a complete cessation of reported operating cash flow by 2025Q2, highlighting a disconnect between accounting results and cash generation.
| Cash from Operations | 122.58M | 566.42M | 185.22M | 470.6M | -31.21M |
| Operating CF Margin % | - | 99.2% | 47.46% | 120.79% | -8.04% |
| Operating CF Growth % | -84.54% | 205.82% | -60.64% | 1607.69% | - |
| Net Income | -13.88M | 24.37M | -23.18M | 5.82M | 50.08M |
| Depreciation & Amortization | 3.09M | 3.2M | 3.51M | 2.78M | 1.42M |
| Stock-Based Compensation | 47.02M | 43.87M | 32.59M | 29.41M | 30.02M |
| Deferred Taxes | -4.67M | 3.04M | -7.74M | -1.08M | -5.43M |
| Other Non-Cash Items | -18.32M | -3.53M | 1.15M | 340.98K | 713.79K |
| Working Capital Changes | 110.98M | 495.48M | 178.9M | 433.33M | -108.02M |
| Change in Receivables | -144.82M | -281.52M | 264.63M | 519.63M | 3.16M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 0 | 38.84M | 11.98M | -13.75M | -94.98M |
| Cash from Investing | -1.44M | 45.5M | -2.41M | -10.04M | -32.43M |
| Capital Expenditures | -1.44M | -4.89M | -2.41M | -4.54M | -31.55M |
| CapEx % of Revenue | 0.31% | 0.86% | 0.62% | 1.17% | 8.12% |
| Acquisitions | 0 | - | - | - | - |
| Investments | 127.46M | 172.31M | 108.25M | 45.53M | 485.89K |
| Other Investing | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | 291 | 352.08M | 40.35M | 12.84M | 17.89M |
| Debt Issued (Net) | 0 | - | - | - | - |
| Equity Issued (Net) | -3.66M | 390.94M | 40.3M | 20M | 18.73M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -3.66M | -20.01M | 0 | 0 | 0 |
| Other Financing | 3.66M | -3.86M | 48.99K | -7.16M | 10M |
| Net Change in Cash | 573.81M | 980.35M | 215.82M | 475.85M | -51.2M |
| Free Cash Flow | 121.14M | 561.54M | 182.8M | 466.05M | -62.76M |
| FCF Margin % | 26.42% | 98.34% | 46.84% | 119.62% | -16.16% |
| FCF Growth % | -57.81% | 207.18% | -60.78% | 842.55% | - |
| FCF per Share | 0.28 | 1.41 | 0.40 | 1.01 | -0.14 |
| FCF Conversion (FCF/Net Income) | -8.73x | 22.87x | -8.16x | 77.54x | -0.62x |
| Interest Paid | 26.04K | 3.47M | 26.04K | 0 | 0 |
| Taxes Paid | 7.16M | 12.04M | 15.97M | 19.47M | 55.17M |
Operating cash flow volatility
As reported in recent financial statements, Webull's operating cash flow frequently diverges from net income, with OCF/NI ratios swinging from 35.63 in 2023Q1 to negative figures in several subsequent quarters, highlighting a fundamental disconnect between accounting profitability and the actual cash generated by core brokerage operations.
The extreme volatility in the OCF/NI ratio suggests that reported net income is a poor proxy for the company's underlying cash-generating capacity. Investors should monitor whether this divergence is driven by aggressive accrual accounting or the timing of regulatory capital requirements, as the lack of consistent cash conversion complicates valuation models.
Based on the provided quarterly data, Webull's free cash flow trajectory has shifted from a robust 167.0% margin in 2023Q3 to a complete cessation of reported operating cash flow by 2025Q2, indicating a significant deterioration in the firm's ability to self-fund its ongoing growth initiatives.
The sharp decline in FCF margins suggests that the company's business model may be facing increased pressure from rising customer acquisition costs or regulatory compliance burdens. This trend warrants further investigation into whether the recent cash flow stagnation is a temporary operational hurdle or a structural shift in the brokerage's unit economics.
According to the cash flow statements, working capital changes have been the primary driver of cash flow fluctuations, with swings as large as $151.7 million in 2023Q3, suggesting that the company's cash position is highly sensitive to the timing of client-related settlements and regulatory cash movements.
The reliance on working capital swings to generate positive cash flow indicates that the core business may not be consistently cash-generative on an organic basis. Analysts should be cautious, as these movements often mask the underlying operational performance and may not be sustainable over the long term.
As detailed in the quarterly filings, Webull consistently utilizes stock-based compensation, which reached $27.0 million in 2025Q2, effectively masking the true cash burn of the organization by substituting equity for cash expenses in an environment where operating cash flow has recently hit zero.
The persistent use of SBC suggests that the company is managing its cash reserves by diluting shareholders, which may be necessary given the current lack of positive operating cash flow. Investors should consider the impact of this ongoing dilution when evaluating the long-term value proposition of the warrants.
Quick answers to the most common questions about buying BULLW stock.
Webull Corporation Warrants (BULLW) generated $566.4M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Webull Corporation Warrants (BULLW) generated $561.5M 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.
Webull Corporation Warrants (BULLW) spent $4.9M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Webull Corporation Warrants (BULLW) spent $20.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.