Free cash flow remains highly volatile and marginal, yielding only $673.0K in 2026Q3, which highlights the company's ongoing struggle to achieve consistent self-funding capabilities.
| Metric | TTM | Jul'25 | Jul'24 | Jul'23 | Jul'22 | Jul'21 | Jul'20 | Jul'19 | Jul'18 | Jul'17 | Jul'16 | Jul'15 | Jul'14 | Jul'13 | Jul'12 | Jul'11 | Jul'10 | Jul'09 | Jul'08 | Jul'07 | Jul'06 | Jul'05 | Jul'04 | Jul'03 | Jul'02 | Jul'01 | Jul'00 | Jul'99 | Jul'98 | Jul'97 | Jul'96 |
|---|
| Cash from Operations | 30.5M | -8.29M | -54.49M | -4.43M | 2M | -40.64M | 52.76M | 68.03M | 50.34M | 66.66M | 14.97M | 21.73M | 34.59M | 37.7M | 53.49M | 97.36M | 124.52M | 88.53M | 77.78M | 89.24M | 44.33M | 56.05M | 24.28M | 26.8M | 9.39M | 4.8M | 7.97M | 4.9M | 2.6M | 800K | 600K |
| Operating CF Margin % | - | -1.66% | -10.08% | -0.81% | 0.41% | -6.99% | 8.56% | 10.13% | 8.82% | 12.11% | 3.64% | 7.07% | 9.96% | 11.79% | 12.58% | 15.9% | 16% | 15.1% | 14.63% | 20.02% | 11.32% | 18.21% | 10.87% | 15.4% | 7.87% | 3.53% | 12% | 12.93% | 8.64% | 3.24% | 2.87% |
| Operating CF Growth % | 2652.59% | 84.78% | -1129.3% | -321.98% | 104.91% | -177.02% | -22.44% | 35.13% | -24.47% | 345.26% | -31.1% | -37.19% | -8.24% | -29.53% | -45.06% | -21.81% | 40.64% | 13.83% | -12.84% | 101.3% | -20.92% | 130.88% | -9.42% | 185.38% | 95.67% | -39.8% | 62.71% | 88.46% | 225% | 33.33% | 124% |
| Net Income | -25.06M | -155.3M | -99.98M | -26.9M | -33.05M | -73.48M | 7.02M | 25.04M | 29.77M | 15.83M | -7.74M | 23.25M | 25.15M | 17.81M | 32.42M | 67.89M | 60.63M | 49.56M | 76.43M | 65.21M | 45.27M | 36.66M | 21.83M | 9.71M | 1.15M | 6.71M | -3.94M | 5.3M | 1.1M | 500K | 100K |
| Depreciation & Amortization | 23.78T | 33.52M | 33.31M | 33.32M | 31.71M | 30.4M | 32.16M | 30.25M | 34.73M | 37.18M | 23.25M | 12.74M | 13.01M | 14.16M | 16.84M | 22.34M | 19.07M | 37.39M | 22.09M | 18.07M | 14.93M | 8.19M | 6.79M | 6.26M | 5.23M | 6.58M | 2.15M | 1.5M | 1.2M | 1.1M | 1.1M |
| Stock-Based Compensation | 2.72T | 3.12M | 6.1M | 13.87M | 15.15M | 9.98M | 9.28M | 11.43M | 8.57M | 8.51M | 4.12M | 4.36M | 4.26M | 3.13M | 3.57B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 609B | -1.7M | -2.99M | -6.06M | -5.86M | -3.26M | 860K | 4.28M | -6.38M | 9.06M | -3.24M | -2.37M | -404K | 1.11M | -4.57M | 761K | -7.31M | -164K | -2.74M | -147K | 832K | 2.77M | 2.08M | -2M | 300K | 580K | -1.3M | -4.6M | 0 | 0 | 0 |
| Other Non-Cash Items | 5.86T | 103.37M | 69.57M | 3.86M | 1.12M | -1.56M | -1.74M | 14.76M | 8.48M | -6.85M | 4.07M | 3.5M | 3.21M | 284K | 37.01M | 73.38M | 9.35M | 5.38M | 763K | -3.87M | -1.29M | 12.56M | 3.37M | 2.77M | 4.16M | 1.29M | 10.54M | 500K | 0 | 600K | -300K |
| Working Capital Changes | 21.14M | 8.7M | -60.5M | -22.52M | -7.08M | -2.72M | 5.19M | -17.73M | -24.82M | 2.94M | -5.49M | -19.75M | -10.64M | 1.19M | 396K | -4.5M | 20.95M | -1.17M | -18.78M | 9.77M | -15.45M | -4.12M | -9.79M | 10.07M | -1.45M | -10.36M | 527K | 2.2M | 300K | -1.4M | -300K |
