Cash conversion efficiency has deteriorated sharply, with the operating cash flow to net income ratio falling to -4.93 in 2026Q1 due to substantial working capital outflows.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 |
|---|
| Cash from Operations | 442.8M | 478.6M | 667.8M | 1.06B | 566.3M | 688.7M | 825.7M | 637.2M | 604M | 600.3M | 650.5M | 411.1M | 253.7M | 297.8M | 282.8M | 175.4M | 138.9M | 269.3M |
| Operating CF Margin % | - | 10.72% | 14.49% | 22.82% | 11.99% | 14.34% | 22.8% | 11.05% | 11.01% | 11.36% | 13.05% | 8.98% | 6.32% | 8.04% | 9.02% | 5.27% | 4.3% | 8.96% |
| Operating CF Growth % | -109.77% | -28.33% | -36.75% | 86.44% | -17.77% | -16.59% | 29.58% | 5.5% | 0.62% | -7.72% | 58.23% | 62.04% | -14.81% | 5.3% | 61.23% | 26.28% | -48.42% | - |
| Net Income | 271.7M | 298.8M | 471.9M | 404.5M | 686.7M | 772.4M | 554.4M | 431.3M | 389.8M | 472.7M | 413.2M | 315.5M | 159.3M | 230.9M | 119.7M | -34.6M | 58.4M | -41.1M |
| Depreciation & Amortization | 123.6M | 175.1M | 193.6M | 168.8M | 191.6M | 189.1M | 163.5M | 152.7M | 149.6M | 130.3M | 122.7M | 115.1M | 98.8M | 90.4M | 101.3M | 111.5M | 111.6M | 131.1M |
| Stock-Based Compensation | 7.7M | 0 | 39.3M | 34.2M | 50.2M | 50.2M | 47.6M | 30.5M | 36.1M | 43M | 32M | 27.6M | 29.7M | 26.1M | 26.9M | 15.7M | 11.7M | 7.8M |
| Deferred Taxes | 31.6M | 0 | 200K | -26.1M | 14.8M | 1.7M | -14.6M | -7.5M | 2.8M | -18.7M | -25.8M | -13.6M | 300K | -12.7M | -5.4M | -62.4M | 23M | -23.7M |
| Other Non-Cash Items | 261.5M | 178M | 54.2M | 71.2M | 97.5M | 52.7M | 67M | 116.2M | 69.9M | 20.1M | 6.6M | 26.6M | 111M | 33.6M | 55.1M | 171.8M | 500K | 19.1M |
| Working Capital Changes | -176.8M | -173.3M | -91.4M | 403.2M | -474.5M | -377.4M | 7.8M | -86M | -44.2M | -47.1M | 101.8M | -60.1M | -145.4M | -70.5M | -14.8M | -26.6M | -66.3M | 176.1M |
| Change in Receivables | -20.7M | 5.6M | 6.3M | 25.7M | 66.3M | -151.5M | -85.7M | -50.7M | 9.8M | 1M | -39.1M | -6.9M | -39.9M | -58.5M | -33.5M | 26.9M | -20.8M | 43.3M |
| Change in Inventory | 26.7M | -55.4M | 16.6M | 148.8M | -198.5M | -324.3M | -91.8M | -38.3M | -55M | -24.8M | 52.4M | -69.8M | 14.5M | -89.7M | -18.7M | -4.6M | -34.4M | 45.1M |
| Change in Payables | -15.8M | 9.5M | -29.3M | 101.1M | -161.2M | 137.7M | 142.9M | 8.7M | 21M | 24M | 57.6M | -16M | -9.5M | 39.8M | 22.1M | 6.7M | 16.3M | 12.6M |
| Cash from Investing | -86.2M | -104.9M | -302.9M | -1.04B | -455.5M | -207.1M | -923.5M | -127.6M | -634.3M | -287.7M | -385.1M | -766.6M | -151.1M | -396.7M | -86.7M | -71M | -55.7M | -32M |
| Capital Expenditures | -43M | -111.8M | -193.3M | -256.5M | -246.1M | -214.2M | -150.5M | -131.8M | -150.1M | -165M | -145.4M | -126M | -126.8M | -94.5M | -61.5M | -68.5M | -58.3M | -43.3M |
| CapEx % of Revenue | 0.97% | 2.5% | 4.19% | 5.54% | 5.21% | 4.46% | 4.16% | 2.29% | 2.74% | 3.12% | 2.92% | 2.75% | 3.16% | 2.55% | 1.96% | 2.06% | 1.8% | 1.44% |
| Acquisitions | 9.8M | 0 | -135.4M | -784.1M | -217.6M | 5.2M | -715.2M | 4.2M | -465.6M | -124.6M | -239.7M | -652.8M | -147.3M | -302M | -19.5M | -6M | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -53M | 6.9M | 25.8M | 2.8M | 8.2M | 1.9M | -148.9M | 0 | -140M | 1.9M | 3.9M | 12.2M | 123M | -200K | -5.7M | 3.5M | 2.6M | 11.3M |
| Cash from Financing | -480.9M | -503.3M | -363.4M | -271.3M | 72.5M | -428.6M | 111.6M | -389.7M | -6.8M | -250.1M | -250.4M | 416.9M | -147.5M | 4.1M | 15.7M | -43.5M | -81.4M | -221.8M |
| Debt Issued (Net) | 920M | -130M | 0 | -4.9M | -37.1M | 135M | 385M | -150.7M | 826.2M | 75M | 258.9M | 499.7M | 313.8M | 31.3M | -84.9M | 482.6M | -102M | -3.9M |
| Equity Issued (Net) | -107.9M | -243.3M | -240.4M | -150M | -607.1M | -405.9M | -198.3M | -108.7M | -689.7M | -186.3M | -424.5M | -69.8M | -439.8M | -52.1M | -8.8M | 0 | 20.3M | 21.7M |
| Dividends Paid | -121.3M | -120.6M | -119.6M | -116.8M | -145.6M | -143M | -133.3M | -123M | -115.2M | -110.3M | -98.2M | -89.5M | -77.4M | -49.9M | 0 | -548.9M | 0 | 0 |
| Share Repurchases | -116.3M | -247.8M | -240.4M | -150M | -580.1M | -447.7M | -187.6M | -100M | -694.6M | -214.8M | -424.5M | -51.7M | -439.8M | -52.1M | -8.8M | 0 | 0 | 0 |
| Other Financing | -1.17B | -9.4M | -3.4M | 400K | 862.3M | -14.7M | 58.2M | -7.3M | -28.1M | -28.5M | 13.4M | 58.4M | 55.9M | 74.8M | 109.4M | 22.8M | 300K | -239.6M |
