Cash conversion efficiency is highly erratic, with the OCF/NI ratio fluctuating from 5.02 in 2025Q1 to -0.95 in 2025Q2, reflecting the inherent lumpiness of litigation-driven cash inflows.
| Metric | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 |
|---|
| Cash from Operations | -29.01M | 216.72M | -274.68M | -466.1M | -585.36M | 180.67M | -8.31M | -233.31M | -102.32M | -6.67M | -20.14M | -92.32M | 41.92M | 50.34M | 6.69M |
| Operating CF Margin % | -8.54% | 45.89% | -25.46% | -172.24% | -541.38% | 57.05% | -2.54% | -60.19% | -32.07% | -4.45% | -21.4% | -117.61% | 71.56% | 105.89% | 26.8% |
| Operating CF Growth % | -113.39% | 178.9% | 41.07% | 20.37% | -424% | 2275.17% | 96.44% | -128.02% | -1434.54% | 66.89% | 78.19% | -320.21% | -16.72% | 652.27% | - |
| Net Income | 72.19M | 229.58M | 718.2M | 233.33M | -56.43M | 208.63M | 225.52M | 305.11M | 249.18M | 104.05M | 67.88M | 47.32M | 2.15M | 16.89M | 15.89M |
| Depreciation & Amortization | 0 | 0 | 5.53M | 4.36M | 3.19M | 9.78M | 12.02M | 10.11M | 12.15M | 578K | -2.68M | 9.72M | 11.44M | 11.14M | 0 |
| Stock-Based Compensation | 0 | 0 | 14.11M | 10.28M | 9.27M | 5.33M | 4.52M | 1.69M | 1.65M | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | -10.28M | -9.27M | -5.33M | -4.52M | -1.69M | -1.65M | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -452.62M | -525.43M | -1.3B | -721.32M | -548.95M | -25.7M | -322.94M | -91.72M | -468.55M | -123.02M | -94.78M | -153.47M | 31.75M | 18.05M | -9.22M |
| Working Capital Changes | 351.42M | 512.57M | 309.05M | 17.52M | 16.82M | -12.04M | 77.09M | -456.82M | 103.25M | 11.72M | 9.45M | 4.1M | -3.41M | 4.25M | 24K |
| Change in Receivables | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -2.24M | -10.64M | 7.38M | 516K | 157K | 0 | 0 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -8.8M | -661K | -3.21M | -407K | -285K | -360K | -3.4M | -104K | -58.51M | -36.99M | -1.91M | -100K | -236K | -27.07M | 0 |
| Capital Expenditures | -284K | -661K | -3.21M | -407K | -285K | -360K | -3.4M | -104K | -650K | -1.57M | -421K | -100K | -236K | -27K | 0 |
| CapEx % of Revenue | 0.08% | 0.14% | 0.3% | 0.15% | 0.26% | 0.11% | 1.04% | 0.03% | 0.2% | 1.05% | 0.45% | 0.13% | 0.4% | 0.06% | - |
| Acquisitions | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Investments | 89.49M | 0 | 0 | 0 | 0 | 2.19B | 2.12B | 1.64B | 1.12B | 570.78M | 450.81M | 362.28M | 241.02M | 240.54M | 267.75M |
| Other Investing | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | 132.41M | 33.83M | 389.53M | 399.13M | 444.83M | -45.21M | -67.42M | 364.88M | 136.36M | 157.9M | -25.65M | 130.08M | -10.01M | -6.73M | -6.79M |
| Debt Issued (Net) | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Equity Issued (Net) | -15.31M | -5.09M | -3.76M | -8.04M | -3.69M | 0 | 0 | 249.98M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Dividends Paid | -27.39M | -27.33M | -27.5M | -27.66M | -41.05M | 0 | -28.42M | -24.58M | -19.84M | -17.66M | -16.73M | -15.55M | -9.93M | -6.59M | -6.59M |
| Share Repurchases | -15.31M | -5.09M | -3.76M | -8.04M | -3.69M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -177.94M | -168.9M | 152.54M | 157.48M | 123.49M | -293K | 183.12M | -40.52M | -25.85M | -14.04M | -8.93M | -2.57M | -88K | -144K | -201K |
| Net Change in Cash | 96.51M | 249.38M | 112.89M | -247.63M | -141.83M | 135.57M | -78.93M | 130.14M | -22.96M | 112.95M | -48.22M | 35.97M | 32.11M | 16.66M | -95K |
| Free Cash Flow | -29.3M | 216.06M | -277.89M | -466.51M | -585.65M | 180.31M | -11.7M | -233.42M | -102.97M | -8.24M | -20.56M | -92.42M | 41.69M | 50.31M | 6.69M |
| FCF Margin % | -8.62% | 45.75% | -25.76% | -172.39% | -541.65% | 56.94% | -3.57% | -60.21% | -32.27% | -5.5% | -21.85% | -117.74% | 71.16% | 105.83% | 26.8% |