| Change in Receivables | 24.72M | 33.15M | -38.3M | -39.71M | 33.57M | -31.22M | 20.93M | 6.32M | -24.58M | 25.51M | 5.81M | -15.13M | -5.09M | 6.59M | 14.1M | 64.8M | -56.58M | 13.32M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | 12.32M | 7.71M | -7.76M | -14.88M | -20.41M | -2.34M | -9.13M | -3.79M | -20.07M | 7.81M | 8.28M | -3.45M | 1.25M | 4.09M | -4.41M | -5.22M | 12.02M | 13.39M | -25.04M | -4.82M | -17.91M | -7.24M | -5.15M | -2.79M | 1.2M | -8.13M | -4.58M | -1.7M | 500K | -500K | -1.4M |
| Change in Payables | -4.92M | -15.19M | -18.93M | 20.36M | 6.83M | 11.02M | -2.21M | -21.29M | 13.73M | -4.47M | -1.25M | -3.19M | 512K | -2.58M | -2.53M | -54.34M | 58.61M | -17.86M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -15.14M | -8.56M | 20.14M | -18.31M | -19.62M | -15.48M | -20.18M | -44.67M | -8.64M | -8.15M | -286.2M | -3.36M | -4.94M | -5.35M | -6.41M | -10.04M | -5.48M | -218.95M | -20.45M | -16.05M | -13.52M | -12.34M | -11.78M | -4.28M | -10.23M | 10.87M | -83.34M | -1.2M | -300K | -800K | -100K |
| Capital Expenditures | -13.12T | -8.56M | -13.08M | -18.31M | -19.62M | -16.04M | -7.22M | -8.79M | -8.64M | -8.15M | -5.67M | -3.36M | -4.94M | -5.35M | -6.41M | -7.19M | -7.51M | -13.59M | -14.26M | -12.11M | -12.52M | -9.53M | -6.59M | -4.39M | -3.08M | -2.78M | -1.19M | -1.2M | -300K | -900K | -400K |
| CapEx % of Revenue | 2888604.56% | 1.71% | 2.42% | 3.33% | 4.03% | 2.76% | 1.17% | 1.31% | 1.51% | 1.48% | 1.38% | 1.09% | 1.42% | 1.67% | 1.51% | 1.17% | 0.97% | 2.32% | 2.68% | 2.72% | 3.2% | 3.1% | 2.95% | 2.52% | 2.58% | 2.04% | 1.78% | 3.17% | 1% | 3.64% | 1.91% |
| Acquisitions | 0 | 0 | 33.23M | 0 | 0 | 554K | -12.96M | -35.88M | 0 | 0 | -280.54M | 0 | -49M | -97M | -195M | -2.85M | 0 | -205.36M | -6.19M | -3.94M | -1M | -2.73M | -5.19M | 111K | -7.05M | -3.68M | -63.14M | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 13.12T | 0 | 0 | 0 | 0 | -1 | 0 | -10B | 0 | 0 | 0 | 0 | 49M | 97M | 195M | 0 | 2.04M | 0 | 0 | 0 | 0 | -75K | 0 | 0 | -91K | -563K | 0 | 0 | 0 | 100K | 0 |
| Cash from Financing | -15.29M | 24.44M | 47.83M | 20.05M | 8.41M | 39.1M | -30.28M | -21.27M | -40.06M | -83.47M | 187.08M | -21.91M | -231.79M | -43.6M | -237.99M | -136.11M | 3.1M | 205.79M | 9.84M | 18.13M | 6.37M | 7.41M | 102.17M | 10.59M | -19.86M | 7.95M | 82.06M | -600K | -800K | -500K | -600K |
| Debt Issued (Net) | -17.31M | 28.39M | 23.04M | 35.02M | -71.02M | 51.46M | -16.3M | -7.44M | -30.56M | -63.66M | 120.7M | 0 | -149.96M | 0 | 0 | -539K | -126K | 193.68M | -135K | -154K | -234K | -271K | 100.28M | -29.75M | -20.31M | 7.9M | 40M | -800K | -900K | -600K | -600K |
| Equity Issued (Net) | 744K | -608K | 43.2M | 0 | 100M | -2.8M | 0 | -5.04M | 0 | 694K | 95.03M | -4.99M | -70.73M | -26.95M | -219.38M | -119.62M | 0 | 0 | 7.6M | 10.29M | 2.54M | 7.68M | 1.9M | 40.33M | 454K | 48K | 42.06M | 200K | 100K | 100K | 0 |
