Cash generation remains highly erratic, evidenced by a 2026Q1 free cash flow margin of -20.1% and an OCF/NI ratio that swung to -1.19, highlighting significant volatility in working capital management.
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Sep'21 | Sep'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 | -56.86M | -23.55M | 79.28M | 79.52M | 126.86M | 162.81M | 180.45M | 131.08M | 147.57M | 149.3M | 140.27M | 141.06M | 92.4M | 109.33M | 82.12M | 95.56M | 106.49M | 90.86M | 104.54M | 74.6M | 66.08M | 73.43M | 83.27M | 58.49M | 55.48M | 38.4M | 37.97M | 27.77M | 34.8M | 37.5M | 19.2M |
| Operating CF Margin % | - | -1.57% | 4.42% | 4.23% | 7.2% | 9.74% | 12.04% | 8.53% | 9.21% | 9.85% | 9.47% | 9.89% | 8.35% | 11.1% | 9.12% | 10.63% | 12.96% | 11.63% | 12.77% | 9.96% | 9.23% | 11.48% | 16.37% | 12.75% | 12.96% | 13.56% | 14.47% | 11.61% | 16.45% | 19.82% | 11.16% |
| Operating CF Growth % | -491.79% | -129.7% | -0.3% | -37.31% | -22.08% | -9.77% | 37.66% | -11.17% | -1.16% | 6.43% | -0.56% | 52.67% | -15.48% | 33.12% | -14.06% | -10.26% | 17.2% | -13.09% | 40.14% | 12.89% | -10% | -11.82% | 42.38% | 5.42% | 44.48% | 1.14% | 36.69% | -20.19% | -7.2% | 95.31% | -4.95% |
| Net Income | 9.71M | -24.47M | -59.66M | 39.14M | -99.83M | 2.86M | -87.65M | -38.89M | 107.11M | 73.93M | 66.16M | 63.29M | 44.32M | 54.77M | 55.2M | 73.46M | 71.77M | 57.73M | 79.48M | 64.73M | 66.44M | 59.82M | 56.2M | 44.89M | 35.01M | 31.6M | 27.92M | 25M | 22.5M | 19.6M | 20.3M |
| Depreciation & Amortization | 32.2M | 71.75M | 94.77M | 96.53M | 104.06M | 133.51M | 119.06M | 90.79M | 76.97M | 67.98M | 65.48M | 62.62M | 42.86M | 37.87M | 28.82M | 27.66M | 27.32M | 30.29M | 24.93M | 20.53M | 21.46M | 19.89M | 15.63M | 14.87M | 13.86M | 12.93M | 12.01M | 10.6M | 8M | 6M | 7.3M |
| Stock-Based Compensation | 6.93M | 0 | 18.48M | 17.31M | 17.43M | 15.58M | 8.1M | 7.73M | 13.46M | 14.56M | 10.61M | 9.1M | 6.81M | 5.56M | 5.47M | 6.97M | 6.57M | 5.82M | 4.9M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 28.47M | 0 | 0 | -21.63M | -32.96M | 4.16M | -16.61M | -6.78M | -23.13M | 9.72M | -3.97M | 9.19M | 5.89M | 3.81M | 6.05M | 9.48M | 4.3M | 7.51M | 7.27M | 7.83M | -2.15M | 1.8M | 1.01M | 5.13M | 5.29M | 709K | 1.04M | 617K | -2.2M | 100K | -600K |
| Other Non-Cash Items | -164.17M | -25.82M | 7.58M | -16.32M | 108.57M | -6.28M | 89.91M | 90.72M | -12.45M | -7.97M | -9.06M | -5.05M | -2.46M | -5.94M | -5.26M | -2.83M | -544K | -8.16M | 0 | 3.51M | 4.85M | 5.58M | 1.06M | 6.05M | 10.23M | -7.61M | -87.39K | 456K | 400K | 0 | 2.2M |
| Working Capital Changes | 12.1M | -45.01M | 18.11M | -35.5M | 29.59M | 12.98M | 67.64M | -12.48M | -14.4M | -8.93M | 11.06M | 1.92M | -5.03M | 13.25M | -8.17M | -19.18M | -2.93M | -2.33M | -16.26M | -21.62M | -24.41M | -13.67M | 9.37M | -12.46M | -8.9M | 768K | -2.92M | -8.92M | 6.1M | 11.9M | -25.4M |
