Free cash flow generation remains unstable, highlighted by a massive $81.8M working capital inflow in 2025Q2 followed by a $37.7M outflow in 2026Q1, complicating the assessment of normalized cash conversion.
| Metric | TTM | Oct'25 | Sep'24 | Sep'23 | Oct'22 | Oct'21 | Oct'20 | Sep'19 | Sep'18 | Sep'17 | Sep'16 | Sep'15 | Sep'14 | Sep'13 | Sep'12 | Sep'11 | Sep'10 | Sep'09 | Sep'08 | Sep'07 | Sep'06 | Sep'05 | Sep'04 | Sep'03 | Sep'02 | Sep'01 | Sep'00 | Sep'99 | Sep'98 | Sep'97 | Sep'96 |
|---|
| Cash from Operations | 16.12M | 113.56M | 31.04M | 173.4M | 390.19M | 300.03M | 94.41M | 65.97M | 123.5M | 136.31M | 68.41M | 87.88M | 82.46M | 94.82M | 182.47M | 200.4M | 85.8M | -53.52K | 28.06M | 31.76M | 63.31M | -2.69M | 71.26M | -29.1M | -72M | 71.87M | 134.1M | -37.9M | 21.7M | 40.2M | 38.9M |
| Operating CF Margin % | - | 17.36% | 4.39% | 23.35% | 25.95% | 19.77% | 15.15% | 12.21% | 13.89% | 16.85% | 10.91% | 16.38% | 14.5% | 17.73% | 23.07% | 24.13% | 11.25% | -0.02% | 8.55% | 4.54% | 9.09% | -0.56% | 11.96% | -6.09% | -16.31% | 12.95% | 14.91% | -9.5% | 5.28% | 8.01% | 10.2% |
| Operating CF Growth % | -383.54% | 265.9% | -82.1% | -55.56% | 30.05% | 217.79% | 43.12% | -46.59% | -9.4% | 99.26% | -22.15% | 6.57% | -13.04% | -48.03% | -8.94% | 133.56% | 160406.04% | -100.19% | -11.65% | -49.83% | 2456.96% | -103.77% | 344.87% | 59.58% | -200.19% | -46.41% | 453.82% | -274.65% | -46.02% | 3.34% | 76.82% |
| Net Income | 3.09M | 213K | -69.01M | 57.15M | 433.55M | 367.16M | 52.3M | 11.65M | 56.68M | 126.1M | 48.45M | 51.91M | 62.99M | 59.36M | 160.58M | 127.61M | 142.14M | -63.61M | -19.62M | 37.73M | 52.17M | -104.08M | 55.88M | -76.69M | -274.12M | -65.25M | 103.25M | -16.9M | -5.4M | 38.4M | 11.8M |
| Depreciation & Amortization | 15.89M | 17.97M | 24.73M | 28.86M | 21.29M | 19.81M | 19.74M | 20.3M | 19.02M | 16.26M | 16.23M | 18.97M | 13.52M | 18.49M | 17.27M | 17.76M | 17.53M | 21.23M | 9.08M | 10.91M | 9.52M | 12.96M | 13.71M | 37.85M | 44.31M | 53.85M | 24.26M | 16M | 13.3M | 11.3M | 9.7M |
| Stock-Based Compensation | 14.89M | 28.53M | 26.89M | 22.74M | 18.99M | 15.49M | 15.02M | 14.33M | 11.69M | 11.72M | 5.73M | 11.99M | 11.34M | 10.67M | 8.51M | 7.5M | 8.95M | 2.2M | 6.58M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 2.27M | 2.75M | 11.37M | -4.48M | -8.65M | -9.82M | -827K | 8.82M | 22.52M | -16.76M | -15.46M | -16.67M | 4.49M | 5.9M | 3.96M | 19.77M | -4.74M | -6.81M | -3.15M | -1.99M | 560K | -3.9M | 466K | 0 | 32.81M | -37.56M | 15.22M | -8.5M | -1.1M | 200K | -2.1M |
| Other Non-Cash Items | 22.7M | 72.67M | 116.25M | 26.71M | -9.04M | -4.28M | 987K | -312K | 2.68M | 50.56M | 7.63M | -2.79M | 3.09M | 1.11M | 5.48M | 16.38M | 6.69M | 10.22M | 14.47M | -1.59M | 7.92M | 118.61M | 29.35M | 27.75M | 125.79M | 33.85M | 28.27M | 18.3M | 17.7M | 12.7M | 5.7M |
| Working Capital Changes | -94.66M | -8.56M | -79.21M | 42.43M | -65.94M | -88.33M | 7.19M | 11.16M | 10.92M | -51.57M | 5.82M | 24.46M | -12.97M | -706K | -13.32M | 11.38M | -84.78M | -16.75M | 20.71M | -13.29M | -6.86M | -26.27M | -28.15M | -18.02M | -800K | 86.98M | -36.9M | -46.8M | -2.8M | -22.4M | 13.8M |
