Free cash flow remains deeply negative, with the company burning through resources to support a capital-intensive profile that saw CapEx/Revenue reach 14.6% in 2024Q4.
| Cash from Operations | -20.11M | -31.91M | -31.11M | -29.75M | -12.63M | -10.64M |
| Operating CF Margin % | - | -30.82% | -39.9% | -60.68% | -172.7% | -224.38% |
| Operating CF Growth % | 16.56% | -2.54% | -4.57% | -135.63% | -18.71% | - |
| Net Income | -38.36M | -53.18M | -79.27M | -37.9M | -17.22M | -12.46M |
| Depreciation & Amortization | 7.96M | 6.68M | 5.71M | 5.6M | 528K | 404K |
| Stock-Based Compensation | 5.25M | 6.61M | 2.57M | 1.68M | 1.22M | 224K |
| Deferred Taxes | 0 | 0 | 0 | -34K | 0 | 0 |
| Other Non-Cash Items | -3.35M | 12.06M | 41.75M | 5.71M | 2.44M | 3.08M |
| Working Capital Changes | 8.38M | -4.07M | -1.88M | -4.81M | 406K | -97K |
| Change in Receivables | 4.71M | -5.93M | -5.39M | -5M | -160K | 94K |
| Change in Inventory | -1.23M | -3.33M | -2.27M | -1.6M | -611K | 94K |
| Change in Payables | 5.39M | 4.95M | 1.91M | 1.55M | 741K | -939K |
| Cash from Investing | -10.88M | -11.46M | -10.62M | -39.49M | -6.39M | -855K |
| Capital Expenditures | -10.92M | -11.62M | -5.93M | -3.67M | -1.73M | -1.23M |
| CapEx % of Revenue | 11.28% | 11.22% | 7.6% | 7.49% | 23.63% | 26.03% |
| Acquisitions | 0 | 0 | 0 | -36.19M | 0 | 0 |
| Investments | - | - | - | - | - | - |
| Other Investing | 37K | 161K | -4.5M | 376K | -4.66M | 379K |
| Cash from Financing | -31.48M | 44.57M | 41.69M | 71.61M | 12.93M | 18.83M |
| Debt Issued (Net) | -29.59M | -18.77M | 41.69M | 27M | 2.17M | 6.86M |
| Equity Issued (Net) | 0 | 75M | 1.32M | 45.31M | 5.8M | 11.66M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -1.89M | -11.67M | -1.32M | -706K | 4.97M | 300K |
| Net Change in Cash | -62.42M | 1.03M | 9K | 2.83M | -6.06M | 7.33M |
| Free Cash Flow | -31.03M | -43.52M | -41.54M | -33.43M | -14.36M | -11.87M |
| FCF Margin % | -32.06% | -42.04% | -53.28% | -68.17% | -196.33% | -250.41% |
| FCF Growth % | 31.82% | -4.76% | -24.28% | -132.84% | -20.92% | - |
| FCF per Share | -1.66 | -2.32 | -2.18 | -1.75 | -0.75 | -0.62 |
| FCF Conversion (FCF/Net Income) | 0.81x | 0.60x | 0.39x | 0.79x | 0.73x | 0.85x |
| Interest Paid | 5.1M | 6.78M | 6.91M | 2.53M | 112K | 0 |
| Taxes Paid | 98K | 114K | 46K | 7K | 25K | 0 |
Liquidity and capital exhaustion
As reported in financial statements, Gauzy consistently exhibits a significant gap between net losses and operating cash flow, with the OCF/NI ratio fluctuating wildly, reaching a high of 2.68 in 2024Q3, which suggests that accruals and non-cash adjustments are masking the underlying cash burn intensity.
The wide variance in the OCF/NI ratio indicates that reported net income is a poor proxy for the company's actual cash-generating capability. Investors should monitor whether this volatility stems from aggressive revenue recognition or timing differences in project-based billing, as the current conversion quality remains highly unreliable.
Based on recent quarterly filings, Gauzy's free cash flow remains deeply negative, with FCF margins reaching as low as -79.8% in 2023Q4, indicating that the company's current business model requires substantial external capital to fund its ongoing operational and capital expenditure requirements.
The persistent negative FCF trajectory underscores the company's struggle to achieve scale-driven efficiencies. Without a clear path to positive FCF, the reliance on external financing appears to be a structural necessity rather than a temporary bridge to profitability.
According to historical data, Gauzy maintains a capital-intensive profile with CapEx/Revenue ratios peaking at 14.6% in 2024Q4, reflecting the heavy investment required to maintain specialized manufacturing facilities and clean-room infrastructure necessary for its thin-film production processes.
The consistent level of capital expenditure relative to revenue suggests that the company is still in a heavy asset-building phase. This capital intensity limits the company's flexibility, as significant cash must be diverted to maintain production capacity even while operating margins remain deeply negative.
As evidenced by the quarterly cash flow data, working capital changes have been highly erratic, swinging from a $5.5M inflow in 2025Q2 to a $5.8M outflow in 2023Q4, which suggests significant instability in inventory management and the timing of customer collections.
The lack of consistency in working capital management may indicate challenges in aligning production cycles with customer demand. This volatility complicates cash flow forecasting and suggests that the company's liquidity position is highly sensitive to the timing of large-scale project milestones.
Based on reported figures, stock-based compensation (SBC) has been a consistent add-back to operating cash flow, reaching $2.3M in 2024Q4, which effectively masks the true economic cost of talent acquisition and retention in the company's highly competitive technology-intensive sector.
While SBC is a non-cash expense, its consistent use as an add-back suggests that the company's reported cash burn may be understated from an economic perspective. Investors should consider the dilutive impact of these equity grants alongside the cash flow statement to understand the true cost of operations.
Quick answers to the most common questions about buying GAUZ stock.
Gauzy Ltd. Ordinary Shares (GAUZ) generated $-31.9M in net cash from operating activities in 2024. This reflects the cash generated directly from core business operations.
Gauzy Ltd. Ordinary Shares (GAUZ) reported negative free cash flow of $43.5M in 2024, indicating capital requirements exceeded cash from operations.
Gauzy Ltd. Ordinary Shares (GAUZ) spent $11.6M on capital expenditures in 2024. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.