| Change in Receivables | 0 | -19.8M | -9.68M | 26.46M | 74.01M | -13.42M | 24.05M | 8.78M | -790K | -7.04M | -10.63M | 7.57M | -13.49M | -2.59M | -5.17M | -5.56M | -7.71M | 8.83M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | 0 | 11.69M | 27.02M | -23.99M | -23.46M | -12.84M | 5.98M | 830K | -2.87M | -2.29M | 10.45M | 17M | 4.43M | 2.87M | -3.46M | -13.63M | -1.61M | 4.75M | 9.36M | -2.13M | -10.86M | 0 | 0 | -2.62M | 0 | 728K | -574K | 1.1M | 500K | 2.1M | 600K |
| Change in Payables | 0 | 2.96M | -6.49M | -9.21M | 7.44M | 29.62M | 8.36M | 3.71M | 2.52M | 5.67M | -11.08M | -9.1M | 5.72M | -1.21M | 1.02M | 6.21M | 3.68M | 1.44M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | 400.93M | 159.59M | -46.97M | -58.73M | -80.85M | -12.99M | -2.72M | -60.76M | -162.34M | -141.62M | -47.14M | -263.17M | -411.08M | -98.63M | -45.27M | -106.81M | -54.25M | -32.69M | -108.72M | -38.69M | -48.78M | -138.96M | -82.84M | -13.33M | -86.64M | -54.5M | -24.42M | -18M | -5.7M | -7.7M | -34.2M |
| Capital Expenditures | -13.38M | -35.82M | -45.22M | -50.6M | -61.32M | -34.31M | -34.85M | -37.69M | -43.2M | -44.94M | -41.68M | -48.25M | -29.24M | -24.92M | -33.24M | -22.44M | -21.44M | -19.41M | -12.05M | -20.65M | -19.4M | -28.07M | -10.4M | -9.28M | -10.06M | -7.26M | -7.67M | -24.1M | -23.6M | -6.2M | -5.4M |
| CapEx % of Revenue | 1.1% | 2.39% | 2.52% | 2.69% | 3.48% | 2.05% | 2.33% | 2.45% | 2.7% | 2.96% | 2.82% | 3.38% | 2.64% | 2.53% | 3.69% | 2.5% | 2.61% | 2.49% | 1.47% | 2.76% | 2.71% | 4.39% | 2.04% | 2.02% | 2.35% | 2.56% | 2.92% | 10.07% | 11.15% | 3.28% | 3.14% |
| Acquisitions | 171.86M | -55.83M | -5.28M | -8.64M | -44.47M | -15.62M | 41.21M | -11.5M | -121.06M | -98.23M | -6.94M | -203.05M | -382.1M | -73.96M | -12.54M | -84.37M | -32.32M | -10.95M | -98.07M | -23.78M | -32.28M | -109.35M | -74.49M | -9.46M | -88.77M | -63.57M | -12.24M | 200K | 500K | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 242.45M | 251.24M | 4.16M | 2.12M | 5.3M | -31.54M | -34.23M | -16.18M | 4.71M | -41.17M | 1.48M | -11.86M | 262K | 252K | -31.77M | 1.46M | 196K | -19.11M | 980K | 6.86M | 3.11M | 1.1M | 1.48M | 5.57M | 3.23M | 18.66M | 414.69K | 400K | 600K | -1.5M | -28.8M |
| Cash from Financing | -364.46M | -144.27M | -35.04M | -50.2M | -37.21M | -122.85M | -172.25M | -75.04M | 901K | -7.18M | -108.85M | 131.22M | 338.06M | -10.82M | -40.97M | 10.4M | -51.49M | -53.6M | 13.12M | -27.11M | -28.77M | 44.79M | -3.16M | -45.18M | 58.54M | 16M | -14.36M | -2.2M | -23.1M | -21.7M | -11.9M |
| Debt Issued (Net) | -289.21M | -67M | -31.34M | -18.22M | 35.69M | -76.77M | -126.28M | -16.04M | 53.02M | 28.6M | -29.96M | 179.16M | 357.28M | 33.19M | 274K | 68.89M | -8.84M | -15.66M | 43.06M | 17.75M | -2.12M | 75.74M | 6.43M | -43.99M | 55.12M | 31.11M | -1.46M | 13.35M | -1.2M | -4.5M | -400K |
| Equity Issued (Net) | -12.96M | -12.23M | -20.57M | -2.86M | -41.72M | -11.86M | -4.43M | -26.13M | -21.18M | -14.03M | -58M | -14.57M | -9.9M | -21.62M | -30.75M | -42.64M | -33.73M | -27.56M | -24.07M | -40M | -15.46M | -22.04M | -4.26M | 6.17M | 6.7M | -12.04M | -9.92M | -14.04M | -19.1M | -14.4M | -8.8M |
| Dividends Paid | -25.19M | -32.76M | -31.41M | -28.2M | -27.68M | -27.7M | -26.44M | -25.62M | -24.64M | -21.76M | -19.41M | -17.85M | -13.4M | -11.28M | -10.32M | -9.63M | -8.69M | -10.49M | -7.44M | -7.08M | -6.55M | -5.92M | -5.32M | -3.9M | -3.28M | -3.08M | -2.98M | -2.9M | -2.8M | -2.8M | -2.6M |
