Cash flow generation is strong but volatile, with operating cash flow of $132.0M in 2027Q1 significantly outpacing the net loss of $16.7M, yet free cash flow margin has swung widely from 6.1% to 33.2% over the past ten quarters due to large working capital fluctuations.
Elastic N.V. (ESTC) cash flow statement — 10-year operating, investing & financing cash flows
| Metric | TTM | Apr'26 | Apr'25 | Apr'24 | Apr'23 | Apr'22 | Apr'21 | Apr'20 | Apr'19 | Apr'18 | Apr'17 |
|---|
| Cash from Operations | 354.06M | 326.89M | 266.17M | 148.76M | 35.66M | 5.67M | 22.55M | -30.56M | -23.94M | -20.82M | -16.11M |
| Operating CF Margin % | - | 18.79% | 17.94% | 11.74% | 3.34% | 0.66% | 3.71% | -7.15% | -8.81% | -13.02% | -18.27% |
| Operating CF Growth % | 19.36% | 22.81% | 78.92% | 317.14% | 528.74% | -74.84% | 173.76% | -27.69% | -14.98% | -29.25% | - |
| Net Income | 375.64M | 435.9M | -108.11M | 61.72M | -236.16M | -203.85M | -129.43M | -167.17M | -102.3M | -52.73M | -51.97M |
| Depreciation & Amortization | 12.88M | 11.83M | 12.31M | 18M | 20.23M | 19.73M | 17.24M | 12.86M | 5.7M | 5.07M | 3.15M |
| Stock-Based Compensation | 303.28M | 298.44M | 257.78M | 239.14M | 204.04M | 140.61M | 93.68M | 60.01M | 39.94M | 12.74M | 18.89M |
| Deferred Taxes | -419.12M | -398.62M | 57.43M | -217.19M | -2.01M | -2.43M | 33K | -1.54M | 3.62M | -323K | 663K |
| Other Non-Cash Items | 74.26M | 50.45M | 102.91M | 83.72M | 84.93M | 72.26M | 39.27M | 45.69M | 21.44M | 12.73M | 8.45M |
| Working Capital Changes | 7.12M | -71.11M | -56.16M | -36.62M | -35.37M | -20.65M | 1.76M | 19.59M | 7.67M | 1.69M | 4.71M |
| Change in Receivables | -13.8M | -86.84M | -48.9M | -63.52M | -46.35M | -62.19M | -24.04M | -46.75M | -29.8M | -21.61M | -11.13M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | -12.79M | -8.97M | -8.95M | -10M | 6.3M | 21.04M | -4.78M | 5.97M | 2.23M | -23K | -241K |
| Cash from Investing | 214.59M | 26.07M | -118.67M | -287.96M | -272.95M | -127.27M | -1.52M | -29.19M | -8.28M | 8.33M | -20.33M |
| Capital Expenditures | -5.03M | -5.09M | -4.34M | -3.45M | -2.68M | -2.48M | -3.91M | -5.06M | -3.45M | -2.97M | -843K |
| CapEx % of Revenue | 0.28% | 0.29% | 0.29% | 0.27% | 0.25% | 0.29% | 0.64% | 1.18% | 1.27% | 1.86% | 0.96% |
| Acquisitions | -28.34M | -36.83M | 0 | -19.1M | 0 | -119.85M | 0 | -24.37M | -1.99M | -3.7M | -4.49M |
| Investments | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -521K | -521K | 0 | 0 | 0 | -4.93M | 2.39M | 249K | -2.85M | 0 | 0 |
| Cash from Financing | -349.31M | -312.27M | 40.95M | 40.05M | 17.47M | 602.13M | 77.26M | 58.54M | 281.79M | 3.43M | 59.76M |
| Debt Issued (Net) | -5.85M | 0 | 0 | 0 | 0 | 575M | 0 | -90K | -106K | -132K | -106K |
| Equity Issued (Net) | -50.39M | -312.27M | 0 | 0 | 0 | 0 | 0 | 0 | 269.51M | -344K | 57.78M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -80.03M | -340.09M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -344K | -25K |
| Other Financing | -293.06M | 0 | 40.95M | 40.05M | 17.47M | 27.13M | 77.26M | 58.63M | 12.38M | 3.9M | 2.09M |
| Net Change in Cash | 215.84M | 39.28M | 188.13M | -103.55M | -217M | 459.93M | 104.32M | -891K | 248.67M | -8.28M | 22.69M |
| Free Cash Flow | 349.04M | 321.8M | 261.82M | 145.31M | 32.98M | -1.75M | 18.32M | -35.63M | -27.38M | -23.79M | -16.95M |
| FCF Margin % | 19.37% | 18.5% | 17.65% | 11.47% | 3.08% | -0.2% | 3.01% | -8.33% | -10.08% | -14.87% | -19.22% |
| FCF Growth % | 11.16% | 22.91% | 80.18% | 340.63% | 1989.86% | -109.53% | 151.41% | -30.1% | -15.12% | -40.34% | - |
| FCF per Share | 3.34 | 3.00 | 2.53 | 1.40 | 0.34 | -0.02 | 0.21 | -0.45 | -0.50 | -0.38 | -0.27 |
| FCF Conversion (FCF/Net Income) | 0.93x | 0.89x | -2.46x | 2.41x | -0.15x | -0.03x | -0.17x | 0.18x | 0.23x | 0.39x | 0.31x |
| Interest Paid | 11.98M | 0 | 24.19M | 25.06M | 24.14M | 12.99M | 0 | 0 | 9K | 14K | 21K |
| Taxes Paid | 22.95M | 0 | 21.99M | 24.22M | 11.58M | 3.98M | 0 | 3.5M | 3.07M | 3.19M | 1.44M |
Quick answers to the most common questions about buying ESTC stock.
