Operational liquidity is critically constrained, with the company recording a $694,000 cash burn in 2025Q2 and a persistent inability to generate positive free cash flow.
| Cash from Operations | -1.67M | -1.89M | -5.64M | -2.85M | -4.33M | -3.25M | -1.14K | -121.98K | -71.99K | -320.34K |
| Operating CF Margin % | - | -5906.25% | -241.78% | - | -8666.33% | -6499.46% | - | - | - | - |
| Operating CF Growth % | -47028.51% | 66.46% | - | 34.21% | -33.34% | -284215.75% | 99.06% | -69.44% | 77.53% | - |
| Net Income | -12.86M | 0 | -35.53M | -4.41M | -10.5M | -3.87M | -760 | -118.31K | -98.11K | -408.29K |
| Depreciation & Amortization | 1.43M | 1.15M | 1.61M | 1.12M | 266.4K | 69.86K | 0 | 255 | 0 | 0 |
| Stock-Based Compensation | -14K | 13K | 0 | 0 | 903.54K | 0 | 0 | 0 | 0 | 94K |
| Deferred Taxes | -2.58M | -2.58M | 47.46K | 0 | 2.71M | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 1.1M | -1.07M | 29.11M | 0 | 2.79M | 829.56K | -377 | 0 | 0 | 0 |
| Working Capital Changes | 684K | 600K | -874.36K | 436K | -507.7K | -281.93K | -5 | -3.93K | 26.12K | -6.05K |
| Change in Receivables | 0 | -1K | 184.07K | -128K | 0 | 0 | 0 | -5.81K | 24.24K | -27.77K |
| Change in Inventory | 4K | 7K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 595K | 470K | -627.01K | 293K | -474.4K | 279.91K | 0 | 0 | 0 | 0 |
| Cash from Investing | 1K | 3K | 2.88K | -15K | -2.09M | -42.93K | -804 | -26.53K | 225K | -225K |
| Capital Expenditures | 0 | 0 | 0 | -18K | -95.68K | 0 | 0 | -1.53K | 0 | 0 |
| CapEx % of Revenue | 0% | - | - | - | 191.36% | 552% | - | - | - | - |
| Acquisitions | 0 | 0 | 0 | 0 | -2.05M | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 1K | 3K | 2.88K | 3K | 54.78K | -42.93K | -804 | -25K | 225K | -225K |
| Cash from Financing | 373K | -109K | 8.51M | 2.87M | 7.01M | 3.38M | 1.9K | 16.09K | 0 | 209.51K |
| Debt Issued (Net) | 373K | -109K | 3.15M | 2.87M | 2.55M | 2.55M | 0 | 0 | - | - |
| Equity Issued (Net) | 0 | 0 | 5.36M | 0 | 0 | 0 | 0 | 0 | - | - |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | -410K | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | -46.45K | 0 | 0 | 0 | 0 |
| Other Financing | 0 | 0 | 0 | 0 | 4.46M | 1.25M | 1.9K | 16.09K | 0 | 0 |
| Net Change in Cash | -1.3M | -2M | 2.87M | -1K | 583.85K | 89.61K | 43 | -132.43K | 153.01K | -335.83K |
| Free Cash Flow | -1.67M | -1.89M | -5.64M | -2.87M | -4.43M | -3.25M | -1.14K | -123.51K | -71.99K | -320.34K |
| FCF Margin % | -4287.18% | -5906.25% | -241.78% | - | -8857.69% | -6499.46% | - | - | - | - |
| FCF Growth % | - | 66.46% | - | 35.22% | -36.28% | -284215.75% | 99.07% | -71.56% | 77.53% | - |
| FCF per Share | -0.02 | -0.06 | -0.13 | -0.01 | -0.39 | -0.05 | -0.02 | -0.01 | -0.01 | -0.03 |
| FCF Conversion (FCF/Net Income) | 0.13x | 0.16x | 2.75x | 0.66x | 0.61x | 0.46x | 0.00x | 0.21x | 0.73x | 0.78x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | - | - |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | - | - |
Imminent insolvency and liquidity
According to historical cash flow statements, Impact BioMedical exhibits a persistent disconnect between net income and operating cash flow, with the OCF/NI ratio frequently failing to provide a meaningful signal of operational health due to the company's extreme, non-recurring volatility in reported bottom-line results.
The wide variance between net income and cash flow suggests that reported earnings are heavily influenced by non-cash accounting adjustments rather than core operational performance. Investors should monitor this divergence closely, as it indicates that the company's reported profitability is not translating into the liquidity required to sustain its ongoing research and patent maintenance activities.
As reported in financial statements, Impact BioMedical's free cash flow remains consistently negative, with quarterly outflows such as the $694,000 burn in 2025Q2 highlighting a structural inability to generate self-sustaining cash flow from its current, highly speculative biotechnology and functional food technology business segments.
The persistent negative FCF trajectory underscores the company's reliance on external financing to cover its operating expenses. Without a clear path to revenue-generating commercialization, the current burn rate suggests that the firm's cash position will continue to deteriorate, further limiting its ability to fund future clinical or regulatory milestones.
Based on quarterly filings, working capital changes have been erratic, with fluctuations such as the $541,000 positive adjustment in 2025Q4 failing to mask the underlying lack of a stable, cash-generative operating cycle within the company's fragmented business model.
These shifts in working capital appear to be driven by timing differences in payables or non-recurring items rather than efficient inventory management or collections. The lack of a consistent, positive working capital trend suggests that the company's operational processes are not yet optimized for commercial scale.
As evidenced by the provided data, the cash flow statement obscures the company's true financial distress by highlighting non-cash depreciation and amortization expenses that consistently exceed the nominal cash generated from operations, effectively masking the firm's total reliance on external capital to remain a going concern.
The reliance on D&A to bridge the gap between net income and cash flow suggests that the company's assets may not be generating the economic value originally anticipated. Analysts should treat the reported cash flow figures with extreme caution, as they do not reflect a viable, self-funding business model.
Quick answers to the most common questions about buying IBO stock.
Impact BioMedical Inc. (IBO) generated $-1.9M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Impact BioMedical Inc. (IBO) reported negative free cash flow of $1.9M in 2025, indicating capital requirements exceeded cash from operations.
Impact BioMedical Inc. (IBO) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.