Free cash flow remains persistently negative, with quarterly outflows as high as $5.6 million in 2024Q3, reflecting a business model entirely dependent on external financing.
| Cash from Operations | -15.07M | -15.68M | -17.81M | -14.35M | -12.77M | -10.59M | -5.65M | -2.13M | -1.27M |
| Operating CF Margin % | - | - | - | - | - | - | - | - | - |
| Operating CF Growth % | 85.73% | 11.99% | -24.16% | -12.37% | -20.54% | -87.41% | -165.59% | -67.35% | - |
| Net Income | -15.91M | -17.12M | -20.78M | -15.96M | -14.26M | -12.36M | -5.91M | -2.43M | -1.73M |
| Depreciation & Amortization | 16.56K | 17.28K | 190.49K | 14.62K | 10.08K | 6.76K | 3.39K | 1.63K | -2.54K |
| Stock-Based Compensation | 503.13K | 650.88K | 0 | 1.07M | 1.19M | 961.54K | 1.19M | 117.76K | 185.6K |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 515.31K | 139.02K | 549.36K | -5.17K | 906.49K | 203.22K | 0 | 0 | -76.32K |
| Working Capital Changes | -197.16K | 635.28K | 2.23M | 538.02K | -611.86K | 599.96K | -939.06K | 180.88K | 271.84K |
| Change in Receivables | 0 | 0 | -175.72K | 0 | 0 | 0 | 0 | 0 | 186.6K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | -884.66K | 0 | 1.64M | 0 | 0 | 0 | 0 | 372.66K | 70.24K |
| Cash from Investing | 12.07M | 11.06M | 3.37M | -930.21K | 179.27K | -19.53M | -16.14K | -5.72K | 5.34K |
| Capital Expenditures | -556 | -1.72K | -12.6K | -18.73K | -27.84K | -15.5K | -16.14K | -5.72K | 0 |
| CapEx % of Revenue | - | - | - | - | - | - | - | - | - |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 5.34K |
| Investments | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 5.34K |
| Cash from Financing | 1.5M | 1.5M | 66.71K | -500K | -2.18M | 63.42M | 23.66M | 2.92M | 535K |
| Debt Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 108.5K | 0 | 0 |
| Equity Issued (Net) | 1.64M | 1.64M | 66.71K | -500K | -4.96M | 68.06M | 52.5M | 2.92M | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | -500K | -2.48M | 0 | 0 | 0 | 0 |
| Other Financing | -139.75K | -139.75K | 0 | 0 | 2.78M | -4.64M | -28.94M | 0 | 535K |
| Net Change in Cash | -1.46M | -3.09M | -14.43M | -15.81M | -14.78M | 33.3M | 18M | 786.87K | -731.18K |
| Free Cash Flow | -15.07M | -15.68M | -17.83M | -14.37M | -12.8M | -10.61M | -5.67M | -2.13M | -1.27M |
| FCF Margin % | - | - | - | - | - | - | - | - | - |
| FCF Growth % | 21.21% | 12.04% | -24.09% | -12.27% | -20.63% | -87.15% | -165.64% | -67.8% | - |
| FCF per Share | -1.34 | -1.44 | -1.66 | -1.32 | -1.18 | -0.97 | -0.91 | -0.34 | -0.20 |
| FCF Conversion (FCF/Net Income) | 0.95x | 0.92x | 0.86x | 0.90x | 0.90x | 0.86x | 0.96x | 0.88x | 0.74x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Clinical Trial Funding Dependency
As reported in financial statements, LTRN's operating cash flow frequently tracks closely with net losses, with an OCF/NI ratio fluctuating between 0.56 and 1.24, indicating that cash burn is primarily driven by operational R&D spending rather than significant non-cash accruals or accounting adjustments.
The tight correlation between net income and operating cash flow suggests that the company's losses are largely cash-based, reflecting the high cost of clinical trial execution. Investors should monitor this relationship, as the lack of significant non-cash add-backs implies that the company's runway is directly tied to its ability to manage these recurring cash outflows.
Based on LTRN's reported figures, the company has consistently generated negative free cash flow over the last ten quarters, with quarterly outflows ranging from $2.8 million to $5.6 million, underscoring the absence of a self-sustaining business model in the current clinical development phase.
The persistent negative trajectory of free cash flow confirms that the firm remains entirely dependent on external financing to fund its pipeline. Without a transition to milestone-based revenue, the current burn rate appears to necessitate ongoing capital market access to maintain operations.
According to recent SEC filings, LTRN's working capital changes have been highly erratic, swinging from a $2.1 million inflow in 2024Q1 to a $914.3K outflow in 2024Q3, which suggests significant lumpiness in the timing of clinical trial-related payments and vendor obligations.
This volatility in working capital may indicate that the company's cash position is sensitive to the timing of clinical site payments and research contracts. Analysts should interpret these fluctuations as a reflection of the project-based nature of the firm's R&D activities rather than a structural improvement in cash management.
As noted in historical financial data, stock-based compensation has consistently added to the company's expense profile, reaching $285.5K in 2024Q4, which effectively masks the true cash cost of talent acquisition required to maintain the RADR platform's competitive edge.
While stock-based compensation is a non-cash expense, it represents a real economic cost to shareholders through dilution. The reliance on equity-based incentives suggests that management is attempting to preserve cash for clinical trials, though this strategy warrants further investigation regarding its long-term impact on shareholder value.
Quick answers to the most common questions about buying LTRN stock.
Lantern Pharma Inc. (LTRN) generated $-15.7M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Lantern Pharma Inc. (LTRN) reported negative free cash flow of $15.7M in 2025, indicating capital requirements exceeded cash from operations.
Lantern Pharma Inc. (LTRN) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.