| Dividends Paid | -33K | -158K | -268K | -8.66M | -11.05M | -10.33M | -10.02M | -9.79M | -9.54M | -18.87M | -19.41M | -19.43M | -18.68M | -18.88M | -22.63M | -20.14M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | -2.8M | 0 | -935M | -855M | -694M | 0 | -4.99M | -70.73M | -26.95M | -219.38M | -119.62M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -718K | -800K | 0 | 0 | 0 | 0 |
| Other Financing | 1.3M | -3.19M | -18.15M | -6.31M | -9.52M | 779K | -3.95M | 1M | 38K | -1.89M | -9.34M | 2.5M | 7.58M | 2.23M | 4.01M | 4.18M | 3.23M | 12.12M | 2.37M | 7.99M | 4.07M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Net Change in Cash | 65K | 7.59M | 13.47M | -2.69M | -9.21M | -17.02M | 2.3M | 2.09M | 1.64M | -24.96M | -84.15M | -3.55M | -202.14M | -11.25M | -190.91M | -48.79M | 122.14M | 75.38M | 67.16M | 91.32M | 37.17M | 51.12M | 114.67M | 33.11M | -20.7M | 23.62M | 6.69M | 3.2M | 1.5M | -500K | -100K |
| Free Cash Flow | 15.35M | -16.86M | -67.58M | -22.74M | -17.62M | -56.67M | 45.54M | 59.25M | 41.7M | 58.51M | 9.3M | 18.36M | 29.65M | 32.35M | 47.08M | 90.17M | 117M | 74.95M | 63.52M | 77.12M | 31.81M | 46.52M | 17.69M | 22.41M | 6.31M | 2.02M | 6.79M | 3.7M | 2.3M | -100K | 200K |
| FCF Margin % | 3.38% | -3.37% | -12.51% | -4.14% | -3.62% | -9.74% | 7.38% | 8.82% | 7.31% | 10.63% | 2.26% | 5.98% | 8.54% | 10.12% | 11.08% | 14.72% | 15.04% | 12.78% | 11.95% | 17.3% | 8.12% | 15.11% | 7.92% | 12.88% | 5.29% | 1.49% | 10.22% | 9.76% | 7.64% | -0.4% | 0.96% |
| FCF Growth % | 132.61% | 75.06% | -197.12% | -29.07% | 68.91% | -224.45% | -23.14% | 42.07% | -28.72% | 528.88% | -49.34% | -38.07% | -8.34% | -31.29% | -47.79% | -22.93% | 56.11% | 17.99% | -17.64% | 142.48% | -31.63% | 163.03% | -21.08% | 255.11% | 211.81% | -70.18% | 83.46% | 60.87% | 2400% | -150% | 106.67% |
| FCF per Share | 0.51 | -0.57 | -2.35 | -0.81 | -0.66 | -2.21 | 1.83 | 2.44 | 1.73 | 2.49 | 0.55 | 1.12 | 1.42 | 1.40 | 1.81 | 2.76 | 3.43 | 2.52 | 2.25 | 2.79 | 1.16 | 1.72 | 0.71 | 1.23 | 0.36 | 0.11 | 0.53 | 0.36 | 0.25 | -0.01 | 0.02 |
| FCF Conversion (FCF/Net Income) | -0.61x | 0.05x | 0.55x | 0.16x | -0.06x | 0.55x | 7.52x | 2.72x | 1.69x | 4.21x | -1.93x | 0.93x | 1.38x | 2.12x | 1.65x | 1.43x | 2.05x | 1.86x | 1.02x | 1.37x | 0.98x | 1.53x | 1.11x | 2.76x | 8.18x | 0.71x | -2.10x | 0.92x | 2.36x | 1.60x | 6.00x |
| Interest Paid | -11.42M | 27.72M | 18.1M | 11.91M | 4.09M | 5.99M | 5.55M | 7.67M | 7.29M | 10.42M | 5.31M | 117K | 6.27M | 6.35M | 6.51M | 6.41M | 6.22M | 2.11M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | -1.4M | 1.88M | 4.88M | 361K | 2.91M | 0 | 2.88M | 2M | 1.11M | 758K | -3.68M | -11.44M | 15.13M | 7.42M | 23.75M | 39.5M | 35.11M | 20.79M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Persistent operating cash volatility
According to quarterly cash flow statements, Comtech’s operating cash flow frequently diverges from net income, evidenced by a 2026Q3 OCF/NI ratio of -1.77, which suggests that reported earnings are currently poor proxies for the company's actual ability to generate cash from its core operations.
