Free cash flow generation remains highly unstable, swinging from a negative $43.1 million in 2024Q3 to a positive $26.1 million in 2026Q2, reflecting inconsistent capital expenditure requirements.
| 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 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Cash from Operations | 27.18M | 33.05M | 22.73M | 51.27M | 52.46M | 4.73M | 12.4M | 24.06M | 20.54M | 16.49M | 30.65M | 10.38M | 8.33M | 11.93M | 10.38M | 3.06M | 2.35M | 5.95M | -863.04K | -14.49M | -737.2K | -1.08M | -53.45K | -202.78K | -207.35K | -46.47K | -475.52K | -1.67M | -3.27M | -6.2M |
| Operating CF Margin % | - | 38.5% | 26.47% | 39.9% | 48.16% | 14.47% | 41.88% | 55.65% | 49.75% | 47.82% | 116.33% | 37.29% | 47.12% | 55.89% | 57.76% | 40.57% | 46.7% | 97.7% | -20.28% | -776.27% | -25.76% | -65.9% | - | - | - | - | -187.07% | -224.31% | -267.77% | -1240% |
| Operating CF Growth % | -48.26% | 45.42% | -55.67% | -2.26% | 1008.39% | -61.82% | -48.47% | 17.15% | 24.53% | -46.2% | 195.29% | 24.67% | -30.22% | 15.02% | 239.61% | 30.27% | -60.62% | 789.98% | 94.04% | -1865.81% | 31.58% | -1916.12% | 73.64% | 2.2% | -346.2% | 90.23% | 71.51% | 48.9% | 47.31% | - |
| Net Income | -3.63M | 1.47M | 4.08M | 35.22M | 32.63M | -16.44M | 5.94M | 15.38M | 19.62M | 8.04M | 24.66M | 4.99M | 3.6M | 6.63M | 5.13M | -241.55K | -2.39M | -2.6M | -1.57M | -1.81M | 24.63M | -2.16M | -50.98K | -465.51K | -294.69K | -38.73K | -599.71K | -1.78M | -3.23M | -6.1M |
| Depreciation & Amortization | 11.19M | 21.99M | 20.06M | 14.27M | 8.05M | 5.17M | 5.76M | 6.27T | 6.07M | 5.78M | 5.21M | 3.66M | 1.27M | 1.34T | 1.15T | 563.1B | 1.82M | 2.46M | 903.21K | 291.15K | 701.26K | 260.12K | 40K | 0 | 0 | 0 | 30K | 63.12K | 96.31K | -100K |
| Stock-Based Compensation | 1.77M | 2.48M | 2.14M | 1.64M | 125K | 1.26M | 1.29M | 888.16K | 1.37M | 1.18M | 1.75M | 943.65K | 1.35M | 1.53M | 1.48M | 1.54M | 2.15M | 2.41M | 1.79M | 1.61M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -743K | -468K | -101K | -296K | 1.14M | -5.1M | -261.67K | 767.26K | -5.27M | 4.09M | 575.24K | 1.42M | 1.56M | 2.51M | 2.55M | 380.39K | -771.44K | 819.39K | 2.56M | -13.64M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 14.83M | -152K | 940K | -3.09M | 2.9M | 22.67M | 2.14M | -6.27T | 90.29K | -128K | -3.31M | -95.87K | 84.89K | -1.34T | -1.15T | -563.1B | 70.55K | -14.55K | 46.99K | 1.68M | -42.66M | 807.82K | -39.99K | 200K | 98.55K | -13.11K | -79.98K | 0 | 0 | 400K |
| Working Capital Changes | 3.86M | 7.72M | -4.39M | 3.53M | 7.61M | -2.82M | -2.47M | 757.18K | -1.34M | -2.47M | 1.76M | -545.73K | 456.79K | -45.34K | 67.07K | 723.25K | 1.47M | 2.88M | -4.6M | -2.63M | 16.59M | 19.09K | -2.48K | 62.72K | -11.22K | 5.36K | 174.16K | 44.95K | -128.25K | -400K |
| Change in Receivables | 1.69M | 75K | 0 | 18.44M | -11.43M | -6.63M | -1.99M | 773.8B | -1.22M | -88.51K | 484.29K | -1.67M | 176.71K | -289.51K | 216.06K | 0 | 0 | 0 | -5.62M | -80.21K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -100K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -773.8B | 1.22M | -24.18M | -28.1M | -13.79M | -432.63K | -283.94K | -379.88B | 0 | 0 | 0 | -13.07M | -197.9K | 145.55K | -106.61K | 0 | 0 | 0 | 0 | 0 | 71.2K | 63.66K | -100K |
| Change in Payables | -21K | 4.8M | 374K | -13.49M | 18.52M | 4.5M | -486.01K | -90.89K | -107.08K | -1.63M | 822.73K | 551.45K | 663.64K | 538.06K | 379.87B | 497.78B | 65.14K | -624.33K | 468.87K | 683.62K | 0 | 0 | -100K | 0 | 0 | 0 | 0 | 0 | 0 | -100K |
| Cash from Investing | -38.82M | -21.64M | -49.63M | -6.99M | -54.87M | -18.77M | -11.06M | -6.76M | -3.72M | -10.46M | -17.63M | -5.04M | -748.81K | -1.47M | -6.58M | -2.23M | -3.1M | -12.46M | -15.61M | 32.36M | 11.82M | -2.78M | -210K | 0 | 0 | 13.11K | 224.81K | 1.47M | 3.25M | -5.1M |
