Liquidity is under acute pressure as cash and equivalents have dwindled to $1.2 million in 2026Q1, down from $5.8 million in 2024Q2, while free cash flow remains volatile and often negative.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Cash from Operations | -1.82M | -2.92M | -2.92M | -5.33M | -6.03M | -4.02M | -6.98M | -1.78M | -1.63M | -1.23M | -5.4M | -2.95M | 376.94K | 1.26M | -49.72K | -570.73K | -293.78K | 402.95K | -442.01K | -1.15M | -1.65M | -3.27M | -4.28M | -820.59K | -676.18K | -1.38M | -2.84M | -5.33M | -8.6M | -4.7M | -1.5M |
| Operating CF Margin % | - | -32.5% | -33.83% | -54.2% | -68.5% | -38.99% | -128.46% | -21.25% | -16.92% | -10.9% | -51.5% | -31.04% | 3.65% | 12.57% | -0.57% | -6.81% | -3.01% | 4.71% | -6.67% | -18.01% | -28.25% | -50.77% | -90.19% | -20.66% | -16.6% | -33.83% | -50.1% | -186.76% | -97.73% | -162.07% | -500% |
| Operating CF Growth % | -23.07% | 0.11% | 45.18% | 11.7% | -50.14% | 42.48% | -292.57% | -9.29% | -32.43% | 77.23% | -83.23% | -881.64% | -70.05% | 2631.75% | 91.29% | -94.27% | -172.91% | 191.16% | 61.59% | 30.29% | 49.46% | 23.77% | -422.17% | -21.36% | 51.18% | 51.28% | 46.7% | 37.99% | -82.98% | -213.33% | - |
| Net Income | -4.57M | -5.72M | -4.71M | -6.93M | -8.77M | -6.88M | -7.34M | -7.58M | -7.69M | -5.37M | -7.29M | -5.54M | -1.71M | 1.46M | -870.31K | -1.48M | -614.51K | -1.53M | -1.19M | -2.94M | -3.15M | -2.75M | -3M | -2.41M | -2.44M | -3.99M | -7.51M | -6.97M | -10.7M | -7.4M | -1.9M |
| Depreciation & Amortization | 80.91K | 78.19K | 134.84K | 150.36K | 144.38K | 73.83K | 95.95K | 256.47K | 881.28K | 573.15K | 163.37K | 97.38K | 95.84K | 96.12K | 95.13K | 105.39K | 128.64K | 126.39K | 127.24K | 148.91K | 118.76K | 118.15K | 101.92K | 335.22K | 417.99K | 435.18K | 718.62K | 732.86K | 500K | 300K | 200K |
| Stock-Based Compensation | 328.38K | 952.72K | 1.71M | 1.88M | 1.82M | 1.58M | 1.35M | 183.89K | 409.02K | 651.41K | 1.85M | 1.13M | 1.03M | 1.08M | 673.69K | 864.55K | 305.5K | 1.44M | 350.34K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | -518.77K | -97.89K | 0 | 260.13K | 182.76K | -1.05M | 1.25M | 915.67K | 623.93K | 41.29K | 1.52M | -4.7K | 100.22K | -348.08K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 2.18M | 1.87M | 579.8K | 968.16K | 1.33M | 652.76K | 821.2K | 3.55M | 2.74M | 157.58K | 1.85M | 1.13M | -5.47K | -1.36M | 90.08K | -1.48M | 640.56K | 36K | 377.79K | 1.09M | 536.64K | 883.21K | 33.34K | 11.25K | 11.91K | 347.65K | 3.35M | 767.69K | 3.5M | 2.5M | 500K |
| Working Capital Changes | 151.8K | -93.85K | -631K | -1.4M | -549.72K | 1.07M | -1.81M | 1.81M | 1.77M | 2.58M | -914.04K | -1.01M | 46.78K | -639.81K | -79.61K | -99.15K | -749.27K | 226.27K | 238.16K | 550.16K | 846.15K | -1.51M | -1.42M | 1.25M | 1.33M | 1.82M | 593.56K | 138.77K | -1.9M | -100K | -300K |
| Change in Receivables | -72.18K | -242.43K | -162.71K | 309.94K | 249.56K | 137.38K | 630.01K | 367.79K | -635.48K | 256.02K | -1.09M | -207.25K | -8.62K | -126.32K | 525.18K | -172.21K | -734.2K | -138K | -579.39K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | 667.98K | -68.62K | -1.08M | -1.1M | -833.12K | 878.67K | -799.67K | 300.54K | 914.61K | 1M | -509.46K | -875.03K | -1.18M | -683.09K | 151.93K | 196.45K | -182.21K | -120.83K | 916.84K | -313.41K | 48.02K | -435.13K | -509.51K | -307.42K | 43.35K | 13.53K | -330.07K | -461.83K | -1.2M | -700K | -100K |
