GoPro, Inc. (GPRO) Cash Flow Statement

The ratio swings erratically across the ten quarters, from -1.71 in 2025Q4 when operating cash flow was positive while net income was negative, to 1.22 in 2025Q1 when both were negative. Such instability suggests working capital movements and non-cash items, rather than underlying earnings quality, are driving much of the reported cash result. Investors should monitor whether operating cash flow turns durably positive or continues to diverge from net income in either direction.

Only 2025Q4 and 2025Q3 show meaningfully positive free cash flow margins of 7.4% and 6.9%, and these appear as isolated recoveries rather than an established trend. The subsequent return to heavy burn in 2026 warrants further investigation into whether seasonal or inventory-driven timing explains the reversal. Free cash flow has been negative in most quarters reviewed, which limits internal funding of any strategic initiatives.

The magnitude and direction of these swings are large relative to quarterly operating cash flow, which suggests the reported cash picture is sensitive to timing rather than purely to operating performance. Positive working capital inflows in the most recent quarters may partly reverse, and the cash figures should be read with that possibility in mind. Further analysis of receivables and inventory balances would be needed to determine whether these movements reflect efficiency gains or temporary collection and liquidation effects.

Depreciation and amortization stayed near $1.8M per quarter, so reported capex is running only modestly above or below the depreciation base in most periods. Low capital intensity means limited reinvestment pressure but also constrains the company's ability to build proprietary production capacity. The data does not disclose a maintenance-versus-growth capex split, so the composition of spending cannot be determined from these figures.

The gap between the two cumulative figures indicates that accounting losses substantially exceed cash losses over this period, which is a notable pattern for an analyst to scrutinize. Stock-based compensation of roughly $4M to $8M per quarter contributes to this gap but does not account for its full magnitude. Investors should monitor whether impairment or other non-cash items continue to depress reported earnings.