| Capital Expenditures | -14.59M | -9.02M | -49.63M | -31K | -53.34M | -18.3M | -11.06M | -6.76M | -3.7M | -10.19M | -21.1M | -5.2M | -1.34M | -4.92M | -7.12M | -3.51M | -3.8M | -10.7M | -20.06M | -574.61K | -4.06M | -2.07M | -210K | 0 | 0 | 0 | 0 | -4.98K | -26.34K | -300K |
| CapEx % of Revenue | 17.53% | 10.51% | 57.8% | 0.02% | 48.97% | 55.95% | 37.37% | 15.63% | 8.96% | 29.55% | 80.09% | 18.69% | 7.58% | 23.04% | 39.65% | 46.58% | 75.63% | 175.47% | 471.42% | 30.78% | 142.03% | 126.38% | - | - | - | - | - | 0.67% | 2.16% | 60% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 31.58K | -1.92M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -24.22M | -12.62M | 0 | -6.96M | -1.53M | -472K | 0 | -6.76T | -19.28K | -272.32K | -161.34K | 161.68K | 340.33K | 3.45M | 540.35K | 1.28M | -13.22K | -4.71K | 4.42M | 34.85M | 15.89M | -712.06K | 0 | 0 | 0 | 13.11K | 224.81K | -52.5K | 58.3K | -100K |
| Cash from Financing | 8.66M | -15.35M | 22.32M | -41.53M | 5.42M | -349K | -13.22M | -13.43M | -12.17M | -17.08M | 935.41K | -9.16M | -8.57M | 36.99K | 6.39M | 279.23K | 3.34K | -878.07K | 0 | -15.53K | -3.74M | 6.04M | 53.37K | 202.6K | 200K | 0 | 0 | 0 | 0 | 11.6M |
| Debt Issued (Net) | 20.62M | -2M | 39.5M | -21.25M | 17.25M | 4M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -4.59M | 2.08M | 50.97K | 200K | 0 | 0 | 0 | 0 | 0 | 0 |
| Equity Issued (Net) | 4.87M | 3.4M | -1.14M | -4.17M | -38K | -7K | -2.48M | -156.79K | -571.08K | -8.39M | -1.36M | -333.84K | -1.66M | -137.82K | 6.93M | 0 | 0 | -881.89K | 0 | 125 | 999.38K | 4.73M | 0 | 5K | 200K | 0 | 0 | 0 | 0 | 0 |
| Dividends Paid | -16.74M | -16.35M | -16.04M | -16.11M | -11.8M | -4.34M | -10.74M | -13.27M | -11.59M | -8.68M | -7.24M | -10.51M | -10.4M | -674.3K | -630.39K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -405K | -442K | -1.14M | -4.17M | -38K | -7K | -2.48M | -156.79K | -571.08K | -8.39M | -1.36M | -333.84K | -1.66M | -137.82K | 0 | 0 | 0 | -882.02K | 0 | 0 | 0 | 0 | 1.06M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -94K | -400K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 9.53M | 1.68M | 3.71M | 849.11K | 86.47K | 279.23K | 3.3K | 3.82K | 0 | -15.66K | -146.06K | -773.59K | 345.1K | -2.4K | 0 | 0 | 0 | 0 | 0 | 11.6M |
| Net Change in Cash | -2.98M | -3.94M | -4.59M | 2.75M | 3M | -14.38M | -11.89M | 3.87M | 4.65M | -11.05M | 13.96M | -3.82M | -988.07K | 10.5M | 10.18M | 1.11M | -753.5K | -7.38M | -16.47M | 17.85M | 7.34M | 2.18M | -460.08K | -185 | -7.35K | -33.37K | -250.71K | -196.3K | -20.73K | 11.6M |
| Free Cash Flow | 7.86M | 11.41M | -26.9M | 44.28M | -2.41M | -14.04M | 1.33M | 17.3M | 16.84M | 6.3M | 9.55M | 5.18M | 6.99M | 7.02M | 3.25M | -452.68K | -1.45M | -4.74M | -20.93M | -15.07M | -4.8M | -3.14M | -263.45K | -202.78K | -207.35K | -46.47K | -475.52K | -1.67M | -3.29M | -6.5M |
| FCF Margin % | 9.44% | 13.29% | -31.33% | 34.46% | -2.22% | -42.92% | 4.51% | 40.02% | 40.79% | 18.27% | 36.25% | 18.59% | 39.54% | 32.86% | 18.12% | -6.01% | -28.93% | -77.77% | -491.7% | -807.05% | -167.79% | -192.28% | - | - | - | - | -187.07% | -224.98% | -269.93% | -1300% |
| FCF Growth % | -68.35% | 142.41% | -160.76% | 1935.06% | 82.81% | -1152.09% | -92.29% | 2.75% | 167.28% | -34.04% | 84.48% | -25.92% | -0.39% | 115.58% | 818.86% | 68.84% | 69.35% | 77.35% | -38.9% | -213.81% | -52.71% | -1093.45% | -29.91% | 2.2% | -346.2% | 90.23% | 71.6% | 49.16% | 49.34% | - |
| FCF per Share | 0.23 | 0.34 | -0.82 | 1.33 | -0.07 | -0.43 | 0.04 | 0.52 | 0.51 | 0.19 | 0.29 | 0.16 | 0.21 | 0.22 | 0.10 | -0.02 | -0.05 | -0.18 | -0.78 | -0.56 | -0.19 | -0.13 | -1.05 | -1.54 | -150.91 | -39.75 | -406.78 | -1432.28 | -2817.11 | -5560.31 |
