Free cash flow remains consistently negative, with a $1.9M outflow in 2025Q4 and an OCF/NI ratio of 0.40, indicating significant liquidity constraints.
| Metric | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 |
|---|
| Cash from Operations | -6.32M | -5.88M | -6.14M | -18.5M | -32.89M | -26.29M | -14.94M | -9.02M | -12.07M | -12.13M | -8.47M | -9.24M | -2.52M | -3.08M |
| Operating CF Margin % | - | - | - | - | - | - | - | -442.74% | -1112.17% | -2597.22% | - | - | - | - |
| Operating CF Growth % | -7.4% | 4.19% | 66.83% | 43.75% | -25.13% | -75.99% | -65.54% | 25.23% | 0.51% | -43.13% | 8.3% | -266.13% | 18.03% | - |
| Net Income | -10.31M | -7.52M | -6.91M | -17.87M | -32.47M | -28.77M | -20.46M | -9.86M | -12.3M | -16.95M | -10.62M | -9.1M | -17.48M | -3.15M |
| Depreciation & Amortization | 0 | 83K | 31K | 35K | 42K | 39K | 35K | 387K | 239K | 169K | 50K | 9K | 4K | 5K |
| Stock-Based Compensation | 546K | 531K | 892K | 1.3M | 1.89M | 2.07M | 2.23M | 1.78M | 1.39M | 1.63M | 970K | 601K | 10.85M | 208K |
| Deferred Taxes | 0 | 0 | 0 | 0 | 84K | -437K | -114K | 12K | 164K | -1.4M | -920K | -601K | 0 | -208K |
| Other Non-Cash Items | 2.54M | 1.75M | -280K | 485K | 13K | -285K | -63K | -144K | -167K | 1.67M | 1.06M | 601K | 2.89M | 208K |
| Working Capital Changes | 912K | -728K | 132K | -2.45M | -2.45M | 1.1M | 3.44M | -1.21M | -1.4M | 2.75M | 986K | -748K | 1.22M | -143K |
| Change in Receivables | 240K | -192K | 345K | 300K | -313K | 15K | -609K | -63K | 129K | 95K | -214K | -149K | -2K | -11K |
| Change in Inventory | 0 | 0 | 0 | -300K | 313K | -15K | 609K | -142K | 671K | 81K | 39K | -91K | 228K | -103K |
| Change in Payables | 695K | -571K | -681K | -2.31M | -2.17M | 1.05M | 4.18M | -462K | -846K | 863K | 1.38M | -480K | 954K | -89K |
| Cash from Investing | -3.38M | -1.11M | 800K | 17.56M | 11.46M | 16.54M | 6.68M | -60.02M | 6.44M | 6.34M | -11.11M | -9.02M | 3K | -32K |
| Capital Expenditures | 0 | 0 | 0 | -4K | -11K | -44K | -12K | -90K | -21K | -17K | -159K | -770K | -13K | -32K |
| CapEx % of Revenue | - | - | - | - | - | - | - | 4.42% | 1.94% | 3.64% | - | - | - | - |
| Acquisitions | 0 | 0 | -1.5M | -17.57K | 0 | -24.94M | 21.8M | 6.08M | 0 | 13K | -6M | 8.25M | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | -250K | 0 | 17.57K | -1K | 24.94M | -21.8M | -6.08M | 9K | 13K | 6M | -6M | 16K | 0 |
| Cash from Financing | 9.03M | 8.79M | 6.18M | 70K | 17.37M | 768K | 143K | 80.18M | 15.55M | 4.73M | 0 | 41.86M | 1.94M | 3.68M |
| Debt Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.82M | 20K |
| Equity Issued (Net) | 9.03M | 8.79M | 6.18M | 70K | 17.37M | 707K | 0 | 79.15M | 15.02M | 4.48M | 0 | 41.86M | 120K | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 0 | 0 | 0 | 0 | 0 | 61K | 143K | 1.03M | 530K | 255K | 0 | 0 | 0 | 3.66M |
| Net Change in Cash | -664K | 1.79M | 848K | -868K | -4.06M | -8.98M | -8.12M | 11.14M | 9.92M | -1.06M | -19.58M | 23.6M | -581K | 572K |
| Free Cash Flow | -6.32M | -5.88M | -6.14M | -18.5M | -32.9M | -26.33M | -14.95M | -9.11M | -12.09M | -12.15M | -8.63M | -10.01M | -2.54M | -3.11M |
| FCF Margin % | - | - | - | - | - | - | - | -447.15% | -1114.1% | -2600.86% | - | - | - | - |
| FCF Growth % | -7.4% | 4.19% | 66.84% | 43.76% | -24.96% | -76.14% | -64.04% | 24.61% | 0.48% | -40.69% | 13.76% | -294.6% | 18.45% | - |
| FCF per Share | -1.46 | -6.32 | -26.59 | -11.04 | -20.06 | -18.56 | -10.62 | -7.54 | -14.52 | -16.02 | -11.67 | -14.55 | -3.56 | -9.21 |
