Operating cash flow of $40.0M and free cash flow of $25.2M (13.2% margin) suggest improving cash conversion, though stock-based compensation of $34.9M per quarter warrants scrutiny of the cash generation quality.
Fastly, Inc. (FSLY) cash flow statement — 9-year operating, investing & financing cash flows
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 |
|---|
| Cash from Operations | 130.62M | 94.44M | 16.41M | 362K | -69.63M | -38.48M | -19.92M | -31.3M | -16.98M | -25.86M |
| Operating CF Margin % | - | 15.13% | 3.02% | 0.07% | -16.09% | -10.86% | -6.85% | -15.62% | -11.75% | -24.65% |
| Operating CF Growth % | 487.44% | 475.67% | 4432.04% | 100.52% | -80.95% | -93.22% | 36.38% | -84.3% | 34.32% | - |
| Net Income | -62.88M | -121.68M | -158.06M | -133.09M | -190.77M | -222.7M | -95.93M | -51.55M | -30.93M | -32.45M |
| Depreciation & Amortization | 63M | 77.85M | 73.64M | 72.03M | 64.31M | 50.04M | 25.06M | 16.55M | 13.4M | 9.64M |
| Stock-Based Compensation | 137.34M | 117.32M | 107.93M | 136.3M | 145.8M | 140.49M | 64.43M | 12.14M | 4.08M | 2.81M |
| Deferred Taxes | -4.35M | 1.43M | 1.79M | -900K | 0 | 0 | -12.95M | 2.51M | 1M | 1.21M |
| Other Non-Cash Items | 52.19M | 42.41M | 45.21M | -4.12M | -4.69M | 34.66M | 27.81M | 6.69M | -694K | 408K |
| Working Capital Changes | -54.7M | -22.89M | -54.11M | -69.86M | -84.28M | -40.98M | -28.33M | -17.65M | -3.84M | -7.48M |
| Change in Receivables | -10.36M | -6.22M | 676K | -32.95M | -27.36M | -14.56M | -9.26M | -12.77M | -6.23M | -6.04M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.48M | 2.76M | -2.45M |
| Change in Payables | 6.01M | 4.49M | 611K | 382K | -4.72M | 146K | 4.06M | 2.39M | -372K | 1.11M |
| Cash from Investing | -108.3M | -213.03M | 178.9M | 294.94M | 235.75M | -794.51M | -275.02M | -87.68M | -47.02M | -15.78M |
| Capital Expenditures | -77.64M | -28.69M | -790K | -10.98M | -62.17M | -34.82M | -29.57M | -20.1M | -19.66M | -13.25M |
| CapEx % of Revenue | 10.8% | 4.6% | 0.15% | 2.17% | 14.37% | 9.83% | 10.17% | 10.03% | 13.6% | 12.63% |
| Acquisitions | 0 | 0 | -3.77M | 0 | -25.9M | -1.17M | -200.99M | 5.49M | 0 | 1.15M |
| Investments | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -12.47M | -17.61M | -32.63M | -21.24M | -17.65M | -14.98M | -7.37M | -5.49M | 87K | -1.15M |
| Cash from Financing | -21.91M | 12.76M | -17.1M | -331.38M | -189.15M | 936.55M | 272.74M | 168.15M | 69.64M | 55.41M |
| Debt Issued (Net) | 141.41M | 177.67M | -14.96M | -27.18M | -22.53M | 917.21M | -26.07M | -30.24M | 27.41M | 4.93M |
| Equity Issued (Net) | 10.29M | 8.05M | 7.36M | 0 | 0 | 0 | 274.9M | 192.51M | 39.99M | 50M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -13K | 0 |
| Other Financing | -173.62M | -172.96M | -9.5M | -304.2M | -166.62M | 19.34M | 23.92M | 5.88M | 2.24M | 479K |
| Net Change in Cash | 375K | -105.61M | 178.1M | -35.47M | -23.42M | 103.08M | -22.35M | 49.27M | 5.65M | 13.73M |
| Free Cash Flow | 49.23M | 65.75M | -20.81M | -31.91M | -149.95M | -88.87M | -57.43M | -51.4M | -36.64M | -39.11M |
| FCF Margin % | 6.85% | 10.54% | -3.83% | -6.31% | -34.65% | -25.08% | -19.74% | -25.64% | -25.35% | -37.28% |
| FCF Growth % | 13.32% | 415.98% | 34.78% | 78.72% | -68.73% | -54.75% | -11.72% | -40.28% | 6.31% | - |
| FCF per Share | 0.31 | 0.45 | -0.15 | -0.25 | -1.23 | -0.77 | -0.55 | -0.75 | -0.46 | -0.50 |
| FCF Conversion (FCF/Net Income) | -0.78x | -0.78x | -0.10x | -0.00x | 0.36x | 0.17x | 0.21x | 0.61x | 0.55x | 0.80x |
| Interest Paid | 5.88M | 11.59M | 527K | 1.57M | 2.66M | 1.94M | 1.59M | 5.42M | 1.83M | 996K |
| Taxes Paid | 529K | 1.34M | 809K | 331K | 250K | 267K | 1.22M | 361K | 55K | 166K |
Quick answers to the most common questions about buying FSLY stock.
