Free cash flow remains deeply negative at -$21.9M in 2026Q1, reflecting a persistent inability to generate internal cash to fund operations despite aggressive top-line growth.
| Cash from Operations | -76.44M | -80.5M | -46.13M | -41.38M |
| Operating CF Margin % | - | -85.04% | -198.72% | -194.38% |
| Operating CF Growth % | -36.05% | -74.49% | -11.48% | - |
| Net Income | -147.55M | -158.73M | -85.69M | -48.31M |
| Depreciation & Amortization | 12.06M | 11.16M | 7.71M | 4.68M |
| Stock-Based Compensation | 17.02M | 15.45M | 0 | 0 |
| Deferred Taxes | -1.07M | -140K | -796K | -106K |
| Other Non-Cash Items | 44.68M | 47.56M | 34.3M | -2.3M |
| Working Capital Changes | -300K | 4.2M | -1.66M | 4.65M |
| Change in Receivables | -2.09M | -2.86M | -236K | 286K |
| Change in Inventory | 0 | 0 | 0 | 0 |
| Change in Payables | -2.46M | 2.81M | -63K | 874K |
| Cash from Investing | -23.44M | -24.25M | -14.93M | -24.48M |
| Capital Expenditures | -1.81M | -1.19M | -10.59M | -4.82M |
| CapEx % of Revenue | 1.46% | 1.26% | 45.63% | 22.63% |
| Acquisitions | -8.29M | -10.23M | -1.93M | -19.22M |
| Investments | - | - | - | - |
| Other Investing | -13.34M | -12.82M | 0 | 0 |
| Cash from Financing | 126.91M | 148.97M | 61.18M | 77.67M |
| Debt Issued (Net) | 59.89M | 77.61M | 60.36M | 18.16M |
| Equity Issued (Net) | 66.2M | 71.45M | 814K | 59.51M |
| Dividends Paid | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 |
| Other Financing | 821K | -85K | 0 | 0 |
| Net Change in Cash | 26.8M | 43.72M | 117K | 13.73M |
| Free Cash Flow | -91.58M | -81.69M | -46.56M | -41.83M |
| FCF Margin % | -73.92% | -86.3% | -200.55% | -196.5% |
| FCF Growth % | - | -75.45% | -11.3% | - |
| FCF per Share | -1.13 | -1.01 | -0.59 | -0.53 |
| FCF Conversion (FCF/Net Income) | 0.62x | 0.51x | 0.54x | 0.86x |
| Interest Paid | 2.74M | 4.01M | 0 | 0 |
| Taxes Paid | 167K | 167K | 0 | 0 |
Unsustainable Cash Burn Rate
According to recent financial statements, GLOO's operating cash flow consistently trails net income, with an OCF/NI ratio of 1.02 in 2026Q1, suggesting that the company's reported losses are not being mitigated by non-cash adjustments and that cash outflows remain tightly coupled with operational deficits.
The persistent gap between net income and operating cash flow indicates that the company is not generating sufficient internal cash to cover its accounting losses. Investors should monitor this relationship closely, as the lack of a meaningful cash-flow-to-earnings buffer suggests that the business model is currently reliant on external financing to sustain its operational footprint.
As reported in quarterly filings, GLOO's free cash flow trajectory is characterized by persistent outflows, with FCF margins reaching -52.7% in 2026Q1, highlighting a structural inability to generate positive cash flow despite the company's aggressive pursuit of top-line growth within the faith-tech vertical.
The consistent negative FCF margin suggests that the company's current scale is insufficient to absorb its high operating costs. This trend warrants further investigation into whether the company can achieve a pivot toward positive cash generation without significantly compromising its market expansion strategy.
Based on GLOO's reported figures, working capital changes have been highly erratic, swinging from a $6.7M outflow in 2026Q1 to a $6.1M inflow in 2025Q3, which indicates significant instability in the company's ability to manage its cash conversion cycle effectively.
These fluctuations suggest that the company's cash position is highly sensitive to the timing of payments and collections, which is typical of a marketplace model with high fulfillment costs. Such volatility may indicate that the company lacks the operational maturity to stabilize its cash flows during periods of rapid scaling.
Analysis of recent SEC filings reveals that GLOO relies heavily on stock-based compensation, which totaled $3.7M in 2026Q1, effectively obscuring the true extent of the company's cash-based operating expenses and complicating the assessment of its underlying economic viability.
While SBC is a non-cash expense, its magnitude relative to the company's cash position suggests that management is utilizing equity to preserve liquidity. Investors should consider whether this reliance on equity-based incentives is sustainable if the company's valuation faces downward pressure or if the cash burn continues to accelerate.
Quick answers to the most common questions about buying GLOO stock.
Gloo Holdings, Inc. (GLOO) generated $-80.5M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Gloo Holdings, Inc. (GLOO) reported negative free cash flow of $81.7M in 2025, indicating capital requirements exceeded cash from operations.
Gloo Holdings, Inc. (GLOO) spent $1.2M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.