Capital expenditure spiked to 30.3% of revenue in 2026Q3, reflecting significant investment in infrastructure that has contributed to volatile free cash flow margins as low as -29.7%.
| Metric | TTM | Jun'25 | Jun'24 | Jun'23 | Jun'22 | Jun'21 | Jun'20 | Jun'19 | Jun'18 | Jun'17 | Jun'16 | Jun'15 | Jun'14 | Jun'13 | Jun'12 | Jun'11 | Jun'10 | Jun'09 | Jun'08 | Jun'07 | Jun'06 | Jun'05 | Jun'04 | Jun'03 | Jun'02 | Jun'01 | Jun'00 | Jun'99 | Jun'98 | Jun'97 | Jun'96 |
|---|
| Cash from Operations | 10.19B | 633.6M | 545.73M | 634.02M | 413.33M | 574.35M | 297.29M | 178.47M | 161.01M | 118.62M | 122.97M | 129.37M | 95.46M | 107.61M | 88.07M | 73.49M | 72.42M | 48.91M | 45.92M | 44.35M | 40.79M | 18.61M | 30.4M | 25.64M | 16.14M | 15.5M | 12.54M | 9.8M | 6.9M | 8.4M | 3.7M |
| Operating CF Margin % | - | 10.91% | 11.59% | 12.29% | 12.46% | 18.49% | 12.49% | 13.1% | 13.89% | 12.2% | 14.87% | 17.44% | 13.97% | 19.53% | 17.05% | 14.62% | 20.99% | 16.74% | 14.52% | 16.85% | 17.54% | 9.59% | 20.15% | 20% | 14.19% | 12.57% | 16.92% | 15.8% | 11.26% | 15.94% | 9.76% |
| Operating CF Growth % | 5849.65% | 16.1% | -13.93% | 53.39% | -28.04% | 93.19% | 66.57% | 10.84% | 35.74% | -3.54% | -4.94% | 35.52% | -11.29% | 22.18% | 19.83% | 1.48% | 48.06% | 6.53% | 3.53% | 8.74% | 119.15% | -38.77% | 18.56% | 58.89% | 4.09% | 23.68% | 27.92% | 42.03% | -17.86% | 127.03% | -31.48% |
| Net Income | 191.68B | 30.06M | -156.15M | -259.46M | 234.76M | 297.55M | -67.03M | 107.52M | 88M | 95.27M | 65.49M | 65.97M | 38.45M | 58.72M | 70.72M | 83.02M | 38.73M | 38.91M | 64.27M | 37.97M | 10.79M | 23.25M | 16.52M | 11.62M | 7.26M | 9.49M | 7.44M | 5.5M | 6.8M | 7.1M | 4.4M |
| Depreciation & Amortization | 171.15B | 553.6M | 559.76M | 681.69M | 286.78M | 270.07M | 220.88M | 92.36M | 80.77M | 63.64M | 56.66M | 53.08M | 53.1M | 40.79M | 34.52M | 28.45M | 21.04M | 15.35M | 15.52M | 16.75M | 15.78M | 12.71M | 9.63M | 9.33M | 8.79M | 8.7M | 5M | 4.6M | 3.9M | 3.2M | 2.5M |
| Stock-Based Compensation | 136.21B | 160.24M | 126.05M | 148.87M | 73.21M | 70.95M | 68.48M | 21.95M | 15.31M | 11.76M | 9.68M | 11.34M | 12.35M | 11.96M | 11.58M | 9.97M | 8.79M | 4.95M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -138.13B | -95.43M | -112.1M | -206.82M | -8.15M | -371K | -42.45M | -10.46M | 945K | -1.18M | 977K | -3.78M | -4.43M | 1.96M | 577K | -2.07M | -951K | -3.85M | -292K | -3.99M | -2.94M | -562K | -502K | 1.36M | 794K | 1.52M | 662K | 300K | -600K | -100K | -100K |
| Other Non-Cash Items | -709.76B | 193.27M | 23.83M | 145.12M | 18.4M | 39.31M | 41.3M | 12.49M | 7.31M | -2.02M | -80K | 2.86M | 415K | -2.4M | -6.92M | -5.21M | 1.6M | 1.35M | -25.11M | 200K | 18.53M | 2M | 1.31M | 532K | -502K | 1.68M | -368K | 200K | 700K | -300K | -100K |
| Working Capital Changes | 137.16K | -208.13M | 104.34M | 124.63M | -191.67M | -103.17M | 76.12M | -45.38M | -31.33M | -48.85M | -9.75M | -110K | -4.41M | -3.42M | -22.41M | -40.67M | 3.21M | -7.8M | -8.47M | -6.57M | -1.37M | -18.79M | 3.43M | 2.8M | -210K | -5.89M | -198K | -800K | -3.9M | -1.5M | -3M |
