Cash conversion remains weak, as evidenced by the 2026Q1 period where the company generated only $14.7K in operating cash flow despite reporting $11.8M in revenue.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Feb'17 | Feb'16 | Feb'15 | Feb'14 | Feb'13 | Feb'12 | Feb'11 | Feb'10 | Feb'09 | Feb'08 | Feb'07 | Feb'06 | Feb'05 | Feb'04 | Feb'03 | Feb'02 | Feb'01 | Feb'00 |
|---|
| Cash from Operations | 714.53K | 462.4K | -319.72K | -4.89M | -5.4M | -4.32M | -743.32K | 320.62K | 1.48M | 899.91K | -331.62K | 1.91M | 826.1K | 954.39K | 784.79K | 560.6K | 1.03M | 382.3K | 528.18K | 117.61K | -85.59K | -138.75K | -191.69K | -34.92K | 18.32K | -46.87K | -136.56K | 96.22K |
| Operating CF Margin % | - | 1.12% | -0.95% | -17.16% | -19.37% | -18.39% | -3.07% | 1.38% | 8.53% | 5.63% | -2.7% | 15.63% | 7.35% | 10.97% | 10.11% | 8.77% | 20.9% | 10.13% | 15.36% | 5.01% | -4.93% | -7.95% | -12.29% | -2.29% | 1.11% | -2.66% | -6.55% | 4.66% |
| Operating CF Growth % | -3931.46% | 244.63% | 93.47% | 9.47% | -25.12% | -481.11% | -331.84% | -78.33% | 64.42% | 371.37% | -117.32% | 131.79% | -13.44% | 21.61% | 39.99% | -45.49% | 169.02% | -27.62% | 349.08% | 237.41% | 38.31% | 27.62% | -448.87% | -290.62% | 139.09% | 65.68% | -241.93% | - |
| Net Income | -2.28M | -2.64M | -6.07M | -13.74M | -8.66M | -4.56M | -1.21M | 564.35K | 910.57K | 1.09M | -535K | 782.86K | 753.12K | 703.43K | 725.76K | 815.89K | 704.09K | 889.44K | 1.03M | -2.5K | -254.72K | -217.81K | -400.89K | -278K | -268.19K | -386.07K | -104.46K | 187.95K |
| Depreciation & Amortization | 790.67K | 810.5K | 888.47K | 870.39K | 587.14K | 463.13K | 418.6K | 340.23K | 309.26K | 308.71K | 300.61K | 271.57K | 283.88K | 232.96K | 190.97K | 103.98K | 65.77K | 64.8K | 79.36K | 68.2K | 60.43K | 79.09K | 81.82K | 80.55K | 81.44K | 84.84K | 84.97K | 87.8K |
| Stock-Based Compensation | 1.3M | 2.71M | 2.62M | 2.77M | 3.08M | 2.71M | 1.62M | 1.2M | 366.08K | 129.7K | 205.49K | 114.56K | 79.75K | 131.85K | 80.1K | 0 | 19.48K | 19.31K | 15.97K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 3.97M | -2.03M | -1.82M | 62.97K | -186.78K | -23.14K | -60.75K | -40.69K | -125.5K | 93.61K | -49K | 82.64K | 167K | 487.34K | -226.98K | -306K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 370.19K | -104.54K | 934.33K | 37.82K | 212.55K | -1.01K | 1.3M | -56.45K | -66.98K | 1.58M | -13.84K | 6.71K | 64.92K | 113.01K | 57.62K | -22.48K | -22.48K | -13.87K | 3.4K | 137.83K | 152.23K | 66.07K | 52.32K | 29.67K | -22.48K | 18.52K | 110.52K | -249.01K |
| Working Capital Changes | 529.73K | -319.17K | 1.3M | 1.2M | 1.4M | -1.11M | -2.93M | -1.55M | -16.13K | -349.85K | -248.19K | 864.61K | -369.42K | -46.01K | -272.2K | -503.8K | -225.74K | -350.41K | -295.4K | -85.91K | -43.52K | -66.09K | 75.06K | 132.86K | 227.56K | 235.85K | -227.59K | 69.49K |
| Change in Receivables | -33.12K | -489.2K | -1.68M | 457.18K | -220.17K | -1.74M | 669.74K | -1.8M | 475.66K | -418.86K | -132.49K | 286.43K | 113.75K | -633.6K | -230.12K | -170.82K | -58.95K | -166.22K | -191.54K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -1.2M | -874.46K | 677.63K | 2.92M | -298.53K | 723.43K | -4.44M | -284.6K | -445.2K | -304.98K | -313.43K | 186.36K | -407.91K | 331.41K | 17.33K | -499.26K | -33.62K | -12.73K | -70.82K | -61.29K | -142.35K | 24.18K | 7.41K | 2.64K | 219.01K | -13.77K | -30.98K | 17.68K |
| Change in Payables | 1.54M | 617.5K | 0 | -1.42M | 1.16M | 602.61K | 52.26K | 119.16K | -900 | -318.03K | 464.66K | 64.55K | -3.4K | 136.26K | -89.17K | 41.42K | 77.39K | -138.76K | -122.96K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -592.84K | -949.79K | -1.33M | -814.6K | -2.8M | -366.17K | -1.04M | 1.31M | -1.73M | -219.28K | -416.33K | -189.52K | -744.98K | -218K | -568.2K | -339.06K | -353.37K | -56.16K | -63.97K | -46.24K | -15.19K | -9.25K | -58.17K | 1.93K | -29.08K | -80.93K | -73.06K | -82.06K |