| Share Repurchases | -12.96M | -12.23M | -20.57M | -2.86M | -41.72M | -11.86M | -4.43M | -26.13M | -21.18M | -14.03M | -58M | -14.57M | -9.9M | -21.62M | -31.02M | -44.57M | -35.3M | -28.76M | -43.27M | -56.53M | -17.49M | -27.93M | -14.89M | -6.62M | -124K | -12.3M | -13.22M | -15.72M | -23.1M | -17.2M | -9.2M |
| Other Financing | -37.09M | -32.29M | 48.28M | -912K | -3.5M | -6.52M | -15.1M | -7.26M | -6.3M | 14K | -1.48M | -15.53M | 4.08M | -11.11M | -170K | -6.22M | -234K | 111K | 1.57M | 2.23M | -4.63M | -2.98M | 0 | -3.46M | 0 | 0 | -263 | 1.37M | 0 | 0 | -100K |
| Net Change in Cash | -8.89M | -8.38M | -1.28M | -29.31M | 3.07M | 27.01M | 6.03M | -6.27M | -15.94M | 1.8M | -16.48M | 9.19M | 16.64M | -273K | -3.4M | 556K | 1.98M | 7.07M | 6.67M | 14.28M | -9.84M | -26.27M | -1.12M | 9.85M | 28.41M | -459K | -2.38M | 6.1M | 5.4M | 7.5M | -26.8M |
| Free Cash Flow | -79.67M | -59.37M | 34.06M | 28.93M | 65.54M | 128.5M | 145.6M | 93.39M | 104.37M | 104.36M | 98.59M | 92.81M | 63.16M | 84.4M | 48.89M | 73.12M | 85.05M | 71.45M | 92.49M | 53.95M | 46.68M | 45.36M | 72.87M | 49.21M | 45.42M | 31.14M | 30.29M | 2.3M | 11.2M | 31.3M | 13.8M |
| FCF Margin % | -6.58% | -3.96% | 1.9% | 1.54% | 3.72% | 7.69% | 9.72% | 6.08% | 6.51% | 6.89% | 6.66% | 6.51% | 5.71% | 8.57% | 5.43% | 8.14% | 10.35% | 9.15% | 11.3% | 7.2% | 6.52% | 7.09% | 14.32% | 10.72% | 10.61% | 10.99% | 11.55% | 0.96% | 5.29% | 16.54% | 8.02% |
| FCF Growth % | -816.11% | -274.28% | 17.76% | -55.86% | -49% | -11.74% | 55.89% | -10.52% | 0.01% | 5.85% | 6.23% | 46.94% | -25.17% | 72.65% | -33.15% | -14.02% | 19.04% | -22.75% | 71.44% | 15.56% | 2.92% | -37.75% | 48.09% | 8.34% | 45.87% | 2.79% | 1217.04% | -79.46% | -64.22% | 126.81% | -2.82% |
| FCF per Share | - | -1.91 | 1.10 | 0.92 | 2.09 | 4.02 | 4.67 | 2.97 | 3.28 | 3.20 | 3.00 | 2.80 | 1.92 | 3.04 | 1.73 | 2.54 | 2.86 | 2.34 | 2.97 | 1.70 | 1.45 | 1.40 | 2.24 | 1.48 | 1.43 | 1.00 | 0.95 | 0.07 | 0.33 | 0.89 | 0.39 |
| FCF Conversion (FCF/Net Income) | -8.20x | 0.96x | -1.33x | 2.02x | -1.27x | 55.95x | -2.07x | -3.45x | 1.37x | 2.01x | 2.10x | 2.22x | 2.17x | 1.99x | 1.47x | 1.32x | 1.54x | 1.57x | 1.32x | 1.15x | 0.99x | 1.26x | 1.48x | 1.30x | 1.58x | 1.22x | 1.36x | 1.11x | 1.55x | 1.91x | 0.95x |
| Interest Paid | 0 | 51.11M | 50.34M | 43.52M | 27.41M | 28.82M | 35.27M | 41.45M | 37.23M | 26.27M | 24.13M | 19.66M | 12.57M | 13.06M | 11.46M | 8.37M | 7.61M | 12.55M | 10.57M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 16.76M | 19.25M | 18.01M | 18.01M | 9.17M | 20.73M | 15.47M | 11.01M | 8.47M | 11.86M | 11.66M | 16.18M | 29.43M | 22.77M | 35.36M | 35.29M | 26.03M | 32.3M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Volatile operating cash conversion
According to the provided financial data, the relationship between net income and operating cash flow is highly erratic, with OCF/NI ratios swinging from 11.84 in 2024Q1 to -1.19 in 2026Q1, indicating that reported earnings provide a poor proxy for the company's actual cash-generating capacity.
