Cash flow generation remains highly erratic, evidenced by an OCF/NI ratio that plummeted from 7.71 in 2025Q4 to 0.77 in 2026Q1, complicating the company's ability to fund operations.
| Metric | TTM | 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 | Dec'11 | Dec'10 | Dec'09 |
|---|
| Cash from Operations | 54.56M | 64.5M | 55.89M | -77.98M | -135.99M | -123.96M | -63.6M | 71.28M | 190.85M | 135.08M | 117.11M | 254.87M | 288.82M | 218.43M | 266.83M | 290.45M | 86.89M | 7.51M |
| Operating CF Margin % | - | 12.94% | 11.35% | -15.15% | -22.7% | -12.82% | -4.49% | 3.21% | 7.24% | 4.75% | 3.73% | 8.17% | 9.05% | 8.49% | 11.43% | 17.88% | 12.18% | 51.65% |
| Operating CF Growth % | -45119.49% | 15.39% | 171.67% | 42.65% | -9.7% | -94.91% | -189.22% | -62.65% | 41.29% | 15.35% | -54.05% | -11.76% | 32.23% | -18.14% | -8.13% | 234.29% | 1056.92% | - |
| Net Income | -103.56M | -81.7M | -56.51M | -55.41M | -234.38M | 120.35M | -288.31M | -11.7M | 1.99M | 26.63M | -183.32M | 33.68M | -63.92M | -88.95M | -51.03M | -297.76M | -413.39M | -1.34M |
| Depreciation & Amortization | 17.18M | 18.6M | 30.9M | 51.22M | 62.66M | 72.82M | 87.52M | 105.77M | 115.83M | 137.83M | 137.67M | 132.97M | 144.92M | 89.45M | 55.8M | 32.05M | 12.95M | 80K |
| Stock-Based Compensation | 30.88M | 37.77M | 26.73M | 14.48M | 30.01M | 33.17M | 0 | 81.61M | 64.82M | 82.04M | 118.15M | 142.07M | 122.02M | 121.46M | 104.12M | 93.59M | 36.17M | 115K |
| Deferred Taxes | 25.22M | -2.93M | 4.5M | 1.74M | 49.1M | -33.98M | -7.1M | -1.49M | -5M | 603K | -10.62M | -8.98M | -11.11M | -18.05M | -7.65M | 32.2M | -7.35M | 0 |
| Other Non-Cash Items | 56.05M | 62.44M | 32.45M | 12.67M | 58.62M | -118.64M | 216.93M | 42.08M | 31.14M | -11.85M | 48.32M | -170.99M | -15.93M | 62.34M | -21.68M | 7.02M | 203.26M | -143K |
| Working Capital Changes | 28.4M | 30.31M | 17.83M | -102.68M | -101.99M | -197.66M | -72.64M | -144.99M | -17.92M | -100.17M | 6.91M | 126.12M | 112.84M | 52.18M | 187.28M | 423.34M | 255.24M | 8.8M |
| Change in Receivables | 6.05M | 3.01M | 15.28M | -4.48M | -10.09M | 5.43M | 13.52M | 13.58M | 32.06M | -18.79M | -14.56M | 13.31M | -13.66M | 10.99M | 10.53M | -70.38M | -34.91M | -601K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | -70.37M | 0 | -25.22M | -24.26M | -36.29M | 6.3M | 77.58M | -16.1M | -58.85M | -23.12M | 533.29M | 240.85M | 9.26M |
| Change in Payables | 7.44M | 29.86M | -3.64M | -62.88M | -1.89M | -144.15M | -131.21M | -126.58M | -39.46M | -30.02M | 21.66M | 48.82M | 103.19M | 57.18M | 168.63M | -21M | 50.84M | 182K |
| Cash from Investing | 6.6M | 6.42M | -6.81M | -1.4M | -38.84M | -45.81M | -20.12M | -67.59M | -135.98M | -34.87M | -57.49M | 67.22M | -229.46M | -96.31M | -194.98M | -147.43M | -11.88M | -1.96M |
| Capital Expenditures | -14.45M | -14.62M | -15.33M | -19.29M | -38.84M | -52.76M | -52.95M | -71.07M | -87.96M | -60.22M | -71.29M | -85.61M | -88.79M | -65.03M | -96.44M | -58.33M | -15.6M | -561K |
| CapEx % of Revenue | 2.9% | 2.93% | 3.11% | 3.75% | 6.48% | 5.46% | 3.74% | 3.2% | 3.34% | 2.12% | 2.27% | 2.74% | 2.78% | 2.53% | 4.13% | 3.59% | 2.19% | 3.86% |
| Acquisitions | 1.06M | 15.05M | 0 | 0 | 0 | 0 | 0 | 0 | -58.12M | -1.89M | 12.12M | -72.36M | -133.76M | -9.31M | -61.02M | -57.06M | 3.82M | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 13.99M | 0 | 8.52M | -1.04M | 0 | 0 | 1.22M | 0 | -16.76M | 11.68M | -55.09M | 244.47M | -228.96M | -94.8M | -194.38M | -132.92M | -92K | -1.4M |
| Cash from Financing | -62.73M | -7.51M | 47.79M | -35.69M | -34.41M | -183.85M | 176.8M | -92.62M | -84.42M | -138.05M | -14.66M | -508.16M | -194.16M | -81.7M | 12.1M | 867.21M | 30.45M | 3.8M |
| Debt Issued (Net) | -36.04M | -2.3M | -22.83M | -32.22M | -25.69M | -134.73M | 189.38M | -19.69M | -33.02M | -34.02M | 152.09M | -24.4M | -7.42M | 563K | 0 | -14.36M | -498.14M | 0 |
| Equity Issued (Net) | -23.75M | 0 | 79.62M | 2.93M | -6.07M | -19.83M | 1.79M | -41.51M | -9.59M | -88.91M | -195.13M | -482.87M | -146.9M | -44.84M | 0 | 877.67M | 529.65M | 29.95M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.3M | -26.36M |
| Share Repurchases | -23.75M | 0 | 0 | 0 | -6.07M | -19.83M | 0 | -45.63M | -9.59M | -61.23M | -165.36M | -442.77M | -153.25M | -44.84M | -13M | -388.77M | -55M | 0 |
