The complete absence of disclosed operating cash flow over the last ten quarters, despite $2.0 million in stock-based compensation in 2025Q1, suggests a disconnect between accounting profits and liquidity.
| Cash from Operations | 0 | 30.03M | 20M | 16.56M | -25.49M | -91.32M | 31.12M | 82.19M | 53.15M | 95.96M | 119.48M | 1.01M |
| Operating CF Margin % | - | 11.8% | 7.97% | 13.2% | -74.51% | -36.5% | 11.1% | 21.13% | 15.83% | 31.93% | 58.8% | 1.08% |
| Operating CF Growth % | 0% | 50.11% | 20.83% | 164.94% | 72.08% | -393.41% | -62.13% | 54.66% | -44.62% | -19.68% | 11741.33% | - |
| Net Income | 801K | 29.09M | -627K | 4.96M | -29.67M | -113.46M | -28.2M | -109.49M | -601K | 44.37M | 17.67M | -30.98M |
| Depreciation & Amortization | 0 | 17.82M | 12M | 4.35M | 3.59M | 10.18M | 15.7M | 19.75M | 17.96M | 6.54M | 1.75M | 530K |
| Stock-Based Compensation | 5.03M | 1.65M | 5.03M | 3.12M | 3.17M | 9M | 27.51M | 30.86M | 32.25M | 23.47M | 3.36M | 942K |
| Deferred Taxes | 0 | 0 | 0 | 26K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -5.83M | -9.02M | -2.35M | -583K | 6.62M | 81.18M | 53.05M | 170.64M | -27.11M | 7.2M | 78.63M | 55.64M |
| Working Capital Changes | 0 | -9.52M | 5.96M | 4.68M | -9.21M | -78.22M | -36.95M | -29.56M | 30.65M | 14.38M | 18.06M | -25.12M |
| Change in Receivables | 0 | 6.86M | -4.88M | -289K | 1.15M | -1.68M | 1.01M | -665K | 4.94M | -5.46M | 152K | -254K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 0 | -732K | 3.75M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | 0 | -108.08M | 2.52M | 71.48M | -96.7M | 4.3M | -68M | -98.75M | -187.22M | -170.45M | -10.18M | -6.92M |
| Capital Expenditures | 0 | -6.25M | -57.25M | -56.62M | -8.66M | -9.88M | -10.44M | -9.19M | -17.87M | -23.11M | -6.66M | -1.63M |
| CapEx % of Revenue | 0% | 2.46% | 22.8% | 45.13% | 25.31% | 3.95% | 3.73% | 2.36% | 5.32% | 7.69% | 3.28% | 1.74% |
| Acquisitions | 0 | 0 | 0 | 71K | 0 | -322K | 854K | -10.12M | -133.9M | -1.3M | 3.84M | -800K |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | -1.45M | 491K | 553K | -88.04M | 14.49M | 0 | -79.44M | -35.45M | -146.03M | -7.36M | -4.49M |
| Cash from Financing | 0 | 9.06M | 12.37M | 41.27M | -838K | -25.55M | 198K | -26.42M | -561K | 461.61M | 74.9M | 600K |
| Debt Issued (Net) | 0 | 7.87M | 41.93M | 41.43M | -600K | -508K | 100K | 986K | 214K | 390K | 0 | 0 |
| Equity Issued (Net) | 0 | 78K | 2K | -159K | -238K | -27.8M | 0 | -27.9M | 0 | 580.15M | 73.57M | 0 |
| Dividends Paid | 0 | 0 | -34.89M | 0 | 0 | 0 | 0 | 0 | -3.68M | -122.09M | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | -159K | -238K | -27.8M | 0 | -27.9M | 0 | 0 | 0 | 0 |
| Other Financing | 0 | 1.12M | 5.32M | 0 | 0 | 2.75M | 98K | 496K | 2.9M | 3.16M | 1.33M | 600K |
| Net Change in Cash | 0 | -72.75M | 37.05M | 125.19M | -95.64M | -116.51M | -53.14M | -28.88M | -112.09M | 352.36M | 188.64M | 42.33M |
| Free Cash Flow | 0 | 23.12M | -37.24M | -40.06M | -34.15M | -101.2M | 20.68M | 73.01M | 35.28M | 72.85M | 112.82M | -621K |
| FCF Margin % | 0% | 9.09% | -14.83% | -31.93% | -99.81% | -40.44% | 7.38% | 18.77% | 10.51% | 24.24% | 55.52% | -0.66% |
| FCF Growth % | - | 162.07% | 7.03% | -17.3% | 66.25% | -589.28% | -71.67% | 106.96% | -51.58% | -35.43% | 18267.15% | - |
| FCF per Share | 0.00 | 103.09 | -175.40 | -169.64 | -151.85 | -449.94 | 89.42 | 308.46 | 146.66 | 283.83 | 473.58 | -4.41 |
| FCF Conversion (FCF/Net Income) | 0.00x | 0.98x | 24.98x | 3.34x | 0.86x | 0.80x | -1.10x | -0.75x | -88.43x | 2.62x | 8.78x | -0.03x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 226K | 53K | 57K | 156K | 3.31M | 10.19M | 13.14M | 22.01M | 21.99M | 15.79M | 0 |
Regulatory and operational pivot
As reported in financial statements, FEDU exhibits a complete absence of disclosed operating cash flow across the last ten quarters, which, when contrasted with fluctuating net income figures, suggests that the company's core business operations are failing to generate meaningful, verifiable cash inflows for the enterprise.
The lack of reported operating cash flow despite positive net income in periods like 2025Q1 and 2025Q2 warrants significant investor caution regarding the quality of earnings. This disconnect implies that reported profits may be driven by non-cash accounting adjustments or non-operating items rather than the actual collection of tuition or service fees.
Based on the provided data, FEDU has reported zero capital expenditure over the last ten quarters, which indicates that the company is likely not investing in its physical learning centers or technological infrastructure to support its transition toward new non-academic enrichment and consulting service business models.
The absence of investment suggests a defensive posture where management is prioritizing the preservation of the existing cash pile over long-term growth initiatives. This lack of capital deployment may further erode the company's competitive positioning as its facilities and curriculum potentially become outdated relative to more active market participants.
According to recent SEC filings, FEDU consistently records stock-based compensation, reaching as high as $2.0 million in 2025Q1, which obscures the true economic cost of operations while the company simultaneously fails to report any positive operating cash flow to offset these significant non-cash equity expenses.
The reliance on stock-based compensation in the absence of positive cash generation suggests that the company is utilizing equity to retain talent despite a lack of operational momentum. Investors should monitor whether this dilution provides any tangible benefit to the core business, as it currently appears to be a mechanism for managing expenses without impacting the cash balance.
Analysis of the historical data reveals a persistent divergence between net income and operating cash flow, as the company reports net income volatility while maintaining a total absence of reported cash flow, suggesting that the firm's accounting profits are not translating into actual liquidity for the business.
This structural gap between accounting results and cash reality implies that the company's reported profitability may be highly sensitive to non-operating income, such as interest earned on its cash reserves. Consequently, the core education business appears to be struggling to achieve self-sustainability, relying instead on the balance sheet's interest-bearing assets to maintain its financial profile.
Quick answers to the most common questions about buying FEDU stock.
Four Seasons Education (Cayman) Inc. (FEDU) generated $30.0M in net cash from operating activities in 2026. This reflects the cash generated directly from core business operations.
Four Seasons Education (Cayman) Inc. (FEDU) generated $23.1M 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.
Four Seasons Education (Cayman) Inc. (FEDU) spent $6.3M on capital expenditures in 2026. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.