Free cash flow rebounded to $49.2M in 2026Q2 (FCF margin 4.2%), with cumulative OCF of $378.4M exceeding net income of $178.9M, though quarterly working capital swings cause volatility.
The Chefs' Warehouse, Inc. (CHEF) cash flow statement — 16-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 | Dec'11 | Dec'10 |
|---|
| Cash from Operations | 161.8M | 129.22M | 153.06M | 61.64M | 23.13M | -19.9M | 42.88M | 45.01M | 45.08M | 31.5M | 38.91M | 37.73M | 9.8M | 10.64M | 8.39M | 16.72M | 13.52M |
| Operating CF Margin % | - | 3.11% | 4.03% | 1.8% | 0.89% | -1.14% | 3.86% | 2.83% | 3.12% | 2.42% | 3.26% | 3.56% | 1.17% | 1.58% | 1.75% | 4.17% | 4.1% |
| Operating CF Growth % | 137.04% | -15.58% | 148.32% | 166.44% | 216.26% | -146.41% | -4.72% | -0.17% | 43.13% | -19.06% | 3.15% | 285.09% | -7.91% | 26.78% | -49.81% | 23.63% | - |
| Net Income | 91.97M | 72.36M | 55.48M | 34.59M | 27.75M | -4.92M | -82.9M | 24.19M | 20.4M | 14.37M | 3.02M | 16.21M | 14.21M | 16.99M | 14.51M | 7.7M | 15.87M |
| Depreciation & Amortization | 82.03M | 78.13M | 64.93M | 55.61M | 38.24M | 34.97M | 33.28M | 25.99M | 22.21M | 20.55M | 18.52M | 15.41M | 8.24M | 7.32M | 3.93M | 1.72M | 1.39M |
| Stock-Based Compensation | 24.44M | 21.24M | 17.78M | 20.04M | 13.6M | 11.48M | 9.29M | 4.4M | 4.09M | 3.02M | 2.58M | 3.54M | 1.37M | 1.21M | 1.55M | 2.1M | 0 |
| Deferred Taxes | 8.98M | 6.53M | 1.46M | 8.11M | 9.6M | -1.84M | -18.42M | 2.06M | 2.55M | -703K | 3.68M | -809K | 173K | 970K | -83K | 1.16M | -2.77M |
| Other Non-Cash Items | 27.71M | 26.59M | 14.86M | 18.45M | 31.88M | 2.77M | 38.36M | 15.17M | 9.33M | 5.71M | 18.81M | 5.25M | 380K | 753K | 2.44M | 8.36M | 1.54M |
| Working Capital Changes | -73.32M | -75.64M | -1.45M | -75.17M | -97.94M | -62.35M | 63.27M | -26.81M | -13.51M | -11.45M | -7.69M | -1.88M | -14.59M | -16.6M | -13.95M | -4.32M | -2.44M |
| Change in Receivables | -56.94M | -35.85M | -44.81M | -48.81M | -48.23M | -70.78M | 77.59M | -13.21M | -19.47M | -13.46M | -2.5M | -11.05M | -21.33M | -5.88M | -7.74M | -7.03M | -5.64M |
| Change in Inventory | -10.29M | -67.11M | -32.2M | -28.76M | -49.93M | -60.8M | 49.05M | -9.44M | -6.33M | -11.78M | 7.04M | -6.11M | -10.81M | 395K | -5.13M | -3.97M | -450K |
| Change in Payables | -2.63M | 31.37M | 87.31M | 19.6M | 19.16M | 69.34M | -64.68M | 1.96M | 13.8M | 15.17M | -8.23M | 16.66M | 16.82M | -10.62M | -710K | 6.76M | 4.52M |
| Cash from Investing | -41.64M | -46.76M | -49.82M | -179.31M | -232.02M | -48.99M | -67.97M | -44.15M | -33.69M | -42.41M | -35.81M | -129.3M | -23.67M | -89.7M | -75.71M | -19.83M | -4.87M |
| Capital Expenditures | -36.03M | -41.43M | -49.51M | -57.43M | -45.85M | -38.8M | -7.04M | -16.08M | -19.82M | -12.31M | -16.62M | -21.66M | -24.21M | -11.7M | -3.19M | -2.08M | -1.13M |