| Other Financing | -2.94M | -5.21M | -9M | -6.4M | -2.65M | -29.28M | -14.38M | -31.42M | -41.81M | -15.11M | 28.38M | -885K | -39.84M | -37.42M | 12.1M | 3.89M | 227K | 215K |
| Net Change in Cash | -5.59M | 63.04M | 94.93M | -114.06M | -217.79M | -351.6M | 98.66M | -92.07M | -40.75M | 17.15M | 38.48M | -163.27M | -168.56M | 31.18M | 86.35M | 1B | 106.52M | 9.35M |
| Free Cash Flow | 40.12M | 49.87M | 39.97M | -97.27M | -174.83M | -176.72M | -112.31M | 217K | 102.9M | 74.86M | 45.82M | 169.26M | 200.03M | 153.41M | 170.4M | 232.12M | 71.28M | 6.95M |
| FCF Margin % | 8.05% | 10.01% | 8.11% | -18.89% | -29.18% | -18.27% | -7.93% | 0.01% | 3.9% | 2.63% | 1.46% | 5.43% | 6.27% | 5.96% | 7.3% | 14.29% | 9.99% | 47.79% |
| FCF Growth % | -20.35% | 24.79% | 141.09% | 44.36% | 1.07% | -57.35% | -51855.3% | -99.79% | 37.45% | 63.39% | -72.93% | -15.38% | 30.39% | -9.97% | -26.59% | 225.63% | 925.79% | - |
| FCF per Share | 0.99 | 1.24 | 1.02 | -3.11 | -5.80 | -5.27 | -3.93 | 0.01 | 3.63 | 2.63 | 1.59 | 5.21 | 5.93 | 4.62 | 5.24 | 12.82 | 4.67 | 0.46 |
| FCF Conversion (FCF/Net Income) | -0.39x | -0.77x | -0.95x | 1.41x | 0.57x | -1.04x | 0.22x | -3.19x | -17.23x | 9.62x | -0.60x | 12.33x | -3.95x | -2.29x | -4.87x | -1.13x | -0.22x | -5.60x |
| Interest Paid | 1.67M | 0 | 3.37M | 6.62M | 5.94M | 13.87M | 0 | 9.14M | 9.56M | 9.43M | 1.19M | 1.03M | 0 | 0 | 0 | 0 | 287K | 0 |
| Taxes Paid | 12.38M | 0 | 15.51M | 7.9M | 5.18M | 11.14M | 0 | 11.9M | 2.78M | 8.65M | -4.25M | 10.27M | 0 | 60.77M | 126.99M | 1.64M | 140K | 0 |
Volatile working capital cycles
As reported in recent financial statements, the relationship between net income and operating cash flow is highly erratic, with the OCF/NI ratio swinging from 7.71 in 2025Q4 to 0.77 in 2026Q1, suggesting that reported earnings are frequently decoupled from actual cash generation.
The significant variance in the OCF/NI ratio indicates that accruals and non-cash adjustments play a disproportionate role in the company's bottom line. Investors should monitor this divergence, as it implies that net income may not be a reliable proxy for the company's underlying ability to fund operations through internal cash flow.
Based on the provided cash flow data, FCF margins exhibit extreme seasonality and instability, ranging from a peak of 48.5% in 2024Q4 to a low of -20.0% in 2025Q3, reflecting the company's heavy reliance on fourth-quarter billings to sustain its annual cash position.
This cyclicality suggests that the business model is highly sensitive to seasonal consumer spending patterns, which complicates long-term cash flow forecasting. The inability to maintain positive FCF throughout the year may indicate that the platform's fixed cost structure remains too high relative to its off-peak transaction volumes.
According to quarterly filings, working capital changes are the primary engine of cash flow volatility, with a massive $67.8M inflow in 2025Q4 followed by an $18.6M outflow in 2026Q1, highlighting the company's dependence on timing differences in merchant payments and consumer voucher redemptions.
The sharp swings in working capital suggest that the company's cash position is heavily influenced by the timing of holiday-related billings rather than consistent operational efficiency. This reliance on working capital shifts warrants further investigation into whether these fluctuations represent sustainable liquidity management or merely temporary timing benefits.
As evidenced by recent cash flow statements, the company has prioritized share repurchases, including a $21.3M outflow in 2026Q1, even while operating cash flow remains inconsistent, which may indicate a management focus on supporting equity value despite the lack of sustained free cash flow generation.
The decision to allocate capital toward buybacks during periods of negative operating cash flow appears aggressive and may limit the company's financial flexibility. Investors should monitor whether this deployment strategy is sustainable given the ongoing need to fund platform modernization and potential restructuring costs.
Quick answers to the most common questions about buying GRPN stock.
Groupon, Inc. (GRPN) generated $64.5M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Groupon, Inc. (GRPN) generated $49.9M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Groupon, Inc. (GRPN) spent $14.6M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.