| Capital Expenditures | -578.96K | -932.52K | -1.3M | -782.95K | -2.76M | -346.18K | -920.6K | -425.54K | -481.17K | -218.33K | -415.13K | -201.74K | -743.78K | -216.42K | -566.42K | -236.24K | -200.97K | -56.16K | -63.97K | -46.24K | -15.19K | -9.25K | -55.17K | -16.38K | -23.47K | -80.93K | -73.06K | -177.48K |
| CapEx % of Revenue | 1.34% | 2.27% | 3.86% | 2.75% | 9.9% | 1.47% | 3.81% | 1.84% | 2.77% | 1.37% | 3.38% | 1.65% | 6.61% | 2.49% | 7.3% | 3.7% | 4.08% | 1.49% | 1.86% | 1.97% | 0.88% | 0.53% | 3.54% | 1.07% | 1.42% | 4.6% | 3.5% | 8.59% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 217.82K | 481.17K | 0 | 0 | 13.55K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -13.87K | -17.27K | -35.62K | -31.65K | -40.51K | -19.99K | -115.55K | -6.54K | -475.17K | -955 | -212.01K | -66.41K | -152.37K | -27.74K | -2.85K | 0 | -450 | -4.17K | -589 | 0 | 0 | 0 | -3K | 18.31K | -5.61K | 0 | 0 | 14.07K |
| Cash from Financing | -89.76K | -221.35K | -248.53K | -218.87K | 279.49K | 2.71M | 23.22M | 501.3K | 14.43K | -19.36K | -140.74K | -80.58K | 248.72K | -439.31K | -43.49K | 213.44K | -166.23K | -31.97K | -40.56K | -75.23K | 173.45K | 137.42K | 67.51K | 235.94K | 1.82K | 118K | 78K | -530.4K |
| Debt Issued (Net) | -111.21K | -379.98K | -107.96K | -218.87K | -127.14K | 505.94K | -5.3K | -4.78K | 0 | 0 | 0 | 0 | 0 | -439.31K | -43.49K | -40.94K | -29.48K | -31.97K | -40.56K | -87.23K | 181.45K | 60.42K | 75.51K | 243.94K | 9.82K | 130K | 70K | -679.88K |
| Equity Issued (Net) | 158.63K | 186.16K | -97.38K | 0 | 406.62K | 2.2M | 23.23M | 506.08K | 51.25K | -19.36K | -140.74K | -80.58K | -24.28K | 0 | 0 | 121.5K | 0 | 0 | 0 | 0 | 0 | 85K | 0 | 0 | 0 | 0 | 12K | 7.48K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -8K | -8K | -8K | -8K | -8K | -8K | -12K | -4K | -8K |
| Share Repurchases | -27.54K | 0 | -97.38K | 0 | 0 | 0 | -3.5M | -2.82K | -36.82K | -19.36K | -140.74K | -80.58K | -24.28K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -140 |
| Other Financing | -137.18K | -27.54K | -43.19K | 0 | 0 | 0 | 0 | 0 | -36.82K | 0 | 0 | 0 | 273K | 0 | 0 | 132.88K | -136.74K | 0 | 0 | 20K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 150K |
| Net Change in Cash | 31.94K | -708.74K | -1.9M | -5.93M | -7.93M | -1.98M | 21.44M | 2.13M | -235.73K | -227.41K | -888.68K | 1.64M | 329.84K | 297.08K | 173.1K | 434.97K | 508.87K | 294.17K | 423.65K | -3.86K | 72.67K | -10.58K | -182.35K | 202.94K | -8.93K | -9.8K | -131.62K | -516.24K |
| Free Cash Flow | 179.29K | -470.11K | -1.62M | -5.71M | -8.21M | -4.69M | -1.8M | -104.92K | 998.5K | 681.59K | -746.75K | 1.71M | 82.32K | 737.96K | 218.37K | 324.37K | 827.49K | 326.14K | 464.21K | 71.38K | -100.78K | -148K | -246.87K | -51.3K | -5.15K | -127.8K | -209.62K | -81.26K |
| FCF Margin % | 0.41% | -1.14% | -4.81% | -20.01% | -29.42% | -19.99% | -7.46% | -0.45% | 5.75% | 4.27% | -6.07% | 13.99% | 0.73% | 8.48% | 2.81% | 5.08% | 16.82% | 8.64% | 13.5% | 3.04% | -5.81% | -8.48% | -15.82% | -3.36% | -0.31% | -7.27% | -10.05% | -3.93% |
| FCF Growth % | 109.86% | 70.93% | 71.66% | 30.45% | -74.79% | -160.17% | -1619.87% | -110.51% | 46.5% | 191.27% | -143.59% | 1981.06% | -88.85% | 237.94% | -32.68% | -60.8% | 153.72% | -29.74% | 550.38% | 170.82% | 31.9% | 40.05% | -381.17% | -896.6% | 95.97% | 39.03% | -157.96% | - |
| FCF per Share | 0.00 | -0.01 | -0.04 | -0.13 | -0.18 | -0.11 | -0.04 | -0.00 | 0.03 | 0.02 | -0.02 | 0.05 | 0.00 | 0.02 | 0.01 | 0.01 | 0.02 | 0.01 | 0.01 | 0.00 | -0.00 | -0.01 | -0.01 | -0.00 | -0.00 | -0.01 | -0.01 | -0.00 |
