Operating cash flow has consistently exceeded net income, with an average OCF/NI ratio of 4.8 over the last ten quarters, though free cash flow margin remains volatile, swinging from -5.2% to 88.8% due to working capital fluctuations.
BrainsWay Ltd. (BWAY) cash flow statement — 14-year operating, investing & financing cash flows
| Metric | TTM | 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 |
|---|
| Cash from Operations | 8.16M | 18.16M | 10.3M | 1.28M | -9.76M | 884K | -1.44M | -7.24M | -3.77M | -3.47M | -2.4M | -4.55M | -3.79M | -2.36M | -5.6M |
| Operating CF Margin % | - | 34.78% | 25.11% | 4.04% | -35.91% | 2.98% | -6.51% | -31.36% | -23.01% | -31.11% | -20.84% | -66.94% | -112.22% | -198.74% | -1538.39% |
| Operating CF Growth % | -286.15% | 76.37% | 702.02% | 113.16% | -1204.07% | 161.56% | 80.18% | -92% | -8.83% | -44.34% | 47.23% | -20.01% | -60.52% | 57.83% | - |
| Net Income | 9.55M | 7.63M | 2.92M | -4.2M | -13.35M | -6.46M | -5.38M | -10.33M | -6.48M | -7.05M | -2.4M | -4.09M | -6.54M | -7.12M | -5.92M |
| Depreciation & Amortization | 1.67M | 1.54M | 1.77M | 1.34M | 1.53M | 1.69M | 1.62M | 1.6M | 1.23M | 1.07M | 649K | 611K | 336K | 206K | 109.27K |
| Stock-Based Compensation | 986K | 1.2M | 1.44M | 381K | 1.47M | 1.89M | 799K | 1.26M | 710K | 1.03M | -420K | 1.42M | 1.41M | 402K | 65.62K |
| Deferred Taxes | -31K | 77K | 538K | 251K | 315K | 43K | 237K | 422K | 209K | 169K | 12K | 17K | 93K | 28K | 0 |
| Other Non-Cash Items | 1.62M | -506.79K | 1.24M | 1.88M | 1.72M | 2.66M | 1.12M | 1.95M | 763K | 230K | 334K | -419K | -732K | 2.86M | 203.55K |
| Working Capital Changes | -5.63M | 8.23M | 2.39M | 1.64M | -1.45M | 1.07M | 179K | -2.15M | -204K | 1.09M | -580K | -2.09M | 1.65M | 1.26M | -132.31K |
| Change in Receivables | -3.17M | 611.82K | -867K | 1.09M | 1.46M | -849K | -104K | -2.5M | -419K | -21K | -499K | -1.16M | -699K | -228K | -132.31K |
| Change in Inventory | -2.65M | -1.41M | -920K | -506K | -3.6M | -411K | 0 | 0 | -330K | 276K | 264K | -358K | 266K | 148K | 0 |
| Change in Payables | 1.29M | -480.78K | 2.12M | -327K | 0 | 289K | -552K | 175K | 859K | 310K | 137K | -437K | 550K | -207K | 0 |
| Cash from Investing | -11.74M | -17.63M | 30.31M | -37.41M | 42.17M | -42.22M | -2.46M | -2.45M | -1.14M | -2.45M | -393K | -1.78M | -1.08M | -598K | -2.65M |
| Capital Expenditures | -2.41M | -1.76M | -4.76M | -2.39M | 1.94M | -2.24M | -2.47M | -3.31M | -1.97M | -985K | -408K | -2.27M | -1.5M | -4.04M | -328.36K |
| CapEx % of Revenue | 3.94% | 3.37% | 11.62% | 7.51% | 7.12% | 7.55% | 11.2% | 14.33% | 12.03% | 8.84% | 3.54% | 33.38% | 44.26% | 340.12% | 90.15% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 39.98M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 1.2M | 0 | 35.08M | -35.02M | 0 | -39.98M | 0 | 0 | 1.01M | -2M | 5K | 2K | 411K | 2K | -2.32M |
| Cash from Financing | -2.26M | -2.23M | 18.26M | -1.03M | -1.55M | 41.52M | -1.03M | 22.47M | -265K | 11.11M | 570K | 514K | 13.43M | 9.2M | 5.51M |
| Debt Issued (Net) | -780K | -832K | -424K | -271K | -533K | -475K | -417K | -3.43M | 0 | 2.7M | 0 | 0 | 0 | 0 | 0 |
| Equity Issued (Net) | 0 | 0 | 16.35M | 0 | -52K | 42.26M | 0 | 26.33M | 0 | 8.45M | 0 | 0 | 1.35M | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | -52K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -1.48M | -1.4M | 2.33M | -755K | -962K | -269K | -613K | -425K | -265K | -39K | 570K | 514K | 12.08M | 9.2M | 5.51M |
| Net Change in Cash | -5.81M | -1.67M | 58.83M | -37.06M | 30.66M | -40K | -4.71M | 12.71M | -5.54M | 5.33M | -2.18M | -5.91M | 6.59M | 6.3M | -2.68M |
| Free Cash Flow | 5.69M | 16.4M | 6.5M | -1.1M | -9.76M | -1.35M | -3.91M | -10.55M | -5.75M | -4.45M | -2.81M | -6.82M | -5.29M | -6.41M | -5.93M |
| FCF Margin % | 9.33% | 31.41% | 15.86% | -3.47% | -35.91% | -4.57% | -17.71% | -45.69% | -35.04% | -39.95% | -24.38% | -100.32% | -156.48% | -538.86% | -1628.53% |
| FCF Growth % | -69.62% | 152.18% | 689.66% | 88.7% | -620.83% | 65.34% | 62.99% | -83.73% | -29.04% | -58.43% | 58.81% | -28.98% | 17.45% | -8.01% | - |
| FCF per Share | 0.28 | 0.77 | 0.19 | -0.03 | -0.30 | -0.04 | -0.17 | -0.51 | -0.35 | -0.30 | -0.19 | -0.47 | -0.37 | -0.50 | -0.49 |
| FCF Conversion (FCF/Net Income) | 0.60x | 2.38x | 3.53x | -0.31x | 0.73x | -0.14x | 0.27x | 0.70x | 0.58x | 0.49x | 1.00x | 1.11x | 0.58x | 0.33x | 0.95x |
| Interest Paid | 0 | 0 | 125K | 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 |
Quick answers to the most common questions about buying BWAY stock.