| Change in Receivables | -82.17M | 10.06M | -34.71M | 152.67M | 113.34M | -221.92M | -1.93M | 47.4M | -45.15M | -67.88M | -22.14M | 72.3M | -9.29M | 26.41M | -49.11M | 55.31M | -101.1M | -16.57M | 60.98M | -43.87M | 8.55M | -36.1M | -14.89M | -5.53M | -10.19M | 110.47M | -55.49M | -66.8M | 38.9M | -58M | 39M |
| Change in Inventory | -65.13M | -26.1M | -31.51M | -35.76M | -14.92M | -52.72M | -26.19M | 24.11M | 1.63M | -47.42M | -16.34M | -14.47M | -14.62M | 17.06M | 8.14M | -6.12M | -34.06M | 2.33M | 6.95M | -11.13M | -2.79M | -1.38M | -20.94M | 2.45M | 9.08M | 2.57M | -19.27M | -14.7M | -6.1M | -4.8M | -6.4M |
| Change in Payables | 60.31M | 24.12M | 185K | -52.33M | -128.73M | 181.96M | 38.15M | -53.76M | -30.87M | 63.42M | 32.69M | -34.11M | -1.27M | -36.07M | 33.55M | -43.45M | 54.08M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | 122.73M | 27.66M | -138.5M | -91.34M | 133.8M | -81.71M | -125.96M | 47.47M | -96.87M | -145.2M | -5.17M | -94.11M | -15.97M | -15.11M | -15.39M | -11.11M | -6.43M | 98.4K | -29.79M | -29.95M | 11.06M | 8.39M | -36.83M | 8.35M | 6.37M | -268.58M | -143.5M | -1.7M | -52.4M | -31.8M | -64M |
| Capital Expenditures | -11.8M | -17.2M | -16.15M | -44.41M | -22.98M | -22.77M | -11.72M | -11.74M | -20.5M | -25.59M | -6.22M | -10.27M | -10.14M | -17.17M | -6.9M | -7.69M | -6.27M | -5.26M | -7.85M | -5.76M | -9.5M | -7.79M | -9.81M | -10.97M | -20.39M | -48.64M | -38.3M | -10.9M | -16.1M | -13.5M | -18M |
| CapEx % of Revenue | 1.54% | 2.63% | 2.29% | 5.98% | 1.53% | 1.5% | 1.88% | 2.17% | 2.31% | 3.16% | 0.99% | 1.91% | 1.78% | 3.21% | 0.87% | 0.93% | 0.82% | 2.34% | 2.39% | 0.82% | 1.36% | 1.64% | 1.65% | 2.3% | 4.62% | 8.76% | 4.26% | 2.73% | 3.92% | 2.69% | 4.72% |
| Acquisitions | -986K | -341K | -2.38M | -37.52M | -397K | -24.22M | -1.29M | -5M | 0 | -28.43M | 0 | -93.15M | 0 | 0 | -14.85M | 0 | 0 | -87.04M | 0 | -28.16M | 0 | 0 | 0 | 0 | -96K | -284.93M | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 147K | 207K | 27K | 591K | 181K | 291K | 50K | 210K | 625K | 1.35M | 1.05M | 180K | 44K | 5.31M | 0 | 237K | 2.83M | 184.58M | -27.34M | 1.97M | 27.39M | 346K | 266K | 1.64M | 1.47M | 8.34M | -2.15M | 21.4M | -100.2M | -23.8M | -44.8M |
| Cash from Financing | -89.28M | -153.07M | -196.1M | -111.88M | -321.19M | -44.26M | -145.81M | -71.32M | -99.14M | -22.68M | -14.49M | -84.46M | -164K | 1.73M | -105.14M | 9.3M | -46.12M | -45.44K | -3.28M | 14.38M | -19.79M | 13.6M | -39.82M | 563K | -247K | 140.2M | 183.76M | 100K | -400K | 53.8M | 41.9M |
| Debt Issued (Net) | -437K | -412K | -564K | -629K | -509K | -379K | -61.03M | 60.13M | -704K | -604K | -542K | -9.98M | 0 | 0 | -110M | 0 | -48.96M | -84.36M | -3.83M | 55.98M | -26.63M | 10.62M | -43.47M | -205K | -1.69M | 119.1M | 168.99M | -200K | -800K | -51.1M | 41.5M |
