Operational cash flow remains volatile, with a $17.6 million free cash flow deficit in 2025Q4 highlighting the ongoing capital intensity of the commercial rollout.
| Cash from Operations | -103.76M | -78.11M | -146.85M | -109.87M | -48.54M | -13.49M | -4.51M |
| Operating CF Margin % | -65.59% | -59.56% | - | - | - | - | - |
| Operating CF Growth % | -32.83% | 46.81% | -33.66% | -126.36% | -259.84% | -198.76% | - |
| Net Income | -107.32M | -95.5M | -188.92M | -142.18M | -72.75M | -43.84M | -16.98M |
| Depreciation & Amortization | 3.48M | 2.03M | 383K | 531K | 199K | 155K | 0 |
| Stock-Based Compensation | 44.39M | 48.26M | 39.34M | 27.24M | 13.32M | 526K | 111K |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -15.36M | -59.39M | -7.08M | -2.03M | 8M | 30.03M | 11.91M |
| Working Capital Changes | -28.94M | 26.48M | 9.42M | 6.56M | 2.69M | -357K | 444K |
| Change in Receivables | -12.86M | -13.88M | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -2.86M | -3.24M | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 471K | 686K | 2.32M | -1.48M | 1.54M | 132K | 14K |
| Cash from Investing | 174.65M | -230.99M | 128.38M | -255.07M | -8M | -92K | 0 |
| Capital Expenditures | -320K | -2.17M | -224K | -26K | -8M | -92K | 0 |
| CapEx % of Revenue | 0.2% | 1.65% | - | - | - | - | - |
| Acquisitions | 0 | 0 | 0 | 255.05K | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - |
| Other Investing | -3.47M | 35.9M | -3M | -255.05K | 0 | 0 | 0 |
| Cash from Financing | 1.22M | 203.29M | 164M | 165.9M | 297.12M | 29.98M | 30.91M |
| Debt Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 1M |
| Equity Issued (Net) | 1.22M | 178.18M | 164M | 161.61M | 296.8M | 29.98M | 29.91M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 0 | 25.11M | 0 | 4.29M | 318K | 0 | 0 |
| Net Change in Cash | 72.11M | -105.82M | 145.52M | -199.05M | 240.58M | 16.4M | 26.39M |
| Free Cash Flow | -104.08M | -80.28M | -150.08M | -109.9M | -56.54M | -13.58M | -4.51M |
| FCF Margin % | -65.8% | -61.21% | - | - | - | - | - |
| FCF Growth % | -29.64% | 46.51% | -36.56% | -94.38% | -316.31% | -200.8% | - |
| FCF per Share | -1.01 | -0.86 | -1.88 | -1.68 | -0.91 | -0.22 | -0.07 |
| FCF Conversion (FCF/Net Income) | 0.97x | 0.82x | 0.78x | 0.77x | 0.69x | 0.33x | 0.36x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 1.9M | 0 | 0 | 0 | 0 | 0 |
Single asset commercial dependency
As reported in financial statements, the relationship between net income and operating cash flow remains highly erratic, with the OCF/NI ratio fluctuating from 0.29 in 2025Q3 to 1.64 in 2025Q1, indicating that accruals and non-cash adjustments continue to obscure the underlying cash-generating capability of the business.
The significant variance in the conversion ratio suggests that reported net income is currently a poor proxy for the company's actual cash burn. Investors should monitor whether this volatility stabilizes as the commercial launch of Ojemda matures and revenue recognition becomes more predictable.
Based on recent quarterly filings, DAWN continues to experience negative free cash flow, with a quarterly outflow of $17.6 million in 2025Q4, confirming that the company remains in a capital-intensive phase where commercial revenue is insufficient to cover the substantial R&D and SG&A requirements.
The trajectory of FCF margins, which reached -32.9% in the most recent quarter, highlights the ongoing challenge of achieving self-sustainability. This trend suggests that the company remains reliant on its existing cash reserves to fund the FIREFLY-2 trial and broader commercial infrastructure.
According to the cash flow data, working capital changes have been a major source of volatility, including a $32.5 million outflow in 2025Q1 followed by a $26.7 million inflow in 2024Q4, reflecting the lumpy nature of inventory management and accounts receivable during the early launch phase.
These sharp swings in working capital suggest that the company's cash position is highly sensitive to the timing of commercial shipments and supply chain build-outs. Analysts should interpret these fluctuations as a byproduct of the transition to a commercial-stage entity rather than a permanent shift in operational efficiency.
As disclosed in recent filings, stock-based compensation remains a consistent and significant non-cash expense, averaging over $11 million per quarter throughout 2025, which effectively masks the true economic cost of talent acquisition required to support the company's specialized oncology sales force and clinical development programs.
While SBC is a standard practice in biotech, the magnitude of these adjustments relative to the company's operating cash burn warrants careful scrutiny. Investors should consider the dilutive impact of these grants alongside the cash-based operating losses to fully appreciate the total cost of operations.
Quick answers to the most common questions about buying DAWN stock.
Day One Biopharmaceuticals, Inc. (DAWN) generated $-103.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Day One Biopharmaceuticals, Inc. (DAWN) reported negative free cash flow of $104.1M in 2025, indicating capital requirements exceeded cash from operations.
Day One Biopharmaceuticals, Inc. (DAWN) spent $0.3M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.