Persistent negative free cash flow, ranging between $1.1 million and $2.1 million per quarter, confirms a heavy reliance on external financing to sustain ongoing research activities.
| Cash from Operations | -6.76M | -4.73M | -6.76M | -6.3M | -5.06M | -2.08M | -198.5K | -47.85K | -80.48K | -8.93K |
| Operating CF Margin % | - | - | - | - | - | - | - | - | - | - |
| Operating CF Growth % | -19.37% | 30% | -7.33% | -24.65% | -143.38% | -946.39% | -314.83% | 40.54% | -801.32% | - |
| Net Income | -7.9M | -3.86M | -7.31M | -8.62M | -9.36M | -2.73M | -309.94K | -79.96K | -148.27K | -6.53K |
| Depreciation & Amortization | 57.73K | 49.36K | 71.09K | 57.51K | 112.75K | 1.88K | 0 | 0 | 0 | 0 |
| Stock-Based Compensation | 1.65M | 805.82K | 1.39M | 508.12K | 1.64M | 619.94K | 0 | 0 | 112.27K | 0 |
| Deferred Taxes | 11.33K | 70.44K | 144.6K | 17.37K | 40.53K | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -182.3K | -1.76M | -873.82K | 3.21M | 832.28K | 7.33K | 134.88K | 0 | -45.73K | 0 |
| Working Capital Changes | -126.32K | -39.57K | -181.11K | -969.03K | 1.68M | 19.04K | -23.44K | 32.11K | 1.25K | -2.4K |
| Change in Receivables | -93.3K | 17.25K | 90.41K | -154.62K | 27.06K | -115.57K | -21 | 4.07K | -6.16K | -371 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 0 | 0 | 0 | -620.42K | 0 | 251.74K | -5.59K | 3.87K | 5.01K | 0 |
| Cash from Investing | -1.28M | -541.97K | -331.43K | -26.23K | -7.55K | -184.03K | -3.82K | -7.59K | -99.98K | -18.42K |
| Capital Expenditures | 0 | 0 | 0 | 0 | -7.55K | -24.29K | -7.51K | -7.59K | -99.98K | -18.42K |
| CapEx % of Revenue | - | - | - | - | - | - | - | - | - | - |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | -13.49K | 47.05K | -26.23K | 0 | -159.75K | 3.68K | 0 | 0 | 0 |
| Cash from Financing | 15.19M | 2.62M | 8.71M | 11.66M | 694.52K | 5.39M | 449.39K | 0 | 158.54K | 130K |
| Debt Issued (Net) | 7.69M | 2.21M | -59.28K | -40.92K | -96.19K | 0 | 0 | 0 | 0 | 0 |
| Equity Issued (Net) | 7.51M | 415.05K | 3.05M | 11.12M | 790.71K | 5.39M | 449.39K | 0 | 160.06K | 127.22K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -8.06K | 0 | 5.71M | 590.08K | 0 | 0 | 0 | 0 | -1.52K | 2.78K |
| Net Change in Cash | 7.11M | -2.65M | 1.6M | 5.3M | -4.4M | 3.13M | 247.07K | -55.45K | -21.92K | 102.45K |
| Free Cash Flow | -6.76M | -4.73M | -6.76M | -6.3M | -5.06M | -2.25M | -206.01K | -55.45K | -180.46K | -27.55K |
| FCF Margin % | - | - | - | - | - | - | - | - | - | - |
| FCF Growth % | -4.91% | 30% | -7.33% | -24.47% | -125.37% | -990.49% | -271.55% | 69.28% | -555.12% | - |
| FCF per Share | -22.40 | -3.72 | -8.73 | -124.49 | -467.48 | -290.73 | -45.46 | -17.98 | -66.99 | -9.02 |
| FCF Conversion (FCF/Net Income) | 0.86x | 1.23x | 1.29x | 0.73x | 0.51x | 0.57x | 0.86x | 0.46x | 0.41x | 1.37x |
| Interest Paid | 0 | 3.86K | 5.39K | 0 | 14.43K | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 235.46K | 229.91K | 306.59K | 12.68K | 0 | 0 | 0 | 0 | 0 | 0 |
Imminent liquidity and dilution
As reported in financial statements, the persistent gap between net income and operating cash flow, highlighted by an OCF/NI ratio that frequently exceeds 1.0, suggests that non-cash expenses and working capital adjustments are significantly masking the true economic cost of the company's ongoing research and development activities.
The divergence between accounting losses and cash outflows indicates that the company's net income figures are heavily influenced by non-cash items, such as stock-based compensation. Investors should monitor this relationship closely, as the reliance on non-cash adjustments to reconcile the bottom line provides little insight into the actual cash burn required to sustain operations.
Based on the provided quarterly data, Clearmind consistently records negative free cash flow, with quarterly outflows ranging between $1.1 million and $2.1 million, confirming that the firm remains entirely dependent on external capital markets to fund its pre-clinical development pipeline and administrative overhead.
The absence of positive free cash flow is expected for a pre-revenue biotech, yet the consistency of these outflows underscores the lack of self-sustaining operational momentum. Without a clear path to commercialization or licensing revenue, the current trajectory suggests that cash reserves will continue to deplete at an unsustainable rate.
According to recent SEC filings, working capital fluctuations have been erratic, with quarterly changes swinging from a $380.9K outflow in 2026Q2 to a $381.6K inflow in 2024Q4, reflecting the unpredictable nature of managing payables and accruals in a firm without a stable revenue base.
These swings in working capital appear to be driven by the timing of professional fees and clinical trial-related payments rather than operational efficiency. The inability to stabilize these outflows suggests that management's control over short-term liquidity is secondary to the immediate, non-discretionary demands of their R&D and patent filing obligations.
As indicated by the financial data, stock-based compensation, which reached $1.4 million in 2026Q1, serves as a significant non-cash expense that artificially inflates the net loss while failing to reflect the dilutive impact on shareholders or the actual cash resources required to retain essential scientific and administrative talent.
By excluding these non-cash charges, the true cash burn rate is often higher than the reported net loss might suggest to an uninitiated observer. This accounting treatment warrants further investigation, as it obscures the true cost of human capital and the extent to which the company relies on equity-based incentives to preserve its limited cash reserves.
Quick answers to the most common questions about buying CMND stock.
Clearmind Medicine Inc. (CMND) generated $-4.7M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Clearmind Medicine Inc. (CMND) reported negative free cash flow of $4.7M in 2025, indicating capital requirements exceeded cash from operations.
Clearmind Medicine Inc. (CMND) 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.