| Equity Issued (Net) | -45.49M | -97.11M | -150.79M | -69.21M | -281.32M | -10.43M | -54.55M | -99.9M | -90.31M | -18.2M | -14.55M | -75.72M | -419K | 0 | 0 | 0 | -29K | 38.7M | 549K | -41.59M | 6.84M | 1.1M | 4.16M | 424K | 1.44M | 1.1M | 14.78M | 300K | 400K | 104.9M | 400K |
| Dividends Paid | -43.01M | -54.06M | -44.16M | -42.04M | -39.36M | -33.45M | -30.23M | -31.57M | -8.18M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -45.49M | -97.11M | -150.79M | -69.21M | -281.32M | -10.43M | -54.55M | -99.9M | -90.31M | -18.2M | -14.55M | -75.72M | -419K | 0 | 0 | 0 | -29K | 0 | 0 | -46.12M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -342K | -1.49M | -583K | 0 | 0 | 0 | 0 | 14K | 55K | -3.88M | 607K | 1.23M | 255K | 1.73M | 4.86M | 9.3M | 2.87M | 223K | 0 | 0 | 0 | 0 | -93K | 344K | 0 | 20M | 0 | 0 | 0 | 0 | 0 |
| Net Change in Cash | 51.34M | -11.44M | -302.25M | -26.14M | 192.75M | 174.66M | -176.06M | 43.04M | -71.79M | -31.5M | 49.29M | -89.37M | 66.19M | 81.54M | 62.06M | 200.08M | 33.55M | -372 | -5.64M | 16.6M | 54.51M | 19.12M | -5.39M | -20.26M | -65.87M | -56.45M | 174.33M | -39.3M | -31.1M | 62.3M | 16.7M |
| Free Cash Flow | 4.32M | 96.36M | 14.89M | 129M | 367.2M | 277.26M | 82.69M | 54.23M | 103M | 110.72M | 62.19M | 77.61M | 72.32M | 77.65M | 175.57M | 192.71M | 79.53M | -145.82M | 20.21M | 26M | 53.81M | -10.47M | 61.45M | -40.08M | -92.39M | 23.23M | 95.79M | -48.8M | 5.6M | 26.7M | 20.9M |
| FCF Margin % | 0.56% | 14.73% | 2.11% | 17.37% | 24.42% | 18.27% | 13.27% | 10.04% | 11.58% | 13.69% | 9.92% | 14.47% | 12.72% | 14.52% | 22.2% | 23.21% | 10.43% | -64.74% | 6.16% | 3.71% | 7.73% | -2.2% | 10.31% | -8.39% | -20.92% | 4.19% | 10.65% | -12.23% | 1.36% | 5.32% | 5.48% |
| FCF Growth % | -96.91% | 547.2% | -88.46% | -64.87% | 32.44% | 235.28% | 52.5% | -47.36% | -6.97% | 78.04% | -19.87% | 7.31% | -6.86% | -55.77% | -8.89% | 142.31% | 154.54% | -821.51% | -22.27% | -51.68% | 613.77% | -117.04% | 253.34% | 56.62% | -497.66% | -75.75% | 296.3% | -971.43% | -79.03% | 27.75% | 86.61% |
| FCF per Share | 0.08 | 1.81 | 0.27 | 2.24 | 6.00 | 4.37 | 1.31 | 0.82 | 1.46 | 1.54 | 0.88 | 1.03 | 0.94 | 1.02 | 2.33 | 2.63 | 1.08 | -2.34 | 0.38 | 0.38 | 0.78 | -0.15 | 0.90 | -0.81 | -1.88 | 0.48 | 1.70 | -1.04 | 0.12 | 0.62 | 0.53 |
| FCF Conversion (FCF/Net Income) | 1.40x | 533.17x | -0.45x | 3.03x | 0.90x | 0.82x | 1.81x | 5.66x | 2.18x | 1.08x | 1.41x | 1.69x | 1.31x | 1.60x | 1.14x | 1.57x | 0.60x | 0.00x | 7.34x | 0.84x | 1.21x | 0.03x | 1.28x | 0.38x | 0.26x | -1.10x | 1.30x | 2.24x | -4.02x | 1.05x | 3.30x |
| Interest Paid | -63K | 134K | 89K | 142K | 208K | 218K | 1.72M | 1.63M | 1.05M | 1.06M | 1.11M | 1.18M | 1.05M | 0 | 633K | 963K | 1.45M | 1.71M | 1.97M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | -17.86M | 23.74M | 22.79M | 56.25M | 50.31M | 51.86M | 13.27M | 22.07M | 13.18M | 8.28M | 10.02M | 5.19M | 4.6M | 8.38M | 10.85M | 11.47M | 3.12M | 11.03M | 4.7M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Cyclical OSAT demand volatility