| CapEx % of Revenue | 0.82% | 1% | 1.3% | 1.67% | 1.75% | 2.22% | 0.63% | 1.01% | 1.37% | 0.95% | 1.39% | 2.04% | 2.89% | 1.74% | 0.66% | 0.52% | 0.34% |
| Acquisitions | -4.58M | -4.58M | -315K | -121.88M | -186.18M | -10.19M | -60.93M | -28.08M | -13.9M | -30.09M | -19.74M | -123.83M | 484K | -78M | -72.52M | -17.76M | -3.74M |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -1.03M | -750K | 0 | 0 | 0 | 0 | 0 | 0 | 30K | 0 | 550K | 16.19M | 49K | 0 | -7K | 5K | 0 |
| Cash from Financing | -81.44M | -76.22M | -38.48M | 9.01M | 253.22M | -9.22M | 78.06M | 96.95M | -10.44M | 19.43M | 27.23M | 91.05M | -2.7M | 98.73M | 65.41M | 3.17M | -7.55M |
| Debt Issued (Net) | -57.3M | -48.57M | -10.05M | 24.45M | 278.65M | -7.31M | -1.29M | 103.92M | -6.68M | -12.83M | 42.33M | 94.49M | -7.89M | 19.73M | 67.49M | -58.12M | 68.83M |
| Equity Issued (Net) | -12.96M | -15M | -24.8M | -2.13M | -2.67M | -1.83M | 82.27M | -1.02M | -764K | 34.02M | -569K | -1.09M | -491K | 74.77M | -346K | 62.59M | -68.42M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.6M |
| Share Repurchases | -15M | -15M | -24.8M | -2.13M | -2.67M | -1.83M | -3.67M | -1.02M | -764K | -500K | -569K | -1.09M | -491K | -269K | -346K | -692K | -68.42M |
| Other Financing | -11.18M | -12.65M | -3.63M | -13.31M | -22.76M | -83K | -2.93M | -5.95M | -3M | -1.76M | -14.53M | -2.35M | 5.69M | 4.23M | -1.74M | -1.3M | -6.36M |
| Net Change in Cash | 38.6M | 6.33M | 64.78M | -108.92M | 43.65M | -78.13M | 53.05M | 97.82M | 906K | 8.64M | 30.41M | -874K | -16.69M | 19.9M | -1.92M | 55K | 1.1M |
| Free Cash Flow | 125.77M | 87.79M | 103.56M | 4.21M | -22.71M | -58.7M | 35.84M | 28.93M | 25.27M | 19.19M | 22.29M | 16.07M | -14.41M | -1.07M | 5.21M | 14.64M | 12.39M |
| FCF Margin % | 2.86% | 2.12% | 2.73% | 0.12% | -0.87% | -3.36% | 3.22% | 1.82% | 1.75% | 1.47% | 1.87% | 1.52% | -1.72% | -0.16% | 1.08% | 3.65% | 3.75% |
| FCF Growth % | 6.41% | -15.22% | 2358.57% | 118.54% | 61.3% | -263.76% | 23.9% | 14.51% | 31.68% | -13.93% | 38.7% | 211.53% | -1251.69% | -120.48% | -64.44% | 18.14% | - |
| FCF per Share | 2.73 | 1.91 | 2.25 | 0.09 | -0.59 | -1.60 | 1.06 | 0.96 | 0.85 | 0.70 | 0.86 | 0.61 | -0.58 | -0.05 | 0.25 | 0.81 | 0.58 |
| FCF Conversion (FCF/Net Income) | 1.37x | 1.79x | 2.76x | 1.78x | 0.83x | 4.04x | -0.52x | 1.86x | 2.21x | 2.19x | 12.87x | 2.33x | 0.69x | 0.63x | 0.58x | 2.17x | 0.85x |
| Interest Paid | 18.5M | 0 | 42.76M | 42.07M | 27.23M | 15.39M | 18.18M | 0 | 16.95M | 20.8M | 17.79M | 11.46M | 8.16M | 6.01M | 2.78M | 7.36M | 3.54M |
| Taxes Paid | 19.56M | 0 | 18.52M | 17.93M | 4.28M | 230K | 308K | 0 | 4.83M | 333K | 6.37M | 11.05M | 10.65M | 11.46M | 12.29M | 2.64M | 5.79M |
Quick answers to the most common questions about buying CHEF stock.