| Change in Receivables | -225.44B | -170.44M | 60.58M | 68.31M | -55.19M | -51.7M | -91.98M | -50.76M | -21.04M | -26.25M | -20.77M | -10.74M | -28.49M | 5.44M | -9.54M | -7.2M | -23.45M | 9.36M | -6.49M | -3.65M | -5.36M | -5.76M | -3.39M | -796K | 596K | -3.7M | -576K | -1.7M | -900K | -2.1M | -2.5M |
| Change in Inventory | -699.62B | -202.73M | -23.2M | 174.14M | -230.88M | -44.65M | 112.57M | -36.39M | -38.73M | -24.99M | -8.65M | -4.21M | 12.79M | 1.97M | -15.17M | -40.4M | 2.66M | -7.11M | -7.17M | -5.81M | -3.08M | -11.33M | -3.37M | -3.55M | 1.7M | -1.75M | -4.48M | 1.1M | -2.5M | -2.6M | -1.3M |
| Change in Payables | 349.88B | 217.36M | 205.04M | -83.33M | 97.05M | 2.27M | 45.03M | 16M | 17.44M | 6.7M | 5.71M | 61K | 19.81M | -9.38M | 2.92M | 2.65M | 6.49M | -7.27M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -891.26B | -414.21M | -350.71M | -5.93B | -320.08M | -172.96M | -1.18B | -223.98M | -284.95M | -177.24M | -135.17M | -52.25M | -206.82M | -144.53M | -84.89M | -52.49M | -65.06M | -15.26M | 5.59M | -28.34M | -17.25M | -49.46M | -16.48M | -9.29M | -12.22M | -44.17M | -10.98M | -6M | -20.5M | -7.4M | -8.1M |
| Capital Expenditures | -547.67B | -440.84M | -346.82M | -436.06M | -314.33M | -146.34M | -136.88M | -137.12M | -153.44M | -138.52M | -58.17M | -52.31M | -29.22M | -25.2M | -42.8M | -40.86M | -13.84M | -15.56M | -17.86M | -20.18M | -15.62M | -17.66M | -12.73M | -7.02M | -8.66M | -44.42M | -8.88M | -5.4M | -20.5M | -7.4M | -6.1M |
| CapEx % of Revenue | 30.25% | 7.59% | 7.37% | 8.45% | 9.48% | 4.71% | 5.75% | 10.06% | 13.24% | 14.25% | 7.03% | 7.05% | 4.28% | 4.57% | 8.29% | 8.13% | 4.01% | 5.32% | 5.65% | 7.67% | 6.72% | 9.1% | 8.44% | 5.47% | 7.62% | 36.02% | 11.98% | 8.71% | 33.44% | 14.04% | 16.1% |
| Acquisitions | -27M | 0 | 0 | -5.49B | 0 | -34.39M | -1.04B | -83.07M | -131.51M | -40.02M | -77.16M | 0 | -177.68M | -124.06M | -42.66M | -13.99M | -50.41M | -913K | -2.39M | -4.75M | -1.68M | -29.74M | -3.75M | -2.75M | -2.17M | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 468.24B | 26.62M | -3.9M | -4.01M | -5.75M | 7.77M | -5.8M | -3.79M | 0 | 1.29M | 161K | 67K | 79K | 4.73M | 572K | 3.54M | 4M | 63K | -1.4M | -3.4M | 48K | -2.06M | 8K | 485K | -1.38M | 259K | -2.11M | -600K | 0 | 0 | -2M |
| Cash from Financing | 1.48T | -451.73M | 758.27M | 3.55B | 862.95M | 675.73M | 1.17B | 4.88M | 96.97M | 111.57M | 61.45M | -76.06M | 99.08M | 85.78M | -14.8M | 19.15M | 3.03M | -10.28M | -9.72M | -10.72M | -16.32M | 30.58M | -7.25M | -10.34M | -2.21M | 29.73M | -709K | -2.8M | 7.4M | 200K | 10M |
| Debt Issued (Net) | -394.54M | -434.92M | -228.86M | 2.38B | 913.06M | -925.65M | 1.26B | 15M | 153M | 104M | 59.5M | -65.5M | 128M | 102M | -7.29M | 15M | -558K | -509K | -11.75M | -15.99M | -13.7M | 29.48M | -8.42M | -10.88M | -2.58M | 29.26M | -1.39M | -1.8M | 7.2M | -100K | -1.1M |
| Equity Issued (Net) | 4.32M | -53.99M | -22.32M | -54.17M | -21.25M | 1.67B | -1.63M | -1.62M | -49.88M | -4.14M | -6.28M | -12.73M | -19.97M | -19.98M | -4.99M | 0 | 0 | -12.88M | -2.1M | 2.76M | -3.82M | 1.11M | 1.31M | 548K | 370K | 466K | 681K | -900K | 200K | 300K | 11.1M |