| FCF Conversion (FCF/Net Income) | -2.16x | 22.44x | 5.57x | 1.46x | 1.61x | -0.29x | 2.09x | 1.56x | 1.05x | 2.05x | 1.24x | 2.08x | 2.31x | 1.80x | 2.02x | -12.65x | -0.98x | -2.29x | 0.55x | 8.01x | -0.03x | 0.50x | 1.05x | 0.44x | 0.70x | 1.20x | 0.79x | 0.94x | 1.01x | 0.98x |
| Interest Paid | 0 | 3.08M | 1.33M | 498K | 523K | 86K | 76.39K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 874K | 2.8M | 11.88M | 6.29M | 758K | 1.24M | 2.76M | 1.83M | 1.5M | 540K | 220K | 755.94K | 699.87K | 895K | 229.8K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
High Tertiary Recovery Costs
As reported in financial statements, EPM exhibits a persistent disconnect between net income and operating cash flow, with the OCF/NI ratio frequently reaching extreme levels, such as the 11.64x observed in 2024Q3, indicating that non-cash charges significantly distort the company's reported profitability metrics.
The wide variance between net income and operating cash flow suggests that accounting-based earnings are poor proxies for the company's actual cash-generative capacity. Investors should monitor this divergence, as it implies that non-cash items like DD&A are masking the underlying volatility of the business's core cash flows.
Based on EPM's reported figures, free cash flow has demonstrated extreme instability, swinging from a negative $43.1M in 2024Q3 to a positive $26.1M in 2026Q2, reflecting the company's inability to maintain consistent cash margins amidst fluctuating commodity prices and irregular capital expenditure requirements.
The erratic FCF trajectory suggests that the company's business model is highly sensitive to external operational and price shocks. This lack of predictability complicates long-term capital allocation and raises questions regarding the sustainability of the current dividend policy during periods of negative free cash flow.
According to recent SEC filings, EPM's capital intensity is highly variable, with CapEx/Revenue ratios ranging from 0.3% to 100% over the last ten quarters, suggesting that the company lacks a disciplined, predictable investment cycle required to maintain production levels across its mature, non-operated asset base.
The significant spikes in capital expenditure appear to be reactive rather than strategic, which may indicate that the company is forced to deploy capital to address unexpected field maintenance or operator-driven projects. This inconsistency in capital intensity warrants further investigation into the long-term viability of the current asset portfolio.
As evidenced by the quarterly cash flow data, EPM has consistently paid dividends despite periods of negative free cash flow, such as the $4.3M distribution in 2026Q3, which suggests that management prioritizes shareholder returns even when the underlying operations fail to generate sufficient surplus cash.
The decision to maintain dividends during cash-burning quarters may indicate a reliance on existing cash reserves rather than operational performance. Investors should monitor whether this capital allocation strategy remains viable if the current trend of negative free cash flow persists in future reporting periods.
Quick answers to the most common questions about buying EPM stock.
Evolution Petroleum Corporation (EPM) generated $33.1M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Evolution Petroleum Corporation (EPM) generated $11.4M 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.
Evolution Petroleum Corporation (EPM) spent $9.0M 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, Evolution Petroleum Corporation (EPM) returned $16.3M to shareholders via cash dividends and spent $0.4M on share repurchases. This shows the company's commitment to returning capital to its equity investors.