The persistent gap between net losses and operating cash flow indicates that non-cash charges and working capital fluctuations are masking the underlying cash burn. Investors should monitor whether this divergence is a temporary result of project-based accounting or a structural inability to convert revenue into realized cash.
As reported in financial filings, Comtech’s free cash flow trajectory has been erratic, swinging from a significant outflow of $24.2 million in 2025Q1 to a marginal positive of $673.0K in 2026Q3, highlighting the company's struggle to achieve consistent self-funding capabilities amidst ongoing operational challenges.
The inability to maintain positive free cash flow margins suggests that the company's current business model is highly sensitive to timing differences in government contract payments. This volatility warrants further investigation into whether the recent return to positive FCF is sustainable or merely a byproduct of aggressive working capital management.
Based on reported figures, Comtech’s capital expenditure reached an anomalous $13.1 trillion in 2026Q3, a figure that appears to be a significant data reporting outlier, necessitating a cautious approach when evaluating the company's true capital intensity and its ability to maintain its specialized manufacturing infrastructure.
Excluding potential reporting anomalies, the company's historical capex levels suggest a business that requires constant reinvestment to maintain its troposcatter and satellite ground station capabilities. If these capital requirements remain elevated relative to revenue, the company may face continued pressure on its liquidity position.
As evidenced by the $4.5 million working capital contribution in 2026Q3 compared to the $26.4 million drain in 2024Q2, Comtech’s cash position is heavily reliant on the timing of project milestones and the efficiency of its collections process within the government contracting cycle.
The high sensitivity of cash flow to working capital changes suggests that the company is vulnerable to delays in government procurement and payment cycles. Investors should monitor the unbilled receivables balance, as it may indicate that the company is performing work without a corresponding near-term cash inflow.
Quick answers to the most common questions about buying CMTL stock.
Comtech Telecommunications Corp. (CMTL) generated $-8.3M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Comtech Telecommunications Corp. (CMTL) reported negative free cash flow of $16.9M in 2025, indicating capital requirements exceeded cash from operations.
Comtech Telecommunications Corp. (CMTL) spent $8.6M 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, Comtech Telecommunications Corp. (CMTL) returned $0.2M to shareholders via cash dividends. This shows the company's commitment to returning capital to its equity investors.