BrainsWay Ltd. (BWAY) generated $18.2M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
BrainsWay Ltd. (BWAY) generated $16.4M 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.
BrainsWay Ltd. (BWAY) spent $1.8M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
Key Metrics
Top Statement Risk
Working capital volatility obscuring cash generation
Earnings Quality Strong but Volatile
BrainsWay's operating cash flow has consistently exceeded net income, with the OCF/NI ratio averaging 4.8 over the last ten quarters, suggesting high-quality earnings and strong cash conversion, as reported in the company's financial statements.
The persistent premium of operating cash flow over net income indicates that the company's profitability is backed by actual cash generation, not just accounting accruals. This is a positive signal for the sustainability of its reported earnings, especially as revenue scales. However, the extreme volatility in this ratio, from 0.51 in 2026Q1 to 28.63 in 2024Q1, warrants investigation into the specific non-cash or timing items driving quarterly swings.
FCF Margin Volatility Amidst Growth
Free cash flow margin has been highly erratic, swinging from -5.2% in 2025Q4 to 88.8% in 2025Q2, indicating that near-term FCF generation is not yet a stable function of the company's accelerating revenue growth.
The FCF trajectory does not yet mirror the consistent top-line acceleration noted in the income statement analysis. The negative FCF in 2025Q4, despite positive net income, highlights a quarter where cash was consumed by operations, likely due to working capital dynamics. Investors should monitor whether the company can translate its improving operating leverage into a more predictable and positive FCF stream as it scales.
Working Capital Swings Drive Cash Volatility
Working capital changes have been the primary driver of operating cash flow volatility, with a massive $11.0M positive swing in 2025Q2 followed by a $4.1M negative swing in 2025Q4, as shown in the quarterly cash flow data.
The erratic working capital movements suggest that the company's cash conversion cycle is not yet optimized for its growth phase. The large positive swing in 2025Q2 likely reflects efficient collections or inventory management, while the subsequent negative swings indicate potential investments in inventory or receivables to support growth. This volatility makes it difficult to forecast near-term operating cash flow and underscores the need for disciplined working capital management.
Modest Capex Intensity Supports Growth
Capital expenditures have remained a modest 5-9% of revenue over the past ten quarters, suggesting the business model is not capital-intensive and that growth is being funded with relatively low reinvestment requirements.
The consistent and low capital intensity is a favorable characteristic, allowing a greater portion of operating cash flow to be available for other uses. The slight decline in CapEx/Rev from 12.4% in 2024Q3 to 4.8% in 2026Q2 may indicate that initial growth investments are now yielding returns, or that the company is leveraging existing capacity. This profile supports the potential for future free cash flow expansion as the business scales.
Cumulative Cash Exceeds Cumulative Earnings
Over the last ten quarters, BrainsWay has generated approximately $35.8M in cumulative operating cash flow against $15.5M in cumulative net income, indicating a substantial positive gap that reflects strong underlying cash generation.
This cumulative positive divergence is a strong fundamental signal, suggesting that the company's accounting earnings are conservative and that its operations are generating more cash than the income statement alone would imply. This provides a financial cushion and supports the company's ability to fund its growth internally. The trend is consistent with a high-quality, asset-light business model.
Cash Flow Statement Obscures Key Realities
The cash flow statement does not fully capture the impact of stock-based compensation, which averaged $318K per quarter, nor does it provide clarity on the precise drivers of the large working capital swings that dominate operating cash flow.
While SBC is a non-cash expense added back to operating cash flow, it represents a real economic cost to shareholders through dilution. The magnitude of the working capital swings, particularly the $11.0M positive and $4.1M negative movements, obscures the underlying operational cash generation trend. Analysts must look beyond the headline operating cash flow number to understand the sustainability of the cash flow profile.