Operational cash flow of $58.4M in 2026Q1 failed to cover the $698.9M capital expenditure program, resulting in a substantial $640.5M free cash flow deficit.
| Cash from Operations | 245.99M | 261.79M | 177.67M | 106.47M | 64.98M |
| Operating CF Margin % | - | 73.45% | 68.59% | 65.83% | 45.39% |
| Operating CF Growth % | 116.68% | 47.35% | 66.86% | 63.87% | - |
| Net Income | 47.2M | 63.96M | 49.29M | 86.67M | 68.13M |
| Depreciation & Amortization | 118.15M | 103.75M | 73.73M | 53.8M | 18.34M |
| Stock-Based Compensation | 0 | 133.42M | 0 | 0 | 0 |
| Deferred Taxes | -5.25M | -4.86M | 0 | 0 | 0 |
| Other Non-Cash Items | 118.13M | -44.24M | 52.57M | -25.01M | -12.81M |
| Working Capital Changes | -32.25M | 9.75M | 2.09M | -8.98M | -8.68M |
| Change in Receivables | -35.89M | 3.79M | -27.45M | -21.77M | -9.07M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | -11.98M | 743K | 16.37M | 7.57M | -2.16M |
| Cash from Investing | -1.02B | -430.17M | -256.12M | -436.69M | -95.66M |
| Capital Expenditures | -1.02B | -430.17M | -256.12M | -436.69M | -95.66M |
| CapEx % of Revenue | 239.51% | 120.69% | 98.88% | 270.01% | 66.82% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | 842.79M | 169.03M | 79.15M | 330.98M | 29M |
| Debt Issued (Net) | -34.35M | -108.61M | 88.27M | 112.95M | 29.91M |
| Equity Issued (Net) | 886.52M | 285.28M | 500K | 222.28M | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -8K | -1.19M | 0 | 0 | 0 |
| Other Financing | -9.38M | -7.65M | -9.62M | -4.26M | -908K |
| Net Change in Cash | 68.12M | 646K | 699K | 765K | -1.69M |
| Free Cash Flow | -774.66M | -168.38M | -78.45M | -330.21M | -30.68M |
| FCF Margin % | -181.79% | -47.24% | -30.29% | -204.17% | -21.43% |
| FCF Growth % | -640.41% | -114.63% | 76.24% | -976.13% | - |
| FCF per Share | -43.86 | -10.59 | -5.92 | -5.59 | -0.52 |
| FCF Conversion (FCF/Net Income) | -16.41x | 11.02x | 3.60x | 1.23x | 0.95x |
| Interest Paid | 0 | 0 | 19.2M | 10.14M | 2.18M |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 |
Aggressive capital intensity
As reported in recent financial statements, INR's operating cash flow frequently diverges from net income, with the 2026Q1 period showing a negative $1.9M net income against $58.4M in operating cash flow, highlighting a persistent disconnect between accounting profitability and actual cash generation capabilities.
The wide variance between net income and operating cash flow suggests that non-cash charges, particularly depletion and amortization, are significantly distorting the company's reported earnings. Investors should monitor whether this gap reflects genuine operational efficiency or merely the aggressive capitalization of costs that may eventually pressure future cash flows.
Based on the provided quarterly data, INR has consistently reported negative free cash flow, culminating in a $640.5M outflow in 2026Q1, which indicates that the company's current drilling and completion strategy is not yet self-funding through its own operational cash generation.
The persistent negative free cash flow trajectory suggests that the company is prioritizing rapid production growth over immediate cash preservation. This strategy may be sustainable only if the underlying assets demonstrate superior long-term productivity that justifies the current heavy capital burn.
According to historical cash flow filings, INR's capital expenditures have frequently exceeded revenue, with the 2026Q1 period showing a capital intensity ratio of 4.5% that masks the massive absolute dollar outflows required to sustain the company's aggressive horizontal drilling program in the Utica Shale.
The high level of capital expenditure relative to operating cash flow suggests that the company is in a heavy growth phase that requires constant external or internal funding. This capital intensity warrants further investigation into whether the current well-drilling pace is replacing reserves efficiently or merely chasing volume.
As indicated by recent quarterly reports, INR has experienced significant swings in working capital, including a $21.8M outflow in 2026Q1, which suggests that the company's cash conversion cycle is highly sensitive to the timing of commodity sales and the associated midstream processing costs.
The erratic nature of these working capital changes may indicate inefficiencies in inventory management or collection cycles typical of the energy sector. Such volatility complicates cash flow forecasting and may exacerbate the liquidity risks inherent in the company's low cash balance.
Quick answers to the most common questions about buying INR stock.
Infinity Natural Resources, Inc. (INR) generated $261.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Infinity Natural Resources, Inc. (INR) reported negative free cash flow of $168.4M in 2025, indicating capital requirements exceeded cash from operations.
Infinity Natural Resources, Inc. (INR) spent $430.2M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Infinity Natural Resources, Inc. (INR) spent $1.2M on share repurchases. This shows the company's commitment to returning capital to its equity investors.