Cash generation remains highly inconsistent, evidenced by a free cash flow swing from a $131.3 million outflow in 2025Q1 to a $169.4 million inflow in 2026Q1, complicating the sustainability of capital allocation.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Mar'22 | Mar'21 | Mar'20 | Mar'19 | Mar'18 | Mar'17 | Mar'16 | Mar'15 | Mar'14 | Mar'13 | Mar'12 | Mar'11 | Mar'10 | Mar'09 | Mar'08 | Mar'07 | Mar'06 | Mar'05 |
|---|
| Cash from Operations | 271.79M | 101.37M | -9.53M | 196.38M | 76.07M | -2.68M | 470.67M | -482.46M | -132.63M | 263.8M | 642.42M | 436.19M | 43.04M | -292.78M | -19.93M | 237.82M | -476.37M | 386.6M | -14.85M | -1.89B | -268.89M | -515.93M | 29.52M |
| Operating CF Margin % | - | 36.94% | -4.21% | 82.74% | 53.77% | -1.76% | 258.4% | 2154.8% | -157.84% | 296.29% | 3668.02% | 242.66% | 57.41% | -107.41% | -17.06% | 1426.75% | -247.63% | 140.22% | -5.89% | -527.79% | -84% | -411.34% | 61.72% |
| Operating CF Growth % | 1876.21% | 1163.44% | -104.85% | 158.17% | 2941.54% | -100.57% | 197.56% | -263.76% | -150.28% | -58.94% | 47.28% | 913.44% | 114.7% | -1369.1% | -108.38% | 149.92% | -223.22% | 2702.69% | 99.21% | -602.45% | 47.88% | -1847.55% | - |
| Net Income | 32.84M | 28.7M | 98.82M | 118.76M | 30.59M | 82.36M | 111.86M | -116.06M | 71.95M | 87.03M | 18.37M | -44.53M | 75.42M | 270.87M | 104.47M | -86.26M | 180.41M | 263.29M | -611.88M | -33.44M | 312.17M | 120.39M | 44.15M |
| Depreciation & Amortization | -463K | -1.7M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Stock-Based Compensation | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 125.69M | 90.72M | -119.19M | 72.64M | 39.9M | -83.99M | 355.17M | -367.82M | -196.61M | 181.08M | 616.25M | 487.55M | -33.67M | -581.53M | -130.95M | 374.81M | -189.07M | -355.05M | 696.38M | -1.1B | -707.48M | -604.3M | -821.73M |
| Working Capital Changes | -14.87M | -16.36M | 10.84M | 4.98M | 5.58M | -1.05M | 3.64M | 1.42M | -7.96M | -4.31M | 7.8M | -6.83M | 1.29M | 17.89M | 6.55M | -50.72M | -467.71M | 478.36M | -99.35M | -752.48M | 126.42M | -32.02M | 807.11M |
| Change in Receivables | -6.65M | -4.31M | 2.77M | -764K | -1.37M | -3.71M | 7.28M | 3.82M | -3.21M | -1.26M | 15.81M | 10.08M | -5M | 10.96M | 2.61M | -12.63M | 34.2M | -48.72M | 19.9M | 785K | -28.13M | -27.41M | -14.83M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 0 | -5.55M | 0 | 0 | -853K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 223.97M | 10.52M | 5.61M |
| Cash from Investing | 117.2M | -151.11M | 0 | 0 | 82.32M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Capital Expenditures | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| CapEx % of Revenue | 0% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Acquisitions | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Investments | 0 | 3.17B | 0 | 0 | 2.4B | 0 | 553.65M | 533.87M | 2.41B | 2.25B | 2.32B | 2.92B | 3.35B | 3.48B | 2.85B | 2.68B | 3.05B | 2.85B | 2.45B | 3.23B | 4.7B | 3.11B | 1.68B |
| Other Investing | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | -293.3M | 73.37M | -36.76M | -161.36M | -101.91M | -21.33M | -459.7M | 484.89M | 153.53M | -254.73M | -650.01M | -425.94M | -48.12M | 301.3M | 23.45M | -241.39M | -4.65M | 94.36M | -393.53M | 1.21B | 461.88M | 542.63M | 848.74M |
| Debt Issued (Net) | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Equity Issued (Net) | -12.89M | -18.97M | 0 | -2.3M | 28.36M | -21.1M | 0 | -52.14M | -50.83M | -19.75M | -37.92M | -62.44M | - | 286.55M | 50M | - | 204.28M | 280.82M | 369.59M | 285.55M | 443.61M | 294.06M | 871.88M |
| Dividends Paid | -109.32M | -141.59M | -139.62M | -123.48M | -66.72M | -93.34M | -105.72M | -121.78M | -127.98M | -131.5M | -156.51M | -187.18M | -189.39M | -175.42M | -161.14M | -204.86M | -190.83M | -154.47M | -231.23M | -194.12M | -134.89M | -77.08M | -21.41M |
| Share Repurchases | -88.92M | -18.97M | 0 | -2.3M | -1.64M | -21.1M | 0 | -52.14M | -50.83M | -19.75M | -37.92M | -62.44M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -222.73M | 0 | -8.88M | -10.9M | 0 | -333K | -10.17M | -844K | -9.91M | -522K | -7.88M | -5.88M | -4.85M | -12.79M | -18.57M | -816K | -12.02M | -618K | -637K | -461K | -986K | -154K | -1.72M |
| Net Change in Cash | -42.34M | 23.66M | -46.34M | 35.04M | 32.47M | -24.03M | 10.95M | 2.49M | 20.84M | 9.07M | -7.63M | 10.49M | -6.32M | 8.54M | 3.52M | -3.68M | -481.23M | 480.98M | -408.38M | -682.97M | 192.99M | 26.7M | 878.26M |
