Liquidity remains a primary concern as the firm reported $0 in cash as of 2026Q1, while the OCF/NI ratio of -31.53 highlights a profound disconnect between accounting earnings and actual cash generation.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Jun'16 | Jun'15 | Jun'14 | Jun'13 | Jun'12 | Jun'11 |
|---|
| Cash from Operations | 50.42M | -2.81M | -82.67M | 15.39M | -41.76M | -58.49M | 27.39M | -24.47M | -30.46M | -24.28M | 8.73M | 40.1M | -31.41M | -20.66M | -10.36M | -13.29M | 16.54M |
| Operating CF Growth % | 1073.17% | 96.59% | -637.32% | 136.85% | 28.61% | -313.56% | 211.91% | 19.64% | -25.44% | -378.23% | -78.24% | 227.69% | -52.03% | -99.37% | 22.06% | -180.37% | - |
| Net Income | -32.99M | -31.79M | 3.55M | 25.33M | -15.58M | -10.28M | -31.96M | -7.55M | -9.01M | -2.75M | -17.87M | -9.7M | -5.2M | -7.62M | 3.8M | 2.68M | 2.88M |
| Depreciation & Amortization | -2.46M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 101.1M | 28.95M | -86.15M | -16.14M | -18.21M | -43.47M | 59.38M | -20.73M | -23.79M | -23.14M | 3.04M | 72.02M | -1.09M | -61.46M | 6.69M | -12.05M | -10.51M |
| Working Capital Changes | -3.04M | 26K | -74K | 6.2M | -7.96M | -4.75M | -36K | 3.8M | 2.34M | 1.62M | 11.47M | -22.22M | -25.12M | 48.43M | -20.85M | -3.92M | 24.17M |
| Cash from Investing | -67.75M | 0 | 0 | 14.77M | -36.47M | -56.88M | 19.47M | -21.26M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Purchase of Investments | -98.51M | 0 | -335.01M | -220.35M | -149.46M | -191.88M | -92.52M | -183.97M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Sale/Maturity of Investments | 82.18M | 0 | 241.35M | 235.13M | 113M | 135M | 111.99M | 162.71M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Net Investment Activity | -16.33M | 0 | -93.66M | 14.77M | -36.47M | -56.88M | 19.47M | -21.26M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Investing | -51.41M | 0 | 93.66M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | -27.82M | 4.65M | 81.72M | -25.32M | 33.2M | 14.45M | 21.19M | 24.91M | 31.71M | -39.59M | 58.05M | -10.45M | 35.14M | 2.63M | 27.75M | 11.87M | -14.48M |
| Dividends Paid | -18.59M | -19.24M | -15.07M | -10.64M | -13.02M | -9.93M | -4.99M | -12.78M | -12.74M | -12.79M | -7.96M | -7.96M | -9.6M | -7.38M | -6.47M | -6.63M | -3.02M |
| Share Repurchases | -528K | 0 | 0 | 0 | 0 | 0 | 0 | -5M | 0 | -24.26M | -1.05M | -2.42M | 0 | 0 | 0 | 0 | 0 |
| Stock Issued | 27.29M | 27.29M | 48.71M | 0 | 37.51M | 0 | 31.75M | 0 | 0 | 0 | 0 | 0 | 43.25M | 28.41M | 10.66M | 0 | 16.65M |
| Net Stock Activity | 26.76M | 27.29M | 48.71M | 0 | 37.51M | 0 | 31.75M | -5M | 0 | -24.26M | -1.05M | -2.42M | 43.25M | 28.41M | 10.66M | 0 | 16.65M |
| Debt Issuance (Net) | -2M | -1000K | 1000K | -1000K | 1000K | 1000K | -1000K | 1000K | 1000K | -1000K | 0 | -66.12K | 1000K | -1000K | 1000K | 1000K | -1000K |
| Other Financing | -2.24M | -2.16M | -4.21M | 0 | -1.29M | -550K | -1.5M | 0 | 0 | 0 | 67.07M | 0 | -1.8M | -771.08K | -725.43K | -47.99K | -579.2K |
| Net Change in Cash | -1.27M | 1.83M | -953K | 366K | -8.56M | -44.04M | 48.58M | 439K | 1.25M | -63.87M | 63.05M | 29.65M | 3.74M | -18.03M | 17.39M | -1.43M | 2.06M |
| Exchange Rate Effect | 43.88M | 0 | 0 | -4.47M | 36.47M | 56.88M | -19.47M | 21.26M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 1.83M | 0 | 953K | 587K | 9.14M | 53.18M | 4.61M | 4.17M | 2.92M | 66.78M | 3.74M | 3.74M | 0 | 18.03M | 639.15K | 2.07M | 1.46K |
| Cash at End | 0 | 1.83M | 0 | 953K | 587K | 9.14M | 53.18M | 4.61M | 4.17M | 2.92M | 66.78M | 33.39M | 3.74M | 0 | 18.03M | 639.15K | 2.07M |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 5.09M | 2.49M | 0 | 0 | 3.89M | 0 | 0 | 0 | 0 |
