Cash flow generation remains highly volatile, with the CapEx-to-revenue ratio peaking at 26.5% in 2025Q1, reflecting the significant capital intensity required to maintain the specialized equipment fleet.
| Cash from Operations | 322M | 349.39M | 44.68M | -147.45M | -17.95M | 157.2M | 42.55M | 3.3M | 39.4M | -707.92K |
| Operating CF Margin % | - | 17.97% | 2.48% | -7.91% | -1.14% | 13.47% | 14.06% | 1.25% | 15.99% | - |
| Operating CF Growth % | 704.04% | 681.92% | 130.31% | -721.33% | -111.42% | 269.45% | 1187.83% | -91.61% | 5664.91% | - |
| Net Income | -17.36M | -31.05M | -28.66M | 50.71M | 38.91M | -181.5M | -21.28M | -27.05M | 5.17M | -777.47K |
| Depreciation & Amortization | 276.52M | 268.18M | 242.74M | 225.39M | 223.48M | 209.07M | 82.71M | 74.56M | 67.14M | 0 |
| Stock-Based Compensation | 1.18M | 0 | 0 | 0 | 12.3M | 17.31M | 0 | 0 | 0 | 0 |
| Deferred Taxes | 10.59M | 2.08M | -1.66M | 4.24M | 7.39M | 3.86M | -28.81M | -6.86M | 1.1M | 0 |
| Other Non-Cash Items | -36.11M | -31.98M | -48.59M | -49.12M | -57.99M | 72.09M | 8.62M | -5.76M | 5.12M | 0 |
| Working Capital Changes | 87.18M | 142.17M | -119.14M | -378.67M | -242.03M | 36.36M | 1.31M | -31.58M | -18.43M | 69.55K |
| Change in Receivables | 4K | 15.64M | -21.75M | -20.88M | -36.82M | -37.72M | 7.06M | -17.07M | -5.18M | 0 |
| Change in Inventory | 54.83M | 121.12M | -64.86M | -388.06M | -194.69M | 46.57M | -9.64M | -22.68M | -8.02M | 0 |
| Change in Payables | -1.6M | -660K | -27.48M | 28.34M | -5.59M | 8.06M | 3.11M | 7.55M | -4.31M | 0 |
| Cash from Investing | -270.39M | -282.46M | -187.49M | -176.6M | -218.94M | -1.43B | -29.31M | -129.68M | 1.5M | -402.5M |
| Capital Expenditures | -247.13M | -488.54M | 0 | -134.63M | -340.79M | -188.39M | -68.42M | -109.71M | -59.23M | -20.89M |
| CapEx % of Revenue | 12.46% | 25.13% | 22.1% | 7.22% | 21.66% | 16.14% | 22.6% | 41.55% | 24.05% | - |
| Acquisitions | 0 | 206.08M | -6.01M | 0 | -49.83M | -1.34B | 34.92M | -48.42M | 31.8M | -478K |
| Investments | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 25.83M | 0 | -181.47M | -41.97M | 171.69M | 96.59M | 4.18M | 28.45M | 1.5M | 0 |
| Cash from Financing | -47.59M | -64.55M | 135.58M | 319.44M | 217.82M | 1.3B | -16.13M | 130.54M | -10.78M | 403.71M |
| Debt Issued (Net) | -46.41M | -30.8M | 165.65M | 357.49M | 229.93M | 482.27M | -16.13M | -16.73M | -10.78M | 0 |
| Equity Issued (Net) | 0 | -32.58M | -28.98M | -38.84M | -10.28M | 883M | 0 | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | -32.58M | -28.98M | -38.84M | -10.28M | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -1.18M | -1.18M | -1.08M | 792K | -1.84M | -54.12M | 0 | 147.27M | 0 | 0 |
| Net Change in Cash | 4.23M | 2.47M | -6.5M | -4.05M | -21.54M | 32.49M | -2.89M | 4.16M | -33.67K | -822.08K |
| Free Cash Flow | -33.2M | -107.59M | -353.63M | -511.64M | -358.74M | -31.19M | -25.87M | -106.4M | -19.84M | -707.92K |
| FCF Margin % | -1.67% | -5.53% | -19.62% | -27.43% | -22.8% | -2.67% | -8.55% | -40.3% | -8.06% | - |
| FCF Growth % | 87.7% | 69.58% | 30.88% | -42.62% | -1050.3% | -20.55% | 75.69% | -436.3% | -2702.58% | - |
| FCF per Share | -0.15 | -0.47 | -1.51 | -2.08 | -1.45 | -0.13 | -0.11 | -0.64 | -0.10 | -0.00 |
| FCF Conversion (FCF/Net Income) | 1.91x | -11.25x | -1.56x | -2.91x | -0.46x | -0.87x | -2.00x | -0.12x | 7.61x | 0.91x |