| Free Cash Flow | 271.79M | 101.37M | -9.53M | 196.38M | 76.07M | -2.68M | 470.67M | -482.46M | -132.63M | 263.8M | 642.42M | 436.19M | 42.02M | -292.78M | -19.93M | 237.72M | -476.57M | 386.6M | -14.85M | -1.89B | -268.89M | -515.93M | 29.52M |
| FCF Margin % | 149.61% | 36.94% | -4.21% | 82.74% | 53.77% | -1.76% | 258.4% | 2154.8% | -157.84% | 296.29% | 3668.02% | 242.66% | 56.05% | -107.41% | -17.06% | 1426.1% | -247.74% | 140.22% | -5.89% | -527.79% | -84% | -411.34% | 61.72% |
| FCF Growth % | 280.94% | 1163.44% | -104.85% | 158.17% | 2941.54% | -100.57% | 197.56% | -263.76% | -150.28% | -58.94% | 47.28% | 938.04% | 114.35% | -1369.1% | -108.38% | 149.88% | -223.27% | 2702.69% | 99.21% | -602.45% | 47.88% | -1847.55% | - |
| FCF per Share | - | 1.09 | -0.12 | 3.01 | 1.18 | -0.04 | 7.21 | -7.18 | -1.88 | 3.62 | 8.67 | 5.63 | 0.53 | -3.70 | -0.27 | 3.38 | -7.30 | 7.28 | -0.32 | -50.57 | -9.40 | -24.39 | 1.43 |
| FCF Conversion (FCF/Net Income) | 8.28x | 1.60x | -0.10x | 1.65x | 2.49x | -0.03x | 4.21x | 4.16x | -1.84x | 3.03x | 34.97x | -9.80x | 0.57x | -1.08x | -0.19x | -2.76x | -2.64x | 1.47x | 0.02x | 56.49x | -0.86x | -4.29x | 0.67x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Portfolio cash flow volatility
As reported in recent financial statements, MFIC exhibits a significant divergence between net income and operating cash flow, with the OCF/NI ratio fluctuating wildly from -5.03 in 2025Q2 to 6.06 in 2025Q3, suggesting that accounting earnings are frequently decoupled from actual cash generation capabilities.
The extreme volatility in the OCF/NI ratio indicates that GAAP net income is heavily influenced by non-cash mark-to-market adjustments on the investment portfolio. Investors should interpret these swings as evidence that reported earnings provide a poor proxy for the liquidity available to support dividend distributions.
Based on quarterly filings, MFIC's free cash flow trajectory remains highly inconsistent, swinging from a peak of $169.4 million in 2026Q1 to a low of -$131.3 million in 2025Q1, which highlights the inherent instability in the fund's ability to generate sustainable cash surpluses.
The lack of a stable FCF trend suggests that the fund's cash position is highly sensitive to the timing of loan repayments and portfolio turnover. This inconsistency warrants further investigation into whether the current dividend payout policy is supported by recurring interest income or if it relies on episodic liquidity events.
According to recent SEC filings, working capital changes have frequently acted as a primary driver of cash flow variance, with a notable $17.6 million inflow in 2024Q4 contrasting sharply with the $13.0 million outflow observed in 2025Q1, complicating the assessment of core operating efficiency.
These fluctuations in working capital appear to reflect the timing of interest accruals and the settlement of investment activities rather than operational efficiency. Analysts should monitor these shifts closely, as they may mask underlying stresses in the portfolio companies' ability to meet their contractual payment obligations.
As indicated by historical data, MFIC has consistently prioritized capital deployment toward dividends and share repurchases, including a $76.0 million buyback in 2026Q1, even during periods where operating cash flow volatility remained elevated, suggesting a management focus on maintaining shareholder yield over liquidity preservation.
The aggressive use of cash for buybacks and dividends during periods of negative operating cash flow may indicate a reliance on balance sheet leverage or capital recycling to fund distributions. This strategy appears to prioritize short-term investor optics, which may leave the fund with less flexibility if credit conditions deteriorate.
Quick answers to the most common questions about buying MFIC stock.
MidCap Financial Investment Corporation (MFIC) generated $101.4M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
MidCap Financial Investment Corporation (MFIC) generated $101.4M 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.
MidCap Financial Investment Corporation (MFIC) 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.
In 2025, MidCap Financial Investment Corporation (MFIC) returned $141.6M to shareholders via cash dividends and spent $19.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.