The Chefs' Warehouse, Inc. (CHEF) generated $129.2M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
The Chefs' Warehouse, Inc. (CHEF) generated $87.8M 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.
The Chefs' Warehouse, Inc. (CHEF) spent $41.4M 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, The Chefs' Warehouse, Inc. (CHEF) spent $15.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Working capital volatility
Metrics are mathematically derived from official filings.
Earnings Quality Shows Wide Swings
CHEF's operating cash flow to net income ratio swung from 4.82 in 2025Q1 to -0.46 in 2025Q3, as per quarterly filings, indicating volatile earnings quality.
The OCF/NI ratio has been highly erratic, with a negative reading in 2025Q3 driven by a large working capital outflow. This suggests that reported net income does not consistently translate into cash, and investors should monitor the sustainability of earnings given the significant accruals.
Free Cash Flow Rebounds Sharply
FCF surged to $49.2M in 2026Q2 from -$19.7M in 2025Q3, as reported in financial statements, reflecting a strong recovery and improved FCF margin of 4.2%.
The FCF trajectory shows a V-shaped recovery, with the latest quarter's FCF margin of 4.2% exceeding the prior year's levels. This improvement appears driven by better working capital management and revenue growth, though the historical volatility suggests the trend may not be stable.
Capital Intensity Remains Low
CapEx as a percentage of revenue has declined from 2.0% in 2024Q1 to 0.8% in 2026Q2, as per SEC filings, indicating a low capital intensity business.
The low and declining capex-to-revenue ratio suggests that CHEF's growth does not require heavy capital investment, which is typical for a food distributor. This allows more of operating cash flow to convert to FCF, but investors should assess whether this level of capex is sufficient to maintain infrastructure.
Working Capital Drives Cash Flow Volatility
Working capital changes swung from -$61.2M in 2025Q3 to +$11.3M in 2025Q4, as reported in quarterly data, causing significant cash flow fluctuations.
The large swings in working capital, particularly in 2025Q3, appear to be the primary driver of cash flow volatility. This may indicate seasonal inventory build-up or changes in payment terms with suppliers and customers. Investors should monitor these dynamics as they can mask underlying cash generation.
Capital Return Focused on Buybacks
CHEF allocated $10.0M to buybacks in 2026Q1 and $11.4M in 2025Q1, as per cash flow statements, while paying no dividends, indicating a buyback-centric capital return policy.
The company has consistently repurchased shares, with buybacks in most quarters, while dividends remain zero. This suggests management views buybacks as the primary method to return capital, possibly due to tax efficiency or flexibility. The modest buyback amounts relative to FCF indicate a balanced approach to capital allocation.
Cumulative Cash Outpaces Earnings
Over the last ten quarters, cumulative operating cash flow of $378.4M exceeds cumulative net income of $178.9M, as per reported data, indicating strong cash conversion.
The cumulative OCF is more than double cumulative net income, suggesting that earnings are backed by robust cash generation. This divergence may be due to non-cash charges like D&A and favorable working capital trends, but it also raises questions about the sustainability of such high conversion rates.
What Could Invalidate the Base Case
Despite strong cumulative cash conversion, the extreme quarterly swings in working capital and OCF/NI, as per reported data, could signal underlying earnings quality issues.
The cash flow statement obscures the impact of working capital timing, which has caused OCF to be negative in 2025Q3 despite positive net income. This suggests that reported earnings may not always be backed by cash in the short term, and investors should be cautious about extrapolating the high cumulative conversion rate. Additionally, the low capex may not be sufficient to support long-term growth, potentially requiring future capital infusions.