| FCF Conversion (FCF/Net Income) | 0.61x | 0.78x | 0.89x | 1.04x | 1.01x | 0.91x | 0.73x | 0.92x | 0.98x | 0.72x | 0.80x | 1.02x | 0.14x | 0.98x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 865K | 0 | 382K | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 75K | 0 | 106K | 0 | 1K | 0 | 0 |
Imminent liquidity and insolvency
As reported in quarterly filings, Galmed's OCF/NI ratio fluctuated significantly, reaching 0.40 in 2025Q4, which suggests that reported net losses are not fully capturing the underlying cash burn required to sustain the company's clinical operations and administrative overhead during this critical late-stage development phase.
The divergence between net income and operating cash flow indicates that non-cash items and working capital adjustments are heavily influencing the bottom line. Investors should monitor these fluctuations closely, as the inability to achieve a consistent cash conversion ratio highlights the firm's reliance on external financing rather than operational efficiency.
Based on the provided financial data, Galmed's free cash flow remained consistently negative over the last ten quarters, with a $1.9M outflow in 2025Q4, underscoring the company's status as a capital-consuming entity that lacks the internal cash generation necessary to fund its ongoing clinical trial pipeline.
The absence of positive free cash flow is a structural reality for a pre-revenue biotech, yet the magnitude of these outflows relative to the company's limited cash reserves warrants significant concern. This trajectory suggests that the firm remains entirely dependent on dilutive equity raises to maintain its operational viability.
According to recent financial statements, working capital changes have been highly erratic, swinging from a $490.0K inflow in 2025Q4 to a $580.0K outflow in 2024Q4, which may indicate inconsistent timing in the settlement of clinical trial liabilities and vendor payments as liquidity tightens.
These swings in working capital suggest that management is likely managing cash outflows by delaying payments to service providers or clinical sites. Such practices may provide temporary relief but could potentially jeopardize the enrollment velocity and data integrity of the ARMOR study if vendor relationships are strained.
As evidenced by the cash flow statements, the company consistently utilizes stock-based compensation, with $240.0K recorded in 2025Q4, which effectively obscures the true economic cost of talent retention while simultaneously diluting existing shareholders to preserve the firm's rapidly depleting cash position.
While stock-based compensation is a standard tool in the biotech sector, its persistent use in the context of a $3.98M cash balance suggests that management is prioritizing cash preservation over equity stability. This strategy may prove unsustainable if the market loses appetite for further dilution, potentially forcing a more drastic restructuring of the company's capital allocation.
Quick answers to the most common questions about buying GLMD stock.
Galmed Pharmaceuticals Ltd. (GLMD) generated $-6.3M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Galmed Pharmaceuticals Ltd. (GLMD) reported negative free cash flow of $6.3M in 2025, indicating capital requirements exceeded cash from operations.
Galmed Pharmaceuticals Ltd. (GLMD) 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.