Free cash flow generation is highly erratic, swinging from a 15.5% margin in Q4 2025 to negative 3.1% in Q2 2026, indicating that working capital volatility and rising capital intensity (CapEx/Rev reaching 7.1%) are obscuring profitability gains.
IBEX Limited (IBEX) cash flow statement — 11-year operating, investing & financing cash flows
| Metric | TTM | Jun'26 | Jun'25 | Jun'24 | Jun'23 | Jun'22 | Jun'21 | Jun'20 | Jun'19 | Jun'18 | Jun'17 | Jun'16 |
|---|
| Cash from Operations | 59.66M | 59M | 45.67M | 35.9M | 41.86M | 40.01M | 16.08M | 51.72M | 2.2M | -5.75M | 6.65M | 3.04M |
| Operating CF Margin % | - | 9.16% | 8.18% | 7.06% | 8% | 8.12% | 3.63% | 12.77% | 0.6% | -1.68% | 1.99% | 0.94% |
| Operating CF Growth % | 509.73% | 29.2% | 27.21% | -14.24% | 4.63% | 148.84% | -68.91% | 2248.73% | 138.32% | -186.47% | 118.47% | - |
| Net Income | 49.07M | 46.33M | 36.86M | 33.66M | 31.58M | 21.46M | 13.09M | 7.77M | 19.41M | -15.94M | -8.72M | 3.43M |
| Depreciation & Amortization | 20.41M | 19.92M | 17.23M | 19.46M | 18.98M | 18.1M | 14.12M | 24.47M | 21.8M | 12.42M | 13.83M | 12.65M |
| Stock-Based Compensation | 7.34M | 7.74M | 5.43M | 3.77M | 4.61M | 1.85M | 5.36M | 359K | 5.26M | 8.94M | 323K | 945K |
| Deferred Taxes | 1.33M | -8K | -2.88M | 344K | 4.53M | -5.17M | -1.91M | 0 | -13.44M | -6.24M | -1.72M | 1.84M |
| Other Non-Cash Items | 6.11M | 15.35M | 15.32M | 15.95M | 15.85M | 15.04M | 12.41M | 11.51M | 13.38M | 5.33M | 6.39M | 5.13M |
| Working Capital Changes | -24.6M | -30.33M | -26.3M | -37.28M | -33.69M | -11.27M | -26.98M | 7.61M | -44.22M | -10.26M | -3.46M | -20.96M |
| Change in Receivables | -20.67M | -8.66M | -19.26M | 0 | -12.3M | -9.71M | -13.33M | 9.04M | -18.02M | 758K | 4.01M | -20.04M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 9.12M | 2.51M | 6.25M | -2.25M | -3.75M | 2.31M | -4.01M | 0 | 9M | 4.41M | 2.34M | 7.49M |
| Cash from Investing | -27.33M | -27.81M | -18.38M | -8.86M | -19.04M | -25.92M | -20.82M | -4.83M | -9.08M | -5.44M | -9.75M | -11.58M |
| Capital Expenditures | -27.33M | -27.81M | -18.38M | -8.86M | -18.95M | -25.92M | -20.82M | -4.28M | -6.23M | -5.76M | -9.93M | -10.88M |
| CapEx % of Revenue | 4.09% | 4.32% | 3.29% | 1.74% | 3.62% | 5.26% | 4.7% | 1.06% | 1.69% | 1.68% | 2.97% | 3.37% |
| Acquisitions | 0 | 0 | 0 | 0 | -85K | 0 | 0 | 0 | -3.04M | 182K | 177K | 178K |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -552K | 810K | 715K | 177K | 178K |
| Cash from Financing | -18.3M | -13.93M | -74.66M | -21.73M | -13.61M | -22.13M | 40.9M | -33.87M | 2.55M | 3.19M | 14.98M | 12.19M |
| Debt Issued (Net) | -924K | -1.22M | -953K | -543K | -15.39M | -18.76M | -17.16M | -19.2M | 10.12M | 3.33M | 15.76M | 18.61M |
| Equity Issued (Net) | -10.95M | -10.37M | -78.01M | -21.56M | -276K | -3.41M | 63.11M | 0 | -5.97M | 0 | 25K | -59K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | -4M | 0 | -1.6M | -146K | -1M | -6.56M |
| Share Repurchases | -11.62M | -14.38M | -78.01M | -21.56M | -276K | -3.41M | 0 | 0 | -5.97M | 0 | 0 | -118K |
| Other Financing | -6.42M | -2.34M | 4.31M | 366K | 2.05M | 35K | -1.05M | -14.67M | 0 | 0 | 190K | 200K |
| Net Change in Cash | 14M | 17.22M | -47.37M | 5.29M | 8.6M | -9.01M | 35.97M | 13M | -4.65M | -7.8M | 11.87M | 3.65M |
| Free Cash Flow | 32.32M | 31.19M | 27.29M | 27.05M | 22.91M | 14.09M | -4.75M | 47.44M | -4.03M | -11.51M | -3.29M | -7.84M |
| FCF Margin % | 4.84% | 4.84% | 4.89% | 5.32% | 4.38% | 2.86% | -1.07% | 11.71% | -1.09% | -3.36% | -0.98% | -2.43% |
| FCF Growth % | 3.63% | 14.29% | 0.92% | 18.06% | 62.61% | 396.82% | -110.01% | 1276.49% | 64.98% | -250.44% | 58.09% | - |
| FCF per Share | 2.16 | 2.11 | 1.74 | 1.48 | 1.21 | 0.75 | -0.26 | 2.68 | -0.23 | -0.65 | -0.19 | -0.44 |
| FCF Conversion (FCF/Net Income) | 0.66x | 1.27x | 1.24x | 1.07x | 1.33x | 1.86x | 1.23x | 6.66x | -0.49x | 0.36x | -0.74x | 1.94x |
