Operational efficiency is highlighted by a 22.5% FCF margin in 2026Q1, supported by an OCF/NI ratio of 1.05 that confirms strong cash conversion from core collection activities.
| Cash from Operations | 233.28M | 268.81M | 168.21M | 120.22M | -13.63M | -6.3M | -3.57M | -5.47M | -3.04M |
| Operating CF Margin % | - | 43.83% | 38.82% | 37.21% | -30.24% | -20.2% | -29.29% | -83.71% | -174.35% |
| Operating CF Growth % | -23.3% | 59.81% | 39.92% | 981.76% | -116.24% | -76.56% | 34.69% | -79.93% | - |
| Net Income | 174.35M | 187.97M | 128.89M | 111.54M | 44.41M | 54.37M | 14.56M | 16.02M | -2.94M |
| Depreciation & Amortization | 5.08M | 5.25M | 6.86M | 5.28M | 6.26M | 3.49M | 534K | 112K | 21K |
| Stock-Based Compensation | 0 | 17.22M | 0 | 0 | 2.15M | 1.93M | 1.29M | 1.08M | 305K |
| Deferred Taxes | 0 | 21.46M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 53.89M | 8.58M | 11.23M | 3.52M | -64.49M | -67.1M | -20.96M | -22.5M | -1.62M |
| Working Capital Changes | -13.55M | 28.32M | 21.22M | -127K | -1.96M | 1.01M | 997K | -178K | 1.2M |
| Change in Receivables | -148K | 4.59M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | -17.07M | 0 | 0 | 0 | 83K | 259K | 495K | -111K | 793K |
| Cash from Investing | -125.52M | -401.94M | -542.37M | -403.41M | -321.31M | -241.75M | -115.55M | -43.39M | -117.77M |
| Capital Expenditures | -645K | -1.08M | -939K | -1.23M | -166.58M | -274.99M | -155.54M | -45.09M | -64.9M |
| CapEx % of Revenue | 0.1% | 0.18% | 0.22% | 0.38% | 369.41% | 880.97% | 1275.83% | 690.36% | 3723.58% |
| Acquisitions | 0 | - | - | - | - | - | - | - | - |
| Investments | 1.94B | 1.95B | 0 | 0 | 11.25M | 14.15M | 13.86M | 5.37M | 0 |
| Other Investing | -124.87M | -400.86M | -541.43M | -396.59M | 1.01M | 1.99M | 12.48M | -12.9M | 0 |
| Cash from Financing | -95.04M | 149.7M | 388.82M | 289.86M | -4.17M | 34.97M | 72.66M | 36.2M | 106.09M |
| Debt Issued (Net) | 0 | - | - | - | - | - | - | - | - |
| Equity Issued (Net) | -58.91M | 10M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Dividends Paid | -47.94M | -63.45M | -36M | -30.56M | -41.72M | -30.59M | -16.95M | -8.49M | -4.3M |
| Share Repurchases | -58.91M | 0 | 0 | 0 | -572K | -333K | -177K | -3.19M | 0 |
| Other Financing | 2.4M | -15.35M | -7.27M | -5.9M | 37.55M | 65.56M | 89.61M | 44.69M | 110.39M |
| Net Change in Cash | 5.88M | 9.31M | 17.64M | 5.45M | -5.44M | -38.26M | -20.4M | 23.51M | 43.86M |
| Free Cash Flow | 232.64M | 267.73M | 162M | 118.99M | -180.21M | -281.29M | -159.11M | -50.56M | -67.94M |
| FCF Margin % | 36.64% | 43.65% | 37.39% | 36.83% | -399.64% | -901.17% | -1305.13% | -774.07% | -3897.93% |
| FCF Growth % | 1612.61% | 65.27% | 36.14% | 166.03% | 35.93% | -76.79% | -214.68% | 25.58% | - |
| FCF per Share | 4.18 | 8.92 | 2.78 | 2.04 | -8.35 | -16.25 | -13.36 | -8.14 | -15.08 |
| FCF Conversion (FCF/Net Income) | 1.33x | 1.43x | 1.60x | 1.08x | -0.31x | -0.12x | -0.25x | -0.34x | 1.03x |
| Interest Paid | 102.1M | 95.52M | 58.13M | 45.11M | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 9.16M | 8.43M | 8.67M | 9.04M | 0 | 0 | 0 | 0 | 0 |
Portfolio Acquisition Cost Inflation
As reported in recent financial filings, JCAP consistently demonstrates an OCF/NI ratio exceeding 1.0, with a notable spike to 23.0 in 2024Q4, suggesting that the firm's reported net income is effectively supported by actual cash inflows from its diversified debt recovery operations.
The consistent ability to generate operating cash flow in excess of net income indicates that the company's accrual-based revenue recognition is conservative and well-aligned with cash realization. Investors should monitor whether this conversion efficiency persists as the firm scales, as any sustained divergence could imply a shift toward more aggressive revenue recognition policies.
Based on the provided cash flow data, JCAP has transitioned from negative free cash flow in 2019 to a robust 22.5% FCF margin in 2026Q1, highlighting a significant improvement in the firm's ability to convert core collection activities into discretionary liquidity.
The trajectory of free cash flow suggests that the business has successfully moved past its heavy capital-intensive phase, allowing for greater financial flexibility. This trend appears to validate the firm's shift toward a leaner, more automated collection model that requires minimal ongoing capital expenditure to maintain.
According to historical cash flow statements, JCAP has successfully reduced its capital intensity, with CapEx/Revenue ratios dropping from 4.8% in 2019Q2 to negligible levels in recent quarters, signaling a transition toward a highly scalable, asset-light operational infrastructure.
The near-zero capital expenditure requirements suggest that the firm's primary investment is in the debt portfolios themselves rather than physical infrastructure. This low capital intensity appears to be a key driver of the firm's ability to maintain high operating margins while scaling its debt purchasing activities.
As evidenced by the 2026Q1 data, JCAP has shifted its capital deployment strategy toward significant share repurchases of $58.9 million, supplementing ongoing dividend payments and reflecting management's confidence in the firm's internal cash generation and long-term valuation prospects.
The move to prioritize share buybacks over aggressive debt-funded expansion suggests a disciplined approach to capital allocation that favors shareholder value. This strategy appears sustainable given the firm's robust cash flow generation, though investors should watch for potential trade-offs if future portfolio acquisition opportunities require significant liquidity.
Quick answers to the most common questions about buying JCAP stock.
Jefferson Capital, Inc. Common Stock (JCAP) generated $268.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Jefferson Capital, Inc. Common Stock (JCAP) generated $267.7M 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.
Jefferson Capital, Inc. Common Stock (JCAP) spent $1.1M 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, Jefferson Capital, Inc. Common Stock (JCAP) returned $63.5M to shareholders via cash dividends. This shows the company's commitment to returning capital to its equity investors.