Operational liquidity remains under pressure, with a negative free cash flow margin of -5.2% in 2025Q2 and a reliance on $1.9M in stock-based compensation to offset cash burn.
| Cash from Operations | -44.94M | -13.31M | -46.35M | -12.41M | -8.24M | -3.08M | -2.13M | -1.29M | -257.65K |
| Operating CF Margin % | - | -158.64% | -585.74% | -53.81% | -45.27% | -24.11% | -27.87% | -12.92% | -2.82% |
| Operating CF Growth % | -1379.21% | 71.29% | -273.5% | -50.66% | -167.31% | -44.85% | -65.46% | -398.99% | - |
| Net Income | -34.63M | -55.27M | -24.94M | -5.66M | -55.25M | -4.49M | -3.19M | -1.23M | -135.46K |
| Depreciation & Amortization | 2.06M | 2.33M | 2.06M | 3.27M | 2.35M | 1.57M | 1.57M | 1.26M | 443.22K |
| Stock-Based Compensation | -976.11K | 7.57M | 4.22M | 532.47K | 1.31M | 293.84K | 398.61K | 171.77K | 133.24K |
| Deferred Taxes | 0 | 0 | 0 | -755.97K | -1.28M | 105.65K | -68.81K | -815.44K | 0 |
| Other Non-Cash Items | 14.53M | 25.35M | 5.33M | -10.87M | 40.93M | 386.71K | 606.93K | -480.75K | -127.31K |
| Working Capital Changes | -25.92M | 6.71M | -33.01M | 1.07M | 3.71M | -953.12K | -1.44M | -193.01K | -571.34K |
| Change in Receivables | 850.02K | 1.02M | -352.25K | 2.59M | 1.16M | -30.55K | 153.72K | -557.04K | 55.03K |
| Change in Inventory | 107.23K | -20.41K | 288.05K | 120.98K | -545.45K | 20.01K | 6.97K | -27.79K | 19.37K |
| Change in Payables | 0 | -790.15K | -1.12M | 2.71M | -107.37K | 256.56K | 334.95K | -138.63K | 0 |
| Cash from Investing | -7.58M | -2.21M | -8.09M | -2.84M | -10.09M | -882.11K | -1.16M | -1.84M | -488.32K |
| Capital Expenditures | -6.56M | -2.26M | -7K | -131.06K | -1.25M | -882.11K | -671.59K | -1.06M | -71.55K |
| CapEx % of Revenue | 114.18% | 26.95% | 0.09% | 0.57% | 6.85% | 6.9% | 8.8% | 10.66% | 0.78% |
| Acquisitions | 0 | 58.09K | 0 | -2.3M | -8.84M | 0 | -516.3K | -785.24K | 0 |
| Investments | - | - | - | - | - | - | - | - | - |
| Other Investing | -1.02M | 0 | -7.09M | -393.12K | -8.84M | -804.31K | 25.24K | -420.41K | -416.77K |
| Cash from Financing | 54.36M | 16.6M | 55.36M | 9.85M | 21.94M | 3.1M | 3.08M | 3.98M | 977.02K |
| Debt Issued (Net) | 0 | 2.17M | 7.45M | 9.55M | 2.41M | -71.97K | 846.52K | 1.88M | 170.35K |
| Equity Issued (Net) | 0 | 22.07M | 49.54M | 0 | 20.01M | 3.13M | 0 | 2.33M | -263.5K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -147.56K | -179.08K |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -656.51K | -263.5K |
| Other Financing | 54.36M | -7.64M | -1.63M | 295.7K | -1.32M | 40.22K | 2.24M | -86.08K | 1.25M |
| Net Change in Cash | 0 | 808.05K | 1M | -5.11M | 3.94M | -488.21K | -1.02M | 552.21K | 9.58K |
| Free Cash Flow | -51.5M | -15.23M | -46.85M | -12.98M | -9.48M | -3.96M | -2.8M | -2.35M | -329.2K |
| FCF Margin % | -895.75% | -181.55% | -592.06% | -56.27% | -52.12% | -31.02% | -36.66% | -23.58% | -3.61% |
| FCF Growth % | -166.36% | 67.5% | -260.96% | -36.87% | -139.26% | -41.61% | -19.31% | -612.57% | - |
| FCF per Share | -0.97 | -0.15 | -4.26 | -2.34 | -0.42 | -0.19 | -0.12 | -0.10 | -0.02 |
| FCF Conversion (FCF/Net Income) | 1.49x | 0.24x | 1.86x | 2.19x | 0.15x | 0.69x | 0.67x | 1.04x | 1.90x |
| Interest Paid | 1.66M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Acute liquidity and solvency risk
According to recent financial disclosures, GNS exhibits a chronic inability to convert net income into operating cash, with an OCF/NI ratio of 0.74 in 2025Q2, suggesting that reported losses are consistently exacerbated by cash-draining operational activities that fail to align with accounting accruals.
The consistent gap between net income and operating cash flow indicates that the company's accrual-based accounting may be masking deeper operational inefficiencies. Investors should monitor this divergence, as it suggests that the core business model is consuming cash at a rate that exceeds the reported accounting losses.
As reported in quarterly filings, the company's FCF margin has remained deeply negative at -5.2% in 2025Q2, reflecting a structural inability to generate positive cash flow despite various attempts to scale the hybrid education and hospitality model across its regional footprint.
The persistent negative FCF trajectory highlights a fundamental lack of operating leverage within the business. Without a significant shift in revenue composition or a drastic reduction in fixed costs, the current cash burn appears likely to continue, further pressuring the company's limited liquidity.
Based on the provided cash flow statements, working capital changes have been a significant drag on liquidity, with a $1.5M outflow in 2025Q2, indicating that the company is struggling to manage its cash conversion cycle effectively amidst its ongoing operational challenges.
The erratic nature of working capital movements suggests potential difficulties in managing receivables or inventory turnover within the hospitality segment. This volatility warrants further investigation, as it directly impacts the company's ability to maintain sufficient cash reserves for day-to-day operations.
Financial statements reveal that stock-based compensation of $1.9M in 2025Q2 serves as a significant non-cash add-back, which obscures the true extent of the company's cash burn by artificially inflating the operating cash flow figures reported to shareholders.
The reliance on non-cash adjustments to mitigate the appearance of cash outflows suggests that the company's underlying cash generation is even weaker than the headline figures imply. Analysts should be wary of these adjustments, as they do not represent actual cash inflows and may mask the true cost of talent retention.
Quick answers to the most common questions about buying GNS stock.
Genius Group Limited (GNS) generated $-13.3M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Genius Group Limited (GNS) reported negative free cash flow of $15.2M in 2025, indicating capital requirements exceeded cash from operations.
Genius Group Limited (GNS) spent $2.3M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.