The firm's cash burn remains aggressive, with capital expenditures reaching 59.8% of revenue in 2025Q1, contributing to a total free cash flow outflow of $12.7M.
| Cash from Operations | -26.52M | -18.18M | -16.16M | -11.14M | -11.41M | -1.04M | -1.62M | -1.62M | -370.65K | -1.16M |
| Operating CF Margin % | - | -92.28% | -10562.09% | - | - | -1044.28% | -320.03% | -320.03% | - | - |
| Operating CF Growth % | -412.74% | -12.51% | -45.06% | 2.34% | -992.33% | 35.36% | 0% | -335.85% | 67.91% | - |
| Net Income | -31.02M | -25.95M | -28.98M | -14.31M | -37.16M | -9.6M | -4.3M | -4.3M | -1.21M | -1.23M |
| Depreciation & Amortization | 2.18M | 1.9M | 1.36M | 997K | 759K | 76.75K | 55.81K | 55.81K | 46.75K | 25.5K |
| Stock-Based Compensation | 7.09M | 5.25M | 714K | 2.4M | 12.17M | 4.5M | 1.01M | 1.01M | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 296.72K | 596.92K | 0 | 0 | 0 |
| Other Non-Cash Items | 1.46M | 2.13M | 10.14M | -749K | 13.42M | 1.97M | 994.87K | 1.59M | 3.84M | 55.67K |
| Working Capital Changes | -6.23M | -1.51M | 609K | 522K | -598K | 1.72M | 17.97K | 17.97K | -3.05M | -4.24K |
| Change in Receivables | -3.13M | -7.33M | -83K | 0 | 0 | 0 | 0 | -24.79K | 0 | 0 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 1.22M | 3.87M | 1.25M | 413K | 0 | 667.67K | 324.11K | 324.11K | -29.62K | 0 |
| Cash from Investing | -7.8M | -6.21M | -2.82M | -812K | -2.4M | -26.6K | -109.29K | -109.29K | -50K | 0 |
| Capital Expenditures | -7.74M | -6.14M | -2.17M | -812K | -629K | -26.6K | -109.29K | -109.29K | -50K | 0 |
| CapEx % of Revenue | 35.52% | 31.19% | 1420.26% | - | - | 26.6% | 21.65% | 21.65% | - | - |
| Acquisitions | 0 | 0 | -645K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -60K | -62K | 0 | 0 | -1.77M | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | 56.48M | 37.03M | 19.21M | 6.64M | 19.9M | 1.02M | 1.66M | 1.66M | 581.71K | 1.13M |
| Debt Issued (Net) | -46K | -99K | 1.36M | - | 0 | - | - | 1.66M | - | - |
| Equity Issued (Net) | 19.5M | 37.13M | 15.96M | - | -450K | - | - | 0 | - | - |
| Dividends Paid | -2.15M | 0 | 0 | 0 | 0 | -450K | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | -450K | -450K | 0 | 0 | 0 | 57.99K |
| Other Financing | 39.17M | 0 | 1.89M | 4.49M | 20.35M | 1.67M | 1.76M | 0 | 581.71K | 1.07M |
| Net Change in Cash | 22.16M | 12.64M | 238K | -5.31M | 15.25M | -51.14K | -68.78K | -68.78K | 161.06K | -22.51K |
| Free Cash Flow | -34.26M | -24.33M | -18.33M | -11.95M | -12.04M | -1.07M | -1.72M | -1.72M | -420.65K | -1.16M |
| FCF Margin % | -157.22% | -123.48% | -11982.35% | - | - | -1070.88% | -341.68% | -341.68% | - | - |
| FCF Growth % | -115.33% | -32.69% | -53.39% | 0.7% | -1023.93% | 37.91% | 0% | -310.03% | 63.59% | - |
| FCF per Share | -2.05 | -0.41 | -137.41 | -6169.24 | -8530.12 | -1088.89 | -1720.78 | -1720.78 | -419.68 | -0.33 |
| FCF Conversion (FCF/Net Income) | 1.10x | 0.70x | 0.56x | 0.78x | 0.31x | 0.03x | 0.17x | 0.38x | 0.31x | 0.94x |
| Interest Paid | 237K | 214K | 14K | - | 8K | - | - | 0 | - | - |
| Taxes Paid | 0 | 0 | 0 | - | 0 | - | - | 0 | - | - |
Persistent Operating Cash Deficit
According to quarterly financial statements, CRKN's operating cash flow consistently trails net income, with the company reporting a negative $11.0M in operating cash flow for 2025Q1, a figure that underscores the structural disconnect between accounting losses and the actual cash required to sustain operations.
The persistent gap between net income and operating cash flow suggests that the company's accrual-based accounting does not capture the full extent of its cash-burning operational model. Investors should monitor whether this divergence is driven by aggressive revenue recognition in the fiber segment or simply the high cost of maintaining a loss-making infrastructure business.
As reported in recent filings, CRKN's free cash flow trajectory remains deeply negative, culminating in a $12.7M outflow in 2025Q1, which highlights the company's inability to generate self-sustaining cash flow despite the significant revenue pivot into the infrastructure services sector.
The consistent negative free cash flow trajectory suggests that the company is currently reliant on external financing to fund both its R&D and its capital-intensive construction projects. This trend warrants further investigation into how much longer the current cash runway can support these dual-segment operations without further dilutive capital raises.
Based on the provided data, CRKN's capital expenditure reached 59.8% of revenue in 2025Q1, a significant escalation that indicates the company is heavily investing in the machinery and equipment necessary to support its fiber optic infrastructure services business model.
This high level of capital intensity suggests that the infrastructure pivot is not a low-cost endeavor, but rather one that requires substantial upfront investment in physical assets. The company's ability to achieve a return on this capital remains unproven, and the high capex-to-revenue ratio may indicate that the business is struggling to scale efficiently.
As evidenced by the quarterly cash flow data, working capital changes have been highly erratic, including a $4.4M cash outflow in 2025Q1, which suggests that the company is facing significant challenges in managing its cash conversion cycle within the infrastructure services division.
The volatility in working capital appears to reflect the difficulties of managing project-based construction contracts where timing of payments and inventory procurement are often mismatched. This inconsistency in cash management may indicate operational friction that could further strain the company's already limited liquidity position.
Based on reported figures, CRKN consistently utilizes stock-based compensation, which reached $2.1M in 2025Q1, effectively acting as a non-cash expense that masks the true magnitude of the company's cash burn and dilutes the value of existing equity for shareholders.
While stock-based compensation is a standard tool for talent retention, its consistent use in the context of deep operating losses suggests that the company is relying on equity to preserve cash. Investors should consider whether this reliance on non-cash compensation is sustainable if the company's share price remains under pressure.
Quick answers to the most common questions about buying CRKN stock.
Crown ElectroKinetics Corp. (CRKN) generated $-18.2M in net cash from operating activities in 2024. This reflects the cash generated directly from core business operations.
Crown ElectroKinetics Corp. (CRKN) reported negative free cash flow of $24.3M in 2024, indicating capital requirements exceeded cash from operations.
Crown ElectroKinetics Corp. (CRKN) spent $6.1M on capital expenditures in 2024. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.