The firm's cash consumption is significant, as evidenced by an extreme OCF/NI ratio of 1880.08 in 2025Q3, which indicates that non-cash adjustments are masking the underlying reality of persistent negative free cash flow.
| Cash from Operations | -2.36B | -3.95M | -3.15M | -1.83M | -989.27K | -28.58K | -39.12K |
| Operating CF Margin % | - | -736.59% | -700.63% | -994.35% | -381.45% | -2.97% | -5.63% |
| Operating CF Growth % | -361003.99% | -25.41% | -72.03% | -85.1% | -3361.77% | 26.94% | - |
| Net Income | -5.33M | -5.02M | -4.62M | -2.6M | -1.87M | -61.66K | -61.85K |
| Depreciation & Amortization | 2.17M | 2.89K | 1.69K | 0 | 0 | 0 | 0 |
| Stock-Based Compensation | 80.67K | 749.4K | 1.36M | 747.4K | 728.8K | 57.71K | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 1.53B | 200K | 121.2K | 9.61K | -50.21K | 7.64K | 18.73K |
| Working Capital Changes | 369.87K | 113.23K | -9.11K | 9.52K | 197.61K | -32.28K | 14.34K |
| Change in Receivables | 0 | 0 | 0 | -113.66K | 69.03K | 14.86K | -43.78K |
| Change in Inventory | 0 | 0 | 0 | 113.66K | 0 | -14.86K | 0 |
| Change in Payables | 74.63M | 250.18K | -246.34K | 337.46K | 22.36K | -24.8K | 33.44K |
| Cash from Investing | 0 | 0 | -14.43K | 300.55K | -300.55K | 0 | 0 |
| Capital Expenditures | 0 | 0 | -14.43K | 0 | 0 | 0 | 0 |
| CapEx % of Revenue | 0% | 0% | 3.21% | - | - | - | - |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | -300.55M | 0 | 0 | 0 |
| Cash from Financing | 4.22B | 2.84M | 1.34M | 5.24M | 2.1M | 609.31K | 25K |
| Debt Issued (Net) | 0 | 0 | -275K | 275K | 0 | 57.04K | 25K |
| Equity Issued (Net) | 6.91M | 2.84M | 1.61M | 4.96M | 2.1M | 552.27K | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 4.21B | 0 | 0 | 0 | 0 | 0 | 0 |
| Net Change in Cash | 1.85B | -1.11M | -1.83M | 3.71M | 807.09K | 580.73K | -14.12K |
| Free Cash Flow | -2.36B | -3.95M | -3.16M | -1.83M | -989.27K | -28.58K | -39.12K |
| FCF Margin % | -1359858.31% | -736.59% | -703.84% | -994.35% | -381.45% | -2.97% | -5.63% |
| FCF Growth % | -63934.26% | -24.84% | -72.82% | -85.1% | -3361.77% | 26.94% | - |
| FCF per Share | -519.14 | -3.77 | -4.22 | -3.61 | -2.32 | -0.11 | -0.15 |
| FCF Conversion (FCF/Net Income) | 443.10x | 0.79x | 0.68x | 0.70x | 0.53x | 0.46x | 0.63x |
| Interest Paid | 7.93K | 11.91K | 11.36K | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Capital Access and Dilution
According to quarterly financial disclosures, Lipella's operating cash flow consistently tracks net losses, with the OCF/NI ratio reaching an extreme 1880.08 in 2025Q3, suggesting that non-cash adjustments and working capital fluctuations are masking the underlying reality of the company's persistent and accelerating cash consumption profile.
The extreme divergence between net income and operating cash flow appears driven by significant non-cash charges, which complicates the assessment of true operational efficiency. Investors should monitor whether these adjustments represent sustainable accounting practices or merely reflect the volatility inherent in a pre-commercial biotech entity.
As reported in recent financial statements, Lipella's free cash flow remains deeply negative, with quarterly outflows frequently exceeding $1 million, indicating that the company's clinical development activities are entirely dependent on external financing rather than internally generated cash flows to sustain its ongoing research and development pipeline.
The persistent negative FCF trajectory suggests that the company is currently in a high-intensity capital consumption phase with no immediate path to self-funding. This trend warrants further investigation into the timing of clinical milestones, as any delay will likely exacerbate the existing cash burn rate.
Based on the provided cash flow data, working capital changes have fluctuated significantly, ranging from a $606,000 outflow in 2024Q1 to a $411,400 inflow in 2024Q3, which suggests that the company's liquidity management is highly sensitive to the timing of research-related payments and grant-based revenue recognition.
This volatility in working capital appears to be a byproduct of the company's project-based revenue model rather than disciplined operational management. Such fluctuations may indicate underlying challenges in timing cash inflows to match the rigid payment schedules required for clinical trial operations.
As indicated by the cash flow statements, the company's reliance on stock-based compensation and non-cash depreciation adjustments, such as the $2.2 million charge in 2025Q3, obscures the true economic cost of operations, potentially misleading investors regarding the actual cash required to maintain the current clinical trial trajectory.
The significant non-cash charges suggest that the reported operating cash flow may not fully capture the total economic burden of the company's R&D efforts. Analysts should be cautious, as these accounting adjustments may mask the true rate at which the company is depleting its limited cash reserves.
Quick answers to the most common questions about buying LIPO stock.
Lipella Pharmaceuticals Inc. (LIPO) generated $-4.0M in net cash from operating activities in 2024. This reflects the cash generated directly from core business operations.
Lipella Pharmaceuticals Inc. (LIPO) reported negative free cash flow of $4.0M in 2024, indicating capital requirements exceeded cash from operations.
Lipella Pharmaceuticals Inc. (LIPO) spent $0.0M on capital expenditures in 2024. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.