Operating cash flow exhibits extreme volatility, evidenced by a shift from $2.2 billion in 2023Q4 to $0 in 2026Q1, highlighting a disconnect between GAAP net income and actual cash generation capacity.
| Cash from Operations | 4.09B | 4.68B | 6B | 5.83B | 3.17B | 1.87B | 63M | 652M | 897M | 1.02B | -645.71K |
| Operating CF Growth % | -85.55% | -21.97% | 2.83% | 83.98% | 69.48% | 2869.84% | -90.34% | -27.31% | -12.06% | 158064.92% | - |
| Operating CF / Revenue % | 69.79% | 81.68% | 110.66% | 136.6% | 141.63% | 55.27% | 4.41% | 35.96% | 126.16% | 51.52% | -60.66% |
| Net Income | 534M | 271M | 642M | -58M | 481M | 865M | -178M | 412M | 13M | -1.09B | -336.27K |
| Depreciation & Amortization | 512M | 665M | 569M | 412M | 329M | 484M | -13M | 128M | -21M | -24M | 0 |
| Stock-Based Compensation | 23M | 31M | 29M | 23M | 12M | 9M | 7M | 4M | 4M | -12M | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | -1.09B | 0 | 42M | 0 | 0 | 0 |
| Other Non-Cash Items | -1.39B | -1.44B | -800M | 165M | -561M | -180M | 259M | -124M | 484M | 1.82B | -384.32K |
| Working Capital Changes | 4.4B | 5.15B | 5.56B | 5.29B | 2.91B | 1.78B | -12M | 190M | 417M | 324M | 74.87K |
| Cash from Investing | -7.98B | -8.43B | -7.95B | -8.92B | -9.37B | -6.86B | -2.59B | -1.53B | -2.28B | -264M | -828M |
| Capital Expenditures | -10M | -15M | -24M | -27M | -32M | -33M | -28M | -15M | -7M | -12M | 0 |
| Acquisitions | -933M | 0 | -482M | -1.14B | -982M | -1.75B | 0 | -588M | -57M | 0 | 0 |
| Purchase of Investments | -17.63B | -20.96B | -18.02B | -13.37B | -14.1B | -14.58B | 0 | -5.83B | 0 | 0 | 0 |
| Sale/Maturity of Investments | 11.17B | 14.29B | 11.26B | 5.28B | 5.43B | 9.35B | 0 | 4.85B | 0 | 0 | 0 |
| Other Investing | -582M | -1.75B | -682M | 340M | 313M | 150M | -2.56B | 50M | -2.22B | -252M | -828M |
| Cash from Financing | 2.09B | 2.97B | 2.65B | 3.69B | 5.63B | 5.63B | 2.52B | 1.29B | 739M | 540M | 829.87M |
| Dividends Paid | -107M | -137M | -121M | -101M | 0 | 0 | 0 | -9M | 0 | 0 | 0 |
| Share Repurchases | -7M | -10M | -12M | -18M | 0 | 0 | 0 | -65M | -4M | 0 | 0 |
| Stock Issued | 0 | 269M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Debt Issuance (Net) | 0 | 1000K | 1000K | 1000K | 1000K | 1000K | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 2.2B | 2.78B | 2.1B | 3.15B | 5.08B | 5.24B | 2.52B | 1.36B | 739M | 540M | 829.87M |
| Net Change in Cash | -1.97B | -778M | 701M | 603M | -573M | 644M | 818M | 413M | -644M | 1.3B | 1.22M |
| Exchange Rate Effect | -162M | 0 | 0 | 0 | 0 | 0 | 827M | 0 | 0 | 0 | 0 |
| Cash at Beginning | 1.49B | 2.26B | 1.56B | 960M | 1.53B | 889M | 935M | 522M | 1.22B | 0 | 0 |
| Cash at End | 1.32B | 1.49B | 2.26B | 1.56B | 960M | 1.53B | 1.75B | 935M | 571M | 1.3B | 1.22M |
| Free Cash Flow | 4.08B | 4.67B | 5.97B | 5.81B | 3.14B | 1.84B | 35M | 637M | 890M | 1.01B | -645.71K |
| FCF Growth % | -24.45% | -21.91% | 2.89% | 85% | 70.78% | 5151.43% | -94.51% | -28.43% | -11.71% | 156206.51% | - |
| FCF Margin % | 69.62% | 81.42% | 110.22% | 135.96% | 140.2% | 54.3% | 2.45% | 35.14% | 125.18% | 50.91% | -60.66% |
| FCF per Share | 29.35 | 35.35 | 45.61 | 46.83 | 27.3 | 17.5 | 0.23 | 2.99 | 4.12 | 4.7 | -0.03 |
Derivative hedging volatility
According to reported financial data, F&G's operating cash flow exhibits significant quarterly variance, peaking at $2.2 billion in 2023Q4 before dropping to zero in 2026Q1, which underscores the inherent instability in premium collection and claim payment timing within the company's current annuity-heavy business model.
The extreme fluctuations in operating cash flow suggest that the company's underwriting engine is highly sensitive to external market conditions and institutional funding cycles. Investors should monitor whether the recent drop to zero in 2026Q1 represents a structural shift in liquidity management or merely a temporary timing mismatch in premium inflows.
Based on historical cash flow statements, F&G consistently deploys substantial capital into investment purchases, reaching a high of $6.5 billion in 2025Q4, while simultaneously liquidating assets to manage liquidity, which indicates a high-velocity investment strategy that relies heavily on active portfolio turnover to generate spread.
The persistent gap between asset purchases and sales suggests that the company is aggressively scaling its AUM, likely to capture higher yields in private credit markets. This strategy warrants further investigation into the liquidity profile of the underlying assets, as rapid turnover may expose the firm to transaction costs and market impact risks during periods of stress.
As reported in financial filings, the OCF/NI ratio has shown extreme instability, ranging from a negative 348.33 in 2024Q3 to a positive 40.50 in 2025Q2, highlighting a profound disconnect between GAAP accounting results and the actual cash generation capacity of the insurance operations.
This divergence appears to be driven by non-cash derivative mark-to-market adjustments and DAC unlocking, which frequently obscure the underlying cash-generating potential of the business. Analysts should treat GAAP net income with caution, as it may not accurately reflect the firm's ability to fund policyholder obligations or sustain capital returns.
Based on the provided figures, F&G maintains a consistent dividend payout pattern, yet the erratic nature of operating cash flows, which fell to zero in 2026Q1, suggests that future capital returns may be vulnerable to sudden shifts in underwriting performance or liquidity requirements.
While current dividend levels appear manageable relative to historical averages, the lack of consistent cash flow generation raises questions about the long-term sustainability of these payouts. Investors should monitor the company's ability to maintain capital returns without relying on portfolio liquidations or parent-company support during periods of market volatility.
Quick answers to the most common questions about buying FG stock.
F&G Annuities & Life, Inc. (FG) generated $4.68B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
F&G Annuities & Life, Inc. (FG) generated $4.67B 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.
F&G Annuities & Life, Inc. (FG) spent $15.0M 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, F&G Annuities & Life, Inc. (FG) returned $137.0M to shareholders via cash dividends and spent $10.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.