| Interest Paid | 99.4M | 0 | 152.34M | 122.87M | 81.18M | 92.63M | 60.34M | 53.59M | 53.76M | 0 |
| Taxes Paid | 462K | 0 | 4.14M | 2.13M | 567K | 541K | 646K | 455K | 526K | 0 |
High leverage and volatility
According to quarterly financial data, the relationship between net income and operating cash flow is highly erratic, with OCF/NI ratios swinging from -5.81 in 2026Q1 to 6.54 in 2024Q4, indicating that reported earnings provide little reliable insight into the company's actual cash-generating capacity.
The frequent divergence between net income and operating cash flow suggests that non-cash charges and working capital fluctuations dominate the bottom line. Investors should monitor this disconnect, as it implies that the company's accounting profitability is not currently translating into a sustainable cash-based return on invested capital.
As reported in financial statements, CTOS exhibits a highly inconsistent free cash flow trajectory, with margins fluctuating from a positive 11.6% in 2024Q4 to a deeply negative 35.1% in 2024Q1, reflecting the significant capital intensity required to maintain its specialized utility equipment rental fleet.
The inability to maintain positive free cash flow suggests that the company is currently in a capital-intensive phase where growth and maintenance requirements consistently outpace operational inflows. This pattern warrants further investigation into whether the current fleet expansion strategy will eventually yield the necessary scale to achieve self-funding status.
Based on CTOS's reported figures, capital expenditures remain a significant burden, with the CapEx-to-revenue ratio peaking at 26.5% in 2025Q1, which underscores the high cost of maintaining a specialized fleet that requires constant reinvestment to remain competitive within the utility infrastructure market.
The high level of capital intensity relative to revenue suggests that the company is perpetually reinvesting its cash flow to prevent fleet obsolescence. This structural requirement limits the company's financial flexibility and makes it highly sensitive to any downturns in utility-sector demand that could disrupt the recovery of these capital outlays.
Analysis of recent filings reveals that working capital changes are a primary driver of cash flow instability, with swings ranging from a $120.5 million inflow in 2024Q4 to a $150.8 million outflow in 2023Q4, highlighting the lumpy nature of inventory and receivables management.
These dramatic shifts in working capital suggest that the company's cash position is highly susceptible to the timing of large equipment sales and the cyclical nature of fleet procurement. Such volatility may indicate challenges in managing inventory levels efficiently, which could lead to liquidity pressure during periods of slower equipment turnover.
Quick answers to the most common questions about buying CTOS stock.
Custom Truck One Source, Inc. (CTOS) generated $349.4M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Custom Truck One Source, Inc. (CTOS) reported negative free cash flow of $107.6M in 2025, indicating capital requirements exceeded cash from operations.
Custom Truck One Source, Inc. (CTOS) spent $488.5M 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, Custom Truck One Source, Inc. (CTOS) spent $32.6M on share repurchases. This shows the company's commitment to returning capital to its equity investors.