Persistent cash burn is evident, with free cash flow failing to reach positive territory in nine of the last ten quarters, including a $113.7K outflow in 2025Q4.
| Cash from Operations | -661.33K | -1.99M | -4.37M | -7.61M | -7.61M |
| Operating CF Margin % | - | -2.04% | -5.64% | -11.55% | -11.55% |
| Operating CF Growth % | 66.7% | 54.51% | 42.6% | - | - |
| Net Income | -1.02M | -1.96M | 2.14M | 4.59M | 4.59M |
| Depreciation & Amortization | 0 | 2.37M | 1.51M | 623.46K | 623.46K |
| Stock-Based Compensation | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | -669.87K | -253.17K | -34K | -34K |
| Other Non-Cash Items | -1.36M | -2.49M | 1.27M | -922.3K | -922.3K |
| Working Capital Changes | 1.72M | 761.92K | -9.03M | -11.86M | -11.86M |
| Change in Receivables | -143.34K | -390.95K | -9.07M | -5.09M | -5.09M |
| Change in Inventory | 0 | -1.61M | -97.79K | -1.45M | -1.45M |
| Change in Payables | 0 | 980.4K | 6.1M | 4.69M | 4.69M |
| Cash from Investing | 13M | -780.62K | -615.53K | 1.37M | 1.37M |
| Capital Expenditures | 0 | -277.64K | -538.36K | -254.4K | -254.4K |
| CapEx % of Revenue | - | 0.28% | 0.7% | 0.39% | 0.39% |
| Acquisitions | 0 | -502.98K | -6.12K | 0 | 0 |
| Investments | - | - | - | - | - |
| Other Investing | 13.63M | 1.13M | -31.85M | 213.57K | 213.57K |
| Cash from Financing | -12.48M | 135.24K | 4.36M | 550.19K | 550.19K |
| Debt Issued (Net) | 622.46K | 2.58M | 6.39M | 1.13M | 1.13M |
| Equity Issued (Net) | -13.14M | -163.91K | 117.7M | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | -163.91K | 0 | 0 | 0 |
| Other Financing | 31.93K | -2.28M | -2.03M | -578.82K | -578.82K |
| Net Change in Cash | 0 | 502.13K | -649.88K | -5.77M | -5.77M |
| Free Cash Flow | -661.33K | 1.04M | -4.9M | -7.86M | -7.86M |
| FCF Margin % | - | 1.06% | -6.33% | -11.94% | -11.94% |
| FCF Growth % | -163.67% | 121.18% | 37.61% | - | - |
| FCF per Share | -0.12 | 0.01 | -0.04 | -0.06 | -0.06 |
| FCF Conversion (FCF/Net Income) | 0.65x | 1.45x | -2.20x | -1.67x | -1.67x |
| Interest Paid | 0 | 507.8K | 191.16K | 117.75K | 117.75K |
| Taxes Paid | 0 | 723.16K | 795.55K | 2.22M | 2.22M |
Severe liquidity and solvency
As reported in financial statements, GCL exhibits a chronic inability to convert net income into operating cash flow, with OCF/NI ratios frequently reaching extreme negative levels, such as the -20.59 observed in 2024Q2, signaling a fundamental breakdown in the quality of reported earnings.
The consistent divergence between net income and operating cash flow suggests that reported profits are not supported by actual cash generation. This pattern implies that the company's accounting earnings may be decoupled from its operational reality, necessitating caution regarding the sustainability of any reported income.
Based on GCL's reported figures, the company has remained in a state of persistent cash burn, with free cash flow failing to reach positive territory in nine of the last ten quarters, culminating in a $113.7K outflow during the most recent 2025Q4 period.
The lack of positive free cash flow indicates that the business model is currently unable to self-fund its operations. Investors should monitor whether this trend is a temporary byproduct of growth investments or a structural inability to achieve positive unit economics.
According to recent SEC filings, GCL's operating cash flow is heavily influenced by working capital fluctuations, including a significant $222.2K inflow in 2025Q4, which serves to partially offset the underlying cash burn inherent in the company's core operating activities.
The reliance on working capital changes to manage cash flow suggests that the company's liquidity is highly sensitive to the timing of payables and receivables. This volatility may obscure the true underlying cash requirements of the business and warrants further investigation into the stability of these short-term balance sheet movements.
As indicated by the provided data, the absence of significant capital expenditure or stock-based compensation adjustments suggests that GCL's cash flow statement is primarily driven by operating losses rather than non-cash accounting items, leaving the company with a precarious cash position of only $40,511.
The lack of non-cash adjustments implies that the reported cash burn is a direct reflection of cash-based operational expenses. Given the minimal cash reserves, the company appears to be in a vulnerable position that may require immediate external financing to maintain ongoing operations.
Quick answers to the most common questions about buying GCL stock.
GCL Global Holdings Ltd Ordinary Shares (GCL) generated $-0.7M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
GCL Global Holdings Ltd Ordinary Shares (GCL) reported negative free cash flow of $0.7M in 2025, indicating capital requirements exceeded cash from operations.
GCL Global Holdings Ltd Ordinary Shares (GCL) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.