| Dividends Paid | -11.45B | -11.44M | 0 | -27.6M | -34.51M | -20.32M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 48.94M | -53.99M | -22.32M | -54.17M | -21.25M | 0 | -1.63M | -1.62M | -49.88M | -4.14M | -6.28M | -12.73M | -19.97M | -19.98M | -4.99M | 0 | 0 | -12.88M | -5.87M | -501K | -5.22M | -182K | 0 | 0 | 0 | 0 | 0 | -1.1M | 0 | 0 | 0 |
| Other Financing | 1.49T | 48.62M | 1.01B | 1.25B | 5.65M | -48.3M | -81.08M | -8.51M | -6.16M | 11.71M | 8.24M | 2.17M | -8.95M | 3.76M | -2.52M | 4.15M | 3.59M | 3.11M | 4.13M | 2.51M | 1.2M | 0 | -141K | 0 | 0 | 0 | 0 | -100K | 0 | 0 | 0 |
| Net Change in Cash | 2.22T | -156.77M | 952.12M | -1.74B | 990.48M | 1.1B | 288.17M | -42.17M | -24.85M | 53.44M | 44.81M | -1.03M | -10.77M | 50.49M | -14.52M | 41.43M | 12.1M | 26.09M | 37.22M | 5.73M | 5.21M | -8K | 6.1M | 5.97M | 1.52M | 1.76M | 772K | 1.4M | -6.7M | 1.5M | -3.8M |
| Free Cash Flow | -537.17B | 192.76M | 198.91M | 197.97M | 99M | 428.02M | 160.41M | 41.35M | 7.58M | -19.9M | 64.8M | 77.05M | 66.24M | 82.4M | 45.27M | 32.63M | 58.58M | 33.36M | 28.06M | 24.17M | 25.16M | 956K | 17.67M | 18.62M | 7.47M | -28.92M | 3.66M | 4.4M | -13.6M | 1M | -2.4M |
| FCF Margin % | -29.67% | 3.32% | 4.23% | 3.84% | 2.99% | 13.78% | 6.74% | 3.04% | 0.65% | -2.05% | 7.83% | 10.38% | 9.7% | 14.95% | 8.77% | 6.49% | 16.98% | 11.41% | 8.87% | 9.18% | 10.82% | 0.49% | 11.71% | 14.53% | 6.58% | -23.45% | 4.94% | 7.1% | -22.19% | 1.9% | -6.33% |
| FCF Growth % | -209727.73% | -3.09% | 0.48% | 99.96% | -76.87% | 166.82% | 287.92% | 445.84% | 138.07% | -130.71% | -15.9% | 16.32% | -19.61% | 82.02% | 38.72% | -44.29% | 75.63% | 18.87% | 16.11% | -3.96% | 2532.22% | -94.59% | -5.12% | 149.15% | 125.85% | -890.41% | -16.84% | 132.35% | -1460% | 141.67% | -180% |
| FCF per Share | -3454.48 | 1.25 | 1.31 | 1.44 | 0.85 | 3.72 | 1.89 | 0.63 | 0.12 | -0.31 | 1.03 | 1.23 | 1.04 | 1.29 | 0.70 | 0.51 | 0.95 | 0.55 | 0.46 | 0.40 | 0.42 | 0.02 | 0.30 | 0.30 | 0.13 | -0.52 | 0.07 | 0.09 | -0.26 | 0.02 | -0.05 |
| FCF Conversion (FCF/Net Income) | -2.80x | 12.84x | -3.49x | -2.44x | 1.76x | 1.93x | -4.44x | 1.66x | 1.83x | 1.24x | 1.88x | 1.96x | 2.48x | 2.12x | 1.46x | 0.89x | 1.88x | 1.33x | 0.71x | 1.17x | 3.78x | 0.80x | 1.84x | 2.21x | 2.22x | 1.63x | 1.71x | 1.79x | 1.01x | 1.18x | 0.84x |
| Interest Paid | 171.93M | 256.7M | 312.88M | 282.83M | 57.31M | 37.27M | 62.19M | 8.68M | 6.55M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | -7.24M | 166.85M | 97.3M | 89.57M | 50M | 60.39M | 39.52M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
High cyclical revenue exposure
According to recent financial filings, the relationship between net income and operating cash flow remains highly erratic, with OCF/NI ratios swinging from -8.91 to 10.37, suggesting that reported net income is a poor proxy for the company's actual ability to generate cash from its core operations.
The extreme divergence between accounting profits and cash generation indicates that non-cash charges and working capital swings are significantly distorting the bottom line. Investors should monitor whether this volatility is a byproduct of the ongoing post-merger integration or a structural feature of the company's complex revenue recognition cycles.