| Income Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 120K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Free Cash Flow | 50.42M | -2.81M | -82.67M | 15.39M | -41.76M | -58.49M | 27.39M | -24.47M | -30.46M | -24.28M | 8.73M | 40.1M | -31.41M | -20.66M | -10.36M | -13.29M | 16.54M |
| FCF Growth % | 59.4% | 96.59% | -637.32% | 136.85% | 28.61% | -313.56% | 211.91% | 19.64% | -25.44% | -378.23% | -78.24% | 227.69% | -52.03% | -99.37% | 22.06% | -180.37% | - |
Portfolio credit impairment risk
As reported in quarterly financial filings, GECC exhibits a profound disconnect between net income and operating cash flow, evidenced by a volatile OCF/NI ratio that reached -31.53 in 2026Q1, suggesting that accounting earnings are currently failing to reflect the firm's actual cash-generating capacity.
The extreme variance between net income and operating cash flow indicates that non-cash valuation adjustments are heavily distorting the bottom line. Investors should interpret this as a signal that reported profitability is not a reliable indicator of the firm's ability to sustain its dividend or cover operating costs.
Based on the provided cash flow data, GECC's free cash flow trajectory is highly erratic, swinging from a $31.4M inflow in 2024Q4 to a $5.9M outflow in 2025Q1, which suggests that the company's cash generation is insufficient to provide a consistent buffer for shareholder distributions.
The lack of a stable FCF trend complicates the assessment of the firm's long-term viability. The frequent shifts between positive and negative FCF suggest that the underlying portfolio may be experiencing lumpy cash receipts or significant liquidity constraints that prevent predictable capital allocation.
According to recent cash flow statements, GECC has experienced significant fluctuations in working capital, including a notable $3.6M outflow in 2025Q3, which may indicate underlying challenges in the timing of interest collections or the management of accrued income from its lower middle market portfolio.
These working capital movements appear to be a primary driver of the firm's inconsistent cash flow performance. The inability to maintain a predictable working capital cycle warrants further investigation into whether the firm is relying on PIK income or other non-cash accruals to manage its liquidity position.
As evidenced by the cash flow data, GECC has continued to pay dividends despite periods of negative operating cash flow, such as the $4.8M dividend payout in 2025Q1, which suggests that the firm may be funding distributions through balance sheet liquidity rather than core operational earnings.
The decision to maintain dividend payments during periods of cash burn raises questions regarding the long-term sustainability of the current capital allocation strategy. Investors should monitor whether this practice leads to a further erosion of the firm's net asset value over the coming quarters.
Quick answers to the most common questions about buying GECC stock.
Great Elm Capital Corp. (GECC) generated $-2.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Great Elm Capital Corp. (GECC) reported negative free cash flow of $2.8M in 2025, indicating capital requirements exceeded cash from operations.
Great Elm Capital Corp. (GECC) 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.
In 2025, Great Elm Capital Corp. (GECC) returned $19.2M to shareholders via cash dividends. This shows the company's commitment to returning capital to its equity investors.