As reported in recent financial filings, KLIC's operating cash flow to net income ratio has fluctuated wildly, reaching a low of -2.24 in 2025Q3, which suggests that reported net income is currently a poor proxy for the company's actual ability to generate cash from core operations.
The significant divergence between net income and operating cash flow indicates that non-cash charges and working capital swings are heavily distorting the bottom line. Investors should monitor whether this disconnect persists, as it complicates the assessment of the company's underlying earnings quality during this cyclical trough.
Based on the provided quarterly data, KLIC's free cash flow trajectory remains highly erratic, with margins swinging from a peak of 48.1% in 2025Q2 to a negative 15.5% in 2024Q2, reflecting the company's sensitivity to the timing of capital equipment shipments and customer acceptance cycles.
The inability to maintain consistent positive free cash flow suggests that the company's current business model is highly susceptible to the cyclicality of the OSAT industry. This volatility warrants further investigation into whether the recent cash flow improvements are sustainable or merely a temporary result of inventory liquidation.
According to the company's cash flow statements, working capital changes have been the primary driver of cash flow variance, with a massive $81.8M inflow in 2025Q2 followed by a $37.7M outflow in 2026Q1, highlighting the company's reliance on inventory and receivable management to fund operations.
These dramatic shifts in working capital suggest that KLIC's cash position is heavily dependent on the timing of large-scale customer payments and inventory turnover. Such fluctuations imply that the company's liquidity is more a function of operational timing than consistent, recurring cash generation.
As evidenced by the reported figures, KLIC has continued to prioritize shareholder returns through dividends and buybacks, totaling over $30M in some quarters, despite the company's net income frequently dipping into negative territory, which may indicate a management preference for maintaining investor confidence over liquidity preservation.
The decision to maintain dividend payments and share repurchases during periods of negative net income appears aggressive given the current cyclical downturn. Investors should monitor whether this capital allocation strategy remains viable if the current revenue contraction persists and further pressures the company's cash reserves.
Quick answers to the most common questions about buying KLIC stock.
Kulicke and Soffa Industries, Inc. (KLIC) generated $113.6M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Kulicke and Soffa Industries, Inc. (KLIC) generated $96.4M 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.
Kulicke and Soffa Industries, Inc. (KLIC) spent $17.2M 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, Kulicke and Soffa Industries, Inc. (KLIC) returned $54.1M to shareholders via cash dividends and spent $97.1M on share repurchases. This shows the company's commitment to returning capital to its equity investors.