The company exhibits a persistent cash-burn profile, with free cash flow margins reaching -14.3% in 2026Q1, further obscured by recurring stock-based compensation of $293.4K.
| Cash from Operations | -5.9M | -7.97M | -3.84M | -5.92M | -10.68M | -7.39M | -1.7M | -203.36K | 243.77K | 280.07K |
| Operating CF Margin % | - | -29.96% | -12.49% | -10.38% | -22.95% | -48.77% | -23.51% | -10.66% | 37.99% | 46.53% |
| Operating CF Growth % | -603.64% | -107.51% | 35.11% | 44.57% | -44.63% | -333.89% | -736.99% | -183.42% | -12.96% | - |
| Net Income | -4.28M | -8.07M | -24.24M | -80.23M | -33.78M | -39.15M | -3.41M | -1.35M | 323.12K | 356.62K |
| Depreciation & Amortization | 1.09M | 1.21M | 2.71M | 3.37M | 3.32M | 418.24K | 122.11K | 16.41K | 0 | 0 |
| Stock-Based Compensation | 2.94M | 3.51M | 9.01M | 12.54M | 17.4M | 10.21M | 1.9M | 823.95K | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -2.96M | 355.2K | 5.29M | 57.09M | 35.78K | 23.23M | 46K | 140K | 86.48K | 30.5K |
| Working Capital Changes | -2.69M | -4.97M | 3.4M | 1.31M | 2.34M | -2.09M | -353.21K | 170.65K | -79.35K | -107.05K |
| Change in Receivables | 423.39K | 676.88K | 2.44M | 2.22M | -1.15M | -2.36M | -107.26K | 59.64K | -69.98K | -105.8K |
| Change in Inventory | 498.6K | 0 | 161.59K | -217.66K | 173.16K | 497.89K | 0 | 0 | 0 | 0 |
| Change in Payables | -2.16M | -3.4M | 605.52K | 0 | 0 | 0 | 0 | 0 | -16.5K | 0 |
| Cash from Investing | -16.4K | -7.49K | -83.09K | -160.16K | -6.05M | 2.05M | 285.3K | 169.79K | 24.6K | 0 |
| Capital Expenditures | -16.4K | -7.49K | -83.09K | -213.63K | -512.25K | 0 | -249 | -11.66K | 0 | 0 |
| CapEx % of Revenue | 0.06% | 0.03% | 0.27% | 0.37% | 1.1% | - | 0% | 0.61% | - | - |
| Acquisitions | 0 | 0 | 0 | 30.43K | -5.54M | 2.05M | 285.55K | 181.45K | 24.6K | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 23.04K | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | 4.77M | 8.68M | 3.91M | 6.19M | 15.78M | 2.86M | 4.74M | 1.83M | -204.83K | -244.9K |
| Debt Issued (Net) | -3.6M | 2.55M | 3.76M | 1.78M | 3.63M | -436.92K | 3.63M | -90.21K | 0 | 0 |
| Equity Issued (Net) | 4.17M | 6.54M | 154.95K | 0 | 10.69M | 3.25M | 1.13M | 2.04M | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | -20K | -124.58K | -229.43K | -246.73K |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -2.4M | 0 | 0 |
| Other Financing | 4.2M | -408.64K | 0 | 4.41M | 1.46M | 50K | 0 | 0 | 24.6K | 1.83K |
| Net Change in Cash | -1.15M | 703.4K | -69.85K | -770.72K | -891.87K | -2.47M | 3.32M | 1.8M | 38.94K | 35.17K |
| Free Cash Flow | -5.91M | -7.98M | -3.92M | -6.13M | -11.19M | -7.39M | -1.7M | -215.02K | 243.77K | 280.07K |
| FCF Margin % | -23.05% | -29.99% | -12.76% | -10.75% | -24.05% | -48.77% | -23.51% | -11.27% | 37.99% | 46.53% |
| FCF Growth % | -9.65% | -103.31% | 36.01% | 45.2% | -51.56% | -333.83% | -691.72% | -188.2% | -12.96% | - |
| FCF per Share | -0.19 | -0.26 | -0.33 | -0.55 | -1.21 | -0.06 | -0.02 | -0.00 | 0.00 | 0.04 |
| FCF Conversion (FCF/Net Income) | 1.38x | 0.99x | 0.16x | 0.07x | 0.32x | 0.19x | 0.50x | 0.15x | 0.75x | 0.79x |
| Interest Paid | -251.84K | 0 | 0 | 2.38M | 512.37K | 91.49K | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Liquidity and operational insolvency
As reported in recent financial statements, CISO's operating cash flow consistently trails net income, with the OCF/NI ratio fluctuating significantly, including a -0.35 reading in 2025Q3, which suggests that reported earnings are not being supported by actual cash generation from the company's core service operations.
The persistent gap between net income and operating cash flow indicates that the company's accounting earnings are heavily influenced by non-cash items or accruals that do not translate into liquidity. Investors should monitor this divergence, as it suggests that the underlying business model is struggling to convert service delivery into tangible cash inflows.
Based on the provided cash flow data, CISO has maintained a negative free cash flow trajectory for nine of the last ten quarters, with FCF margins reaching as low as -41.2% in 2025Q1, highlighting a structural inability to fund operations through internal cash generation.
The consistent negative FCF trajectory implies that the company is effectively consuming capital to sustain its current service-led model. Without a pivot toward positive FCF, the company remains reliant on external financing, which appears increasingly difficult given the current macro environment and the company's operational performance.
According to quarterly cash flow records, working capital changes have been highly erratic, swinging from a $3.5M inflow in 2023Q4 to a $2.1M outflow in 2025Q1, which suggests significant instability in the company's ability to manage its receivables and payables effectively.
This volatility in working capital suggests that the company may be struggling with the timing of client collections or the management of vendor obligations. Such fluctuations often indicate a lack of operational discipline, which exacerbates the liquidity risks inherent in a business with negative operating margins.
As indicated by the cash flow statements, stock-based compensation has been a recurring feature, reaching as high as $2.5M in 2024Q2, which effectively masks the true extent of the company's cash burn by inflating the reported operating cash flow figures.
The reliance on stock-based compensation to retain talent appears to be a significant hidden cost that dilutes shareholders while failing to improve the company's cash position. Analysts should adjust for these non-cash expenses to understand the true, unvarnished cash burn rate of the enterprise.
Quick answers to the most common questions about buying CISO stock.
CISO Global Inc. (CISO) generated $-8.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
CISO Global Inc. (CISO) reported negative free cash flow of $8.0M in 2025, indicating capital requirements exceeded cash from operations.
CISO Global Inc. (CISO) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.