| FCF Conversion (FCF/Net Income) | -0.08x | -0.18x | 0.05x | 0.36x | 0.62x | 0.95x | 0.61x | 0.57x | 1.62x | 0.83x | 0.62x | 2.45x | 1.10x | 1.36x | 1.08x | 0.69x | 1.46x | 0.43x | 0.51x | -47.06x | 0.34x | 0.64x | 0.48x | 0.13x | -0.07x | 0.12x | 1.31x | 0.38x |
| Interest Paid | 2.18K | 0 | 71.93K | 50.83K | 28.49K | 13.24K | 27.74K | 342 | 0 | 0 | 1.89K | 3.41K | 512 | 4.55K | 28.28K | 31.54K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 3.16K | 0 | 1.9K | 321.98K | 130.88K | 378K | 0 | 194.47K | 255K | 494.89K | 317.77K | 213.79K | 89.64K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Persistent operating cash burn
As reported in quarterly financial statements, KRMD exhibits a persistent disconnect between net income and operating cash flow, with the 2026Q1 period showing a net loss of $807.1K while generating a negligible $14.7K in operating cash, highlighting the company's struggle to convert accounting results into actual liquidity.
The consistent gap between net losses and operating cash flow suggests that the company's accrual-based earnings are not currently supported by cash-generative operations. Investors should monitor whether this divergence is a byproduct of aggressive customer acquisition costs or structural inefficiencies in the cash conversion cycle.
Based on the provided cash flow data, KRMD's free cash flow trajectory remains highly erratic, swinging from a positive $983.2K in 2024Q4 to a negative $680.9K in 2025Q1, which indicates that the company has yet to establish a predictable or sustainable path toward self-funded growth.
The lack of a stable FCF margin suggests that the business model is highly sensitive to quarterly fluctuations in working capital and capital expenditure timing. This volatility may indicate that the company's cash position is vulnerable to sudden shifts in operational requirements or unexpected delays in consumable revenue realization.
According to historical cash flow filings, working capital changes have been a primary driver of cash flow volatility, with a significant $1.6M inflow in 2024Q4 followed by a $349.8K outflow in 2025Q1, suggesting that the company's cash position is heavily dependent on the timing of inventory and receivables.
These swings imply that the company's cash flow is susceptible to the lumpy nature of stocking orders from specialty pharmacy partners. Such reliance on working capital management to bridge operational gaps warrants further investigation into the underlying stability of the company's customer payment cycles.
As indicated by the provided financial data, stock-based compensation remains a material non-cash adjustment, with figures reaching $972.8K in 2025Q4, which effectively obscures the true extent of the company's cash burn by inflating the reported net income relative to actual cash-based operational performance.
The reliance on equity-based incentives to manage cash outflows suggests that the company is attempting to preserve its limited cash reserves at the expense of shareholder dilution. Investors should carefully evaluate the impact of these non-cash charges on the company's long-term capital structure and overall cash-flow sustainability.
Quick answers to the most common questions about buying KRMD stock.
KORU Medical Systems, Inc. (KRMD) generated $0.5M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
KORU Medical Systems, Inc. (KRMD) reported negative free cash flow of $0.5M in 2025, indicating capital requirements exceeded cash from operations.
KORU Medical Systems, Inc. (KRMD) spent $0.9M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.