Cash flow efficiency remains inconsistent, as demonstrated by the free cash flow margin swinging from a peak of 88.8% in 2025Q2 to 2.6% in 2026Q1 due to working capital fluctuations.
| 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 | 14.19M | 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 % | 581.34% | 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 | 8.82M | 7.69M | 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 | 1.61M | 1.55M | 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 | 569K | 0 | 1.42M | 381K | 1.47M | 1.89M | 799K | 1.26M | 710K | 1.03M | -420K | 1.42M | 1.41M | 402K | 65.62K |
| Deferred Taxes | 189K | 0 | 0 | 251K | 315K | 43K | 237K | 422K | 209K | 169K | 12K | 17K | 93K | 28K | 0 |
| Other Non-Cash Items | -1.25M | 1.27M | 1.8M | 1.88M | 1.72M | 2.66M | 1.12M | 1.95M | 763K | 230K | 334K | -419K | -732K | 2.86M | 203.55K |
| Working Capital Changes | 4.23M | 7.65M | 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 | -491.18K | 611.82K | -867K | 1.09M | 1.46M | -849K | -104K | -2.5M | -419K | -21K | -499K | -1.16M | -699K | -228K | -132.31K |
| Change in Inventory | -2.03M | -2M | -920K | -506K | -3.6M | -411K | 0 | 0 | -330K | 276K | 264K | -358K | 266K | 148K | 0 |
| Change in Payables | -764.78K | -480.78K | 2.12M | -327K | 0 | 289K | -552K | 175K | 859K | 310K | 137K | -437K | 550K | -207K | 0 |
| Cash from Investing | -24.87M | -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 | -1.47M | -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 | 2.61% | 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 | 3.3M | 0 | 35.08M | -35.02M | 0 | -39.98M | 0 | 0 | 1.01M | -2M | 5K | 2K | 411K | 2K | -2.32M |
| Cash from Financing | -2.37M | -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) | -637K | 0 | -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 | -1.73M | -2.23M | 2.33M | -755K | -962K | -269K | -613K | -425K | -265K | -39K | 570K | 514K | 12.08M | 9.2M | 5.51M |
| Net Change in Cash | -12.97M | -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 | 12.72M | 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 % | 22.63% | 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 % | 58.71% | 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 | 0.67 | 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) | 1.44x | 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 |
Working capital volatility
According to recent financial statements, BrainsWay's operating cash flow to net income ratio has fluctuated wildly, reaching a low of -0.26 in 2025Q4, which suggests that reported accounting profits are not consistently translating into actual cash generation for the business on a quarterly basis.
The significant variance between net income and operating cash flow indicates that accrual-based accounting metrics may be masking underlying operational volatility. Investors should monitor whether this disconnect stems from aggressive revenue recognition on sales-type leases or timing differences in customer payments.
Based on reported figures, BrainsWay's free cash flow margin has swung from a peak of 88.8% in 2025Q2 to a modest 2.6% in 2026Q1, highlighting a lack of predictability in the company's ability to retain cash after accounting for necessary capital expenditures.
This erratic trajectory suggests that the company's cash flow profile is heavily influenced by lumpy capital equipment sales rather than a smooth, recurring revenue stream. The inability to maintain consistent FCF margins warrants further investigation into the sustainability of the current sales cycle.
As reported in quarterly filings, BrainsWay experienced a massive $11.0M working capital inflow in 2025Q2 followed by a $4.2M outflow in 2025Q4, indicating that shifts in receivables and inventory management are currently the primary drivers of the company's short-term cash position.
These dramatic swings suggest that the company's cash flow is highly sensitive to the timing of large-scale equipment deployments and subsequent collection cycles. Such volatility makes it difficult to assess the underlying health of the core business without normalizing for these periodic working capital distortions.
Data from recent financial disclosures shows that BrainsWay's capital expenditure as a percentage of revenue has remained within a range of 4.9% to 12.4%, suggesting that the company is maintaining a disciplined approach to investing in its proprietary H-coil manufacturing and infrastructure.
The relatively consistent capital intensity indicates that the company is not currently over-investing in capacity, which may be a positive sign for future margin expansion. However, analysts should monitor if future growth requires a step-up in maintenance capex to support the expanding installed base.
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.