Fastly, Inc. (FSLY) generated $94.4M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Fastly, Inc. (FSLY) generated $65.8M 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.
Fastly, Inc. (FSLY) spent $28.7M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
Key Metrics
Top Statement Risk
Persistent GAAP losses despite cash gains
Metrics are mathematically derived from official filings.
Operating Cash Flow Masks GAAP Losses
Based on reported figures, Fastly's operating cash flow of $40.0M in 2026Q3 stood against a net loss of $11.3M, a gap that is largely explained by $34.9M of stock-based compensation and $16.3M of depreciation and amortization added back to earnings.
The gap between net income and operating cash flow is the central feature of this cash flow profile, and it appears driven primarily by non-cash charges rather than by aggressive revenue recognition. Stock-based compensation alone roughly equals the entire operating cash generation of the quarter, which suggests that cash earnings are being supported by equity dilution as a substitute for cash pay. Investors should monitor whether operating cash flow remains positive once SBC is treated as an economic cost, as the reported figures alone may overstate the underlying cash position.
Free Cash Flow Turns Positive, Margins Volatile
As reported in financial statements, Fastly's free cash flow margin rose from negative 10.8% in 2024Q2 to 13.2% in 2026Q3, though the quarterly path has been uneven, with a dip to 2.4% in 2026Q1.
The move from sustained cash burn in 2024 to consistent positive free cash flow over the last six quarters is a meaningful improvement, and it appears to reflect operating leverage on a largely fixed infrastructure base. However, the quarter-to-quarter volatility, including the 4.2% and 2.4% margins in early 2026, suggests the trend is not yet firmly established. Given that revenue growth has decelerated, sustaining these margins will likely depend on capital intensity staying controlled.
Capital Intensity Declining but Lumpy
Based on reported figures, CapEx fell to 7.8% of revenue in 2026Q3 from 17.3% in 2026Q2, with the quarterly ratio fluctuating widely between 1.5% and 17.3% over the period shown.
The lumpy pattern of infrastructure spending is consistent with a business that adds points of presence in discrete tranches rather than on a smooth schedule. The recent decline in capital intensity may indicate that the current network build-out is approaching a more maintenance-oriented phase, though this cannot be confirmed from the quarterly data alone. Investors should monitor whether CapEx stabilizes near the 5-8% range, since a rebound would pressure free cash flow conversion.
Working Capital Swings Drive Quarterly Noise
According to recent SEC filings, Fastly's working capital change swung from a $6.1M inflow in 2025Q2 to a $22.2M outflow in 2025Q4, and the outflow of $16.8M in 2026Q3 contributed meaningfully to that quarter's modest free cash flow.
Working capital movements appear to be a significant source of quarterly variability, and the largest outflows coincide with quarters of stronger revenue, which may reflect timing of receivable collections or payables settlement. Because the company's usage-based billing can create uneven collection cycles, these swings should not be extrapolated as a trend without further detail on receivables aging. Persistent outflows in consecutive quarters would warrant closer scrutiny of collection efficiency.
Cash Improvement May Rely on Dilution
Based on reported figures, stock-based compensation of $34.9M in 2026Q3 exceeds the quarter's free cash flow of $25.2M, which suggests that the reported cash generation may be substituting equity-based pay for cash expense.
The cash flow statement, as presented, adds back stock compensation in arriving at operating cash flow, which can make the business appear closer to cash self-sufficiency than its economics may support. If SBC were treated as a cash-equivalent cost, free cash flow would be substantially negative in most recent quarters, a conclusion that warrants further investigation rather than proof. The absence of buybacks or dividends means that dilution, not capital return, is the relevant lens for shareholders.