As reported in quarterly statements, Coherent's free cash flow trajectory has been inconsistent, with margins fluctuating between -29.7% and 5.7%, reflecting the heavy capital requirements necessary to maintain its competitive position in the high-speed optical transceiver and wide-bandgap semiconductor markets during periods of rapid demand shifts.
The recent negative FCF in 2026Q3 highlights the tension between aggressive growth investments and the company's ability to self-fund operations. This trend suggests that the firm remains in a capital-intensive phase where cash flow generation is highly sensitive to the timing of large-scale infrastructure deployments.
Based on the provided data, Coherent's capital expenditure as a percentage of revenue spiked to 30.3% in 2026Q3, indicating that the company is prioritizing significant investments in manufacturing capacity and crystal growth infrastructure over immediate cash preservation to meet the demands of the AI-driven networking cycle.
This elevated capital intensity suggests that the company is betting heavily on its vertical integration strategy to secure long-term market share. However, such high levels of spending may limit financial flexibility if the anticipated demand for next-generation optical components experiences a cyclical correction.
Financial disclosures reveal that working capital changes have been a significant source of cash flow volatility, with a notable $418 million inflow in 2026Q3, which appears to be a major driver of the company's liquidity profile during periods of intense operational scaling and inventory management.
The reliance on working capital shifts to bolster cash flow suggests that the company's underlying operational cash generation is not yet sufficient to cover its heavy investment needs. Analysts should investigate whether these inflows are sustainable or if they represent temporary timing benefits that may reverse in subsequent quarters.
Data from recent filings indicates that stock-based compensation has reached $135.9 million in 2026Q3, a figure that warrants close scrutiny as it represents a significant non-cash expense that effectively dilutes shareholders while masking the true cost of talent required to maintain the company's technological edge.
When combined with substantial depreciation and amortization charges, these non-cash items suggest that the company's reported net income significantly understates the actual cash costs of maintaining its competitive moat. This warrants further investigation into the long-term sustainability of the company's compensation structure relative to its cash-generating capacity.
Quick answers to the most common questions about buying COHR stock.
Coherent, Inc. (COHR) generated $633.6M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Coherent, Inc. (COHR) generated $192.8M 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.
Coherent, Inc. (COHR) spent $440.8M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Coherent, Inc. (COHR) returned $11.4M to shareholders via cash dividends and spent $54.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.