| Net Change in Cash | -116.7M | -117M | -10M | -252.8M | 172.2M | 51.1M | 30.1M | 124.2M | -52.3M | 71.5M | 13M | 46.6M | -49.5M | -94.6M | 215.2M | 60.1M | 2.9M | 8.7M |
| Free Cash Flow | 399.8M | 366.8M | 474.5M | 799.3M | 320.2M | 474.5M | 675.2M | 505.4M | 453.9M | 435.3M | 505.1M | 285.1M | 126.9M | 203.3M | 221.3M | 106.9M | 80.6M | 226M |
| FCF Margin % | 9% | 8.22% | 10.3% | 17.28% | 6.78% | 9.88% | 18.65% | 8.77% | 8.28% | 8.24% | 10.13% | 6.23% | 3.16% | 5.49% | 7.06% | 3.21% | 2.49% | 7.52% |
| FCF Growth % | -19.69% | -22.7% | -40.64% | 149.63% | -32.52% | -29.72% | 33.6% | 11.35% | 4.27% | -13.82% | 77.17% | 124.67% | -37.58% | -8.13% | 107.02% | 32.63% | -64.34% | - |
| FCF per Share | 3.32 | 3.03 | 3.77 | 6.26 | 2.44 | 3.40 | 4.82 | 3.58 | 3.10 | 2.79 | 3.20 | 1.75 | 0.76 | 1.19 | 1.33 | 0.69 | 0.52 | 1.46 |
| FCF Conversion (FCF/Net Income) | 1.47x | 1.60x | 1.42x | 2.61x | 0.82x | 0.89x | 1.49x | 1.48x | 1.55x | 1.27x | 1.57x | 1.31x | 1.60x | 1.30x | 2.38x | -4.93x | 2.18x | -6.43x |
| Interest Paid | 0 | 0 | 126.6M | 121.4M | 102.9M | 76.8M | 76.2M | 81M | 63.4M | 44.4M | 43.7M | 26M | 9.6M | 6.7M | 7.1M | 66.3M | 122.3M | 0 |
| Taxes Paid | 0 | 0 | 152.3M | 120.3M | 278.3M | 228.8M | 175.5M | 144.5M | 114.2M | 169.7M | 172.1M | 104.2M | 109.1M | 89.4M | 58.9M | 30.6M | 23.7M | 0 |
Cyclical working capital volatility
As reported in recent financial statements, FBIN's operating cash flow to net income ratio has fluctuated wildly, reaching a negative 4.93 in 2026Q1, which suggests that reported accounting profits are currently failing to translate into actual cash generation due to significant underlying accrual adjustments.
The extreme divergence between net income and operating cash flow indicates that earnings quality is currently compromised by non-cash items or timing differences. Investors should monitor whether this disconnect is a temporary byproduct of the recent spin-off or a structural issue in how the company recognizes revenue versus cash collection.
Based on the company's reported figures, free cash flow margins have exhibited a sharp decline, swinging from a positive 19.2% in 2024Q4 to a negative 13.8% in 2026Q1, reflecting a deteriorating ability to fund operations and shareholder returns through internal cash generation alone.
The trajectory of FCF suggests that the business is struggling to maintain self-funding status during periods of revenue contraction. This volatility warrants further investigation into whether the company's cost structure is too rigid to adapt to the current cyclical downturn in housing-related demand.
According to quarterly filings, FBIN experienced a massive working capital outflow of $207.5 million in 2026Q1, a trend that appears to be a recurring seasonal or operational drag that periodically overwhelms the company's ability to generate positive cash flow from its core manufacturing activities.
The recurring, large-scale negative working capital changes suggest that the company may be struggling with inventory management or aggressive channel loading strategies. Such swings imply that cash flow is highly sensitive to the timing of inventory builds, which may be masking deeper operational inefficiencies.
As disclosed in recent SEC filings, FBIN continued to prioritize share repurchases and dividends despite the negative free cash flow of $139.5 million in 2026Q1, suggesting a management preference for returning capital that may be outpacing the company's current ability to generate excess cash.
The decision to maintain buybacks and dividends during periods of negative cash flow may indicate a reliance on balance sheet capacity rather than operational performance. This strategy appears risky if the current cyclical downturn in the housing market persists longer than anticipated.
Quick answers to the most common questions about buying FBIN stock.
Fortune Brands Innovations, Inc. (FBIN) generated $478.6M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Fortune Brands Innovations, Inc. (FBIN) generated $366.8M 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.
Fortune Brands Innovations, Inc. (FBIN) spent $111.8M 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, Fortune Brands Innovations, Inc. (FBIN) returned $120.6M to shareholders via cash dividends and spent $247.8M on share repurchases. This shows the company's commitment to returning capital to its equity investors.