The extreme variance in the OCF/NI ratio suggests that non-cash charges and significant working capital swings are masking the underlying cash reality. Investors should monitor whether this disconnect stems from aggressive revenue recognition in the Industrial Technologies segment or structural inefficiencies in managing cash conversion cycles.
As reported in financial statements, MATW's free cash flow trajectory is characterized by persistent volatility, with FCF margins fluctuating between a peak of 10.0% in 2024Q2 and a low of -20.1% in 2026Q1, reflecting a lack of consistent cash generation across the conglomerate's diverse business units.
The inability to maintain positive free cash flow suggests that the company's capital-intensive industrial projects may be consuming more liquidity than the stable Memorialization segment can provide. This inconsistency warrants further investigation into whether the current cost structure is fundamentally incompatible with the company's cyclical revenue profile.
Based on the quarterly cash flow data, working capital changes have been a primary source of cash flow instability, ranging from a $45.1 million inflow in 2024Q4 to a $49.8 million outflow in 2024Q1, highlighting significant challenges in managing inventory and receivables across disparate business segments.
These sharp swings in working capital suggest that the company may be struggling with inventory build-ups or delayed collections, particularly within the lumpy Industrial Technologies segment. Such volatility complicates liquidity planning and may force the company to rely more heavily on external financing during periods of operational contraction.
As evidenced by recent filings, the company has continued to prioritize dividend payments despite periods of negative free cash flow, with $9.5 million in dividends paid in 2026Q1, a move that appears increasingly difficult to sustain given the current deterioration in core cash generation capabilities.
The decision to maintain dividend outflows while operating cash flow remains negative or volatile suggests a potential misalignment between capital allocation policy and the company's current financial reality. Investors should monitor whether this commitment to shareholder returns will necessitate further debt accumulation or asset divestitures to preserve liquidity.
Quick answers to the most common questions about buying MATW stock.
Matthews International Corporation (MATW) generated $-23.6M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Matthews International Corporation (MATW) reported negative free cash flow of $59.4M in 2025, indicating capital requirements exceeded cash from operations.
Matthews International Corporation (MATW) spent $35.8M 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, Matthews International Corporation (MATW) returned $32.8M to shareholders via cash dividends and spent $12.2M on share repurchases. This shows the company's commitment to returning capital to its equity investors.