| FCF Growth % | -113.56% | 177.75% | 40.43% | 20.34% | -424.8% | 1640.58% | 94.99% | -126.68% | -1149.98% | 59.93% | 77.75% | -321.69% | -17.15% | 651.87% | - |
| FCF per Share | -0.13 | 0.98 | -1.25 | -2.13 | -2.67 | 0.82 | -0.05 | -1.11 | -0.49 | -0.04 | -0.10 | -0.44 | 0.20 | 0.28 | 0.04 |
| FCF Conversion (FCF/Net Income) | -0.46x | 1.48x | -0.45x | -15.28x | 20.36x | 1.26x | -0.04x | -0.73x | -0.41x | -0.06x | -0.31x | -1.98x | 15.73x | 2.90x | 0.42x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Binary litigation settlement timing
As reported in financial statements, the relationship between net income and operating cash flow is highly erratic, with OCF/NI ratios swinging from 5.02 in 2025Q1 to -0.95 in 2025Q2, indicating that accounting earnings frequently decouple from the actual cash realized from litigation outcomes.
The wide variance in conversion metrics suggests that net income is heavily influenced by non-cash fair value adjustments rather than realized cash inflows. Investors should monitor this divergence closely, as it implies that reported profitability may not accurately reflect the underlying liquidity generated by the firm's legal finance portfolio.
Based on quarterly data, Burford's free cash flow trajectory is characterized by extreme instability, ranging from a positive $279.8 million in 2024Q3 to a negative $206.0 million in 2023Q2, reflecting the inherent lumpiness of cash returns from high-stakes commercial litigation settlements.
The frequent shifts between positive and negative free cash flow suggest that the company's liquidity profile is entirely dependent on the timing of case resolutions. This pattern warrants further investigation into whether the firm can sustain its capital deployment strategy without relying on external financing during extended periods of litigation inactivity.
According to recent SEC filings, working capital changes are the primary engine of cash flow volatility, with a massive $378.1 million inflow in 2024Q3 contrasting sharply with a $135.7 million outflow in 2023Q2, underscoring the impact of case-related receivables on the firm's cash position.
These significant fluctuations in working capital appear to be a direct result of the timing of legal settlements and the subsequent collection of proceeds. The data suggests that the firm's cash flow is less a function of operational efficiency and more a reflection of the unpredictable nature of court-mandated payment cycles.
As indicated by historical data, Burford continues to prioritize dividend payments and share repurchases despite highly inconsistent cash generation, with $13.7 million in dividends paid in 2025Q4 even as operating cash flow remained negative at $79.9 million, suggesting a commitment to shareholder returns regardless of liquidity.
The persistence of capital returns during periods of negative cash flow may indicate management's confidence in future realizations, yet it also raises questions regarding the sustainability of this policy. Investors should monitor whether this deployment strategy could eventually constrain the firm's ability to fund new, high-value litigation opportunities.
Quick answers to the most common questions about buying BUR stock.
Burford Capital Limited (BUR) generated $-29.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Burford Capital Limited (BUR) reported negative free cash flow of $29.3M in 2025, indicating capital requirements exceeded cash from operations.
Burford Capital Limited (BUR) spent $0.3M 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, Burford Capital Limited (BUR) returned $27.4M to shareholders via cash dividends and spent $15.3M on share repurchases. This shows the company's commitment to returning capital to its equity investors.