Elastic N.V. (ESTC) generated $326.9M in net cash from operating activities in 2026. This reflects the cash generated directly from core business operations.
Elastic N.V. (ESTC) generated $321.8M in free cash flow in 2026. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Elastic N.V. (ESTC) spent $5.1M on capital expenditures in 2026. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2026, Elastic N.V. (ESTC) spent $340.1M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Persistent GAAP losses despite cash generation
Metrics are mathematically derived from official filings.
Cash Flow Decouples from GAAP Losses
Operating cash flow consistently exceeds net income, with a 2027Q1 OCF of $132.0M against a net loss of $16.7M, suggesting strong underlying cash generation that is masked by non-cash charges like stock-based compensation.
The persistent and wide gap between net income and operating cash flow indicates that ESTC's GAAP losses are heavily driven by non-cash expenses, primarily stock-based compensation. This divergence suggests the core business is operationally cash-generative, but the quality of earnings is obscured by the significant dilutive impact of SBC, which totaled $74.8M in the latest quarter alone.
FCF Margin Volatility Amidst Growth
Free cash flow margin has been volatile, ranging from 6.1% to 33.2% over the past ten quarters, indicating that while the business can generate substantial cash, its profitability is highly sensitive to working capital swings and investment timing.
The FCF margin trajectory shows significant quarterly fluctuations, such as the sharp drop to 6.1% in 2026Q2 followed by a rebound to 33.2% in 2026Q4. This volatility appears driven more by large swings in working capital than by underlying operational changes, as CapEx remains minimal. The trend suggests that while ESTC can achieve strong FCF in certain periods, its cash generation is not yet stable or predictable on a quarterly basis.
Working Capital Swings Drive Cash Volatility
Working capital changes have been the primary driver of operating cash flow volatility, with a massive $103.0M use of cash in 2026Q3 followed by a $64.6M source in 2026Q4, highlighting the lumpy nature of enterprise collections and payables.
The dramatic swings in working capital, from a $103.0M outflow to a $64.6M inflow within two quarters, suggest that ESTC's cash flow is heavily influenced by the timing of large enterprise contract payments and renewals. This pattern indicates that while the company can generate strong cash, it is subject to significant short-term variability that may not reflect underlying operational performance, warranting close monitoring of collection efficiency.
Conservative Deployment Amidst Cash Accumulation
Capital deployment has been minimal, with no dividends and only sporadic share repurchases, such as the $40.0M buybacks in 2026Q4 and 2027Q1, suggesting a conservative approach focused on preserving cash for strategic investments.
The lack of a consistent dividend or aggressive buyback program indicates that management is prioritizing cash retention, likely to fund R&D and potential acquisitions in the competitive AI and observability space. The recent $40.0M quarterly buybacks appear to be a new, modest return of capital, but the overall strategy seems focused on maintaining a strong liquidity position rather than maximizing shareholder returns in the near term.
SBC Masks True Cash Economics
Stock-based compensation, which averaged over $70M per quarter in the last four periods, represents a substantial non-cash expense that inflates operating cash flow and obscures the true economic cost of employee compensation.
While operating cash flow appears robust, the heavy reliance on SBC means that a significant portion of employee compensation is paid in equity, diluting shareholders rather than consuming cash. This accounting treatment makes the company's cash generation appear stronger than its GAAP profitability suggests, but investors should monitor the dilutive impact and consider whether the cash flow benefit is sustainable as the company scales.