Cash conversion efficiency is inconsistent, evidenced by an OCF/NI ratio that swung from -90.54 in 2025Q1 to 3.29 in 2025Q4 due to significant working capital volatility.
| Cash from Operations | 48.73M | 61.17M | 81.16M | 100.92M | -35.33M | 66.44M | 21.75M | 6.53M |
| Operating CF Margin % | - | 9.69% | 14.61% | 18.49% | -6.98% | 15.83% | 8.27% | 5.91% |
| Operating CF Growth % | -294.32% | -24.63% | -19.57% | 385.64% | -153.18% | 205.49% | 233% | - |
| Net Income | 40.64M | 34.25M | 2.72M | 22.64M | 21.19M | -9.56M | 49.76M | 112K |
| Depreciation & Amortization | 10.45M | 9.04M | 6.69M | 2.94M | 1.92M | 1.42M | 946K | 517K |
| Stock-Based Compensation | 25.09M | 26.87M | 42.67M | 45.8M | 37.46M | 81.14M | 8.71M | 179K |
| Deferred Taxes | -1.53M | -544K | 6.65M | -7.32M | -732K | -3.73M | -6.51M | 0 |
| Other Non-Cash Items | 7.1M | 6.27M | 2.74M | 1.19M | 2.38M | 0 | 2K | 120K |
| Working Capital Changes | -33.01M | -14.71M | 19.68M | 35.67M | -97.55M | -2.84M | -31.16M | 5.6M |
| Change in Receivables | 1.31M | 2.35M | -1.22M | -603K | -4.42M | 3.34M | -4.02M | -1.27M |
| Change in Inventory | -7.8M | -12.21M | 3.28M | 58.94M | -91.91M | -36.33M | -35.44M | -763K |
| Change in Payables | -3.15M | 8.76M | -5.33M | -6.19M | 6.32M | 2.85M | 1.21M | 2.71M |
| Cash from Investing | -47.98M | -63.96M | -94.92M | -117.19M | -5.85M | -2.71M | -2.26M | -4.76M |
| Capital Expenditures | -9.28M | -8.17M | -17.02M | -16.35M | -5.35M | -2.71M | -2.26M | -4.76M |
| CapEx % of Revenue | 1.39% | 1.29% | 3.06% | 3% | 1.06% | 0.65% | 0.86% | 4.31% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - |
| Other Investing | 201K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | -16.54M | -969K | -44.77M | 670K | 3.52M | 75.57M | 294K | 14M |
| Debt Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Equity Issued (Net) | -6.79M | -969K | -45.2M | 916K | 479K | 97.18M | 392K | 14M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -8.8M | -2.69M | -45.45M | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -9.76M | 0 | 438K | -246K | 3.04M | -21.61M | -98K | 0 |
| Net Change in Cash | -15.7M | -3.66M | -58.53M | -15.6M | -37.66M | 139.3M | 19.78M | 38.35M |
| Free Cash Flow | 39.45M | 53M | 64.14M | 84.57M | -40.68M | 63.73M | 19.49M | 1.77M |
| FCF Margin % | 5.92% | 8.4% | 11.55% | 15.5% | -8.04% | 15.19% | 7.41% | 1.6% |
| FCF Growth % | -35.27% | -17.37% | -24.15% | 307.9% | -163.83% | 227.03% | 1000.9% | - |
| FCF per Share | 0.20 | 0.30 | 0.36 | 0.46 | -0.22 | 0.39 | 0.12 | 0.01 |
| FCF Conversion (FCF/Net Income) | 0.97x | 1.79x | 29.84x | 4.46x | -1.67x | -6.95x | 0.44x | 58.31x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 13.14M | 21.1M | 11.9M | 15M | 18.16M | 0 |
Working capital volatility
According to recent financial disclosures, the relationship between net income and operating cash flow is highly erratic, with OCF/NI ratios swinging from -90.54 in 2025Q1 to 3.29 in 2025Q4, indicating that GAAP earnings provide a poor proxy for the company's actual cash-generating capacity.
The significant divergence between net income and operating cash flow suggests that non-cash items and working capital swings are heavily distorting the bottom line. Investors should monitor whether this volatility is a structural feature of the DTC model or a symptom of inconsistent inventory management and revenue recognition timing.
As reported in quarterly filings, FIGS' free cash flow trajectory is characterized by extreme volatility, ranging from a negative $13.5 million in 2025Q2 to a positive $58.1 million in 2025Q4, highlighting a lack of consistent cash conversion despite the company's premium brand positioning.
The inability to generate stable free cash flow suggests that the business model remains highly sensitive to seasonal inventory builds and marketing spend cycles. This inconsistency warrants further investigation into whether the company can achieve sustainable cash flow self-sufficiency without relying on periodic working capital tailwinds.
Based on the provided cash flow statements, working capital changes are the primary driver of cash flow variance, with a $31.9 million inflow in 2025Q4 contrasting sharply with a $29.9 million outflow in 2025Q2, reflecting significant fluctuations in inventory and accounts payable management.
These dramatic shifts in working capital suggest that the company's cash position is highly vulnerable to the timing of inventory procurement and payment cycles. Such instability may indicate that the firm is struggling to optimize its supply chain efficiency relative to its current growth trajectory.
Analysis of the cash flow statement reveals that stock-based compensation consistently exceeds $5 million per quarter, which, as noted in financial statements, effectively masks the true cash cost of operations and complicates the assessment of the company's underlying profitability and long-term cash generation.
The persistent reliance on stock-based compensation as a significant expense suggests that the company's reported net income may be structurally inflated relative to its cash-based performance. Investors should consider the dilutive impact of these awards alongside the cash flow volatility to gain a clearer picture of the firm's economic reality.
Quick answers to the most common questions about buying FIGS stock.
FIGS, Inc. (FIGS) generated $61.2M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
FIGS, Inc. (FIGS) generated $53.0M 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.
FIGS, Inc. (FIGS) spent $8.2M 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, FIGS, Inc. (FIGS) spent $2.7M on share repurchases. This shows the company's commitment to returning capital to its equity investors.