| Interest Paid | 470K | 936K | 1.63M | 514K | 152K | 1.25M | 0 | 9.43M | 0 | 0 | 0 | 0 |
| Taxes Paid | 7.57M | 11.59M | 11.95M | 7.69M | 4.28M | 2.16M | 0 | 0 | 0 | 0 | 0 | 0 |
Quick answers to the most common questions about buying IBEX stock.
IBEX Limited (IBEX) generated $59.0M in net cash from operating activities in 2026. This reflects the cash generated directly from core business operations.
IBEX Limited (IBEX) generated $31.2M in free cash flow in 2026. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
IBEX Limited (IBEX) spent $27.8M on capital expenditures in 2026. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2026, IBEX Limited (IBEX) spent $14.4M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Cash generation volatility amid margin compression
Metrics are mathematically derived from official filings.
Volatile and Weak Cash Conversion
IBEX's cash conversion has been erratic, with the OCF/NI ratio swinging from a low of 0.12 in Q2 2025 to a high of 2.91 in Q4 2025, indicating significant inconsistency in translating reported profits into actual cash.
The company's operating cash flow does not reliably track its net income, as seen in Q2 2025 when $9.3M of net income generated only $1.1M in cash. This pattern suggests that accrual-based earnings are a poor proxy for near-term liquidity, and investors should be cautious about using net income as a measure of cash generation health.
FCF Volatile Despite Net Income Growth
Free cash flow has been highly volatile, ranging from negative $5.1M in Q2 2026 to positive $22.8M in Q4 2025, while net income has shown a steady upward trend, indicating that reported profitability does not guarantee cash generation.
The disconnect between the steady growth in net income and the erratic FCF profile implies that working capital swings and capital expenditure timing are major drivers of IBEX's cash position. The company's ability to generate positive FCF appears episodic, not structural, warranting close monitoring of its quarterly cash flow dynamics.
Working Capital Swings Drive Cash Volatility
Large and unpredictable working capital outflows, such as the $16.3M and $14.7M cash drains in Q2 2025 and Q2 2026 respectively, appear to be the primary cause of IBEX's volatile operating cash flow.
These significant negative swings in working capital change suggest the company experiences substantial timing mismatches in collections or payments, potentially due to client billing cycles or supplier terms. The pattern indicates that IBEX's cash flow is highly sensitive to short-term operational execution, which introduces unpredictability into its financial planning.
Rising Capital Intensity Amid Margin Pressure
Capital expenditures as a percentage of revenue have increased from 1.3% in Q3 2024 to 7.1% in Q2 2026, suggesting a shift toward a more capital-intensive business model that may be contributing to the observed margin compression.
The rise in CapEx intensity coincides with the deterioration in gross margins noted in the prior income statement analysis, implying that the company may be investing in capacity or infrastructure that has not yet yielded proportional profitability. This increased capital burden could constrain future free cash flow if returns on these investments do not materialize.
Cash Flow Obscures Working Capital Risk
The cash flow statement's lump-sum 'working capital change' line obscures the underlying dynamics of receivables, inventory, and payables, which are likely the source of IBEX's quarterly cash volatility and potential liquidity stress.
While the overall operating cash flow can appear strong in certain quarters (e.g., Q4 2025), the dramatic swings in the working capital component indicate that the quality and sustainability of that cash flow are questionable. The lack of granular detail prevents a clear assessment of whether the company is efficiently managing its core operating cycle, masking a key operational risk.