| Change in Payables | 582.98K | 1.28M | 414.59K | -806.11K | 729.94K | 308.18K | -1.87M | 16.89K | 905.94K | -612.96K | 486.35K | 173.07K | -516.46K | -316.23K | -1.59M | 607.57K | 2.17M | 324.88K | -891.71K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -15.45K | -15.12K | 2.97M | -2.97M | -8.53K | -15.19K | -21.44K | -9.92K | -15.42K | -199.18K | 8.21K | -3.73M | -1.3M | -561.39K | -31.36K | -39.03K | -108.27K | -144.35K | -309.33K | -335.64K | -81.84K | -335.77K | -496.02K | -35.27K | -74.34K | -10.67K | -51.77K | 3.16M | -1.1M | -6.3M | -100K |
| Capital Expenditures | -328 | -15.12K | -10.12K | -4.88K | -8.53K | -15.19K | -21.44K | -9.92K | -7.4K | -199.18K | -30.96K | -77.52K | -98.96K | -26.56K | -31.36K | -39.03K | -110.29K | -174.35K | -317.08K | -335.64K | -81.84K | -23.09K | -350.53K | -35.27K | -74.34K | -10.67K | -51.77K | -106.81K | -3.6M | -500K | -100K |
| CapEx % of Revenue | 0% | 0.17% | 0.12% | 0.05% | 0.1% | 0.15% | 0.39% | 0.12% | 0.08% | 1.77% | 0.3% | 0.82% | 0.96% | 0.27% | 0.36% | 0.47% | 1.13% | 2.04% | 4.79% | 5.25% | 1.4% | 0.36% | 7.38% | 0.89% | 1.82% | 0.26% | 0.91% | 3.74% | 40.91% | 17.24% | 33.33% |
| Acquisitions | 0 | 0 | 0 | 2.97M | 0 | 0 | 0 | 0 | -8.02K | 0 | 39.16K | -3.65M | -1.21M | -534.83K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -15.12K | 0 | 0 | -2.97M | 0 | 0 | 0 | 0 | 0 | -193.17K | 39.16K | -9.94K | -1.22M | -555.85K | -26.62K | 0 | 2.02K | 30K | 7.75K | 0 | 0 | -312.68K | -145.49K | 0 | 0 | 0 | 0 | 0 | 2.5M | -5.8M | 0 |
| Cash from Financing | 785.18K | 786.34K | 233.77K | 2.56M | -8.54K | 4.57M | 19.71M | 2.56M | -250K | 463.34K | 4.8M | 500K | 10.15M | 284.6K | 150K | 79K | 0 | 26.87K | 750K | 1.07M | 0 | 3.45M | 7.82M | 849.45K | 744.46K | 1.24M | 2.82M | 2.1M | 300K | 19.9M | 0 |
| Debt Issued (Net) | -1.15K | 786.34K | -10.14K | -9.37K | -8.54K | -8.65K | 268.56K | 0 | 0 | 0 | 0 | 0 | 0 | 50K | 0 | 0 | 0 | 0 | 750K | 1M | 0 | 3.45M | -50K | 958.22K | 785K | 600K | 2.86M | 2.1M | 0 | 100K | 0 |
| Equity Issued (Net) | 0 | 0 | 192.16K | 2.57M | 0 | 4.6M | 0 | 2.22M | 0 | 400.84K | 4.8M | 0 | 9.45M | 0 | 150K | 30K | 0 | 25K | 0 | 71.2K | 0 | 749 | 0 | 249.23K | 0 | 735.17K | 0 | 0 | 300K | 19.9M | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -250K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -900K | 0 | 0 |
| Other Financing | 786.34K | 0 | 51.75K | 0 | 0 | -16.08K | 19.45M | 337.5K | -250K | 62.5K | 0 | 500K | 698.7K | 234.6K | 0 | 49K | 0 | 1.87K | 0 | 0 | 0 | 0 | 7.87M | -357.99K | -40.54K | -96.68K | -32.52K | -2K | 0 | -100K | 0 |
| Net Change in Cash | -1.05M | -2.15M | 280.35K | -5.74M | -6.05M | 540.43K | 12.71M | 772.84K | -1.89M | -965.27K | -592.15K | -6.17M | 9.22M | 981.95K | 68.92K | -530.76K | -402.05K | 285.46K | -1.34K | -415.11K | -1.73M | -148.63K | 3.04M | -6.41K | -6.06K | -157.13K | -69.98K | -73.86K | -9.4M | 8.9M | -1.6M |
| Free Cash Flow | -1.82M | -2.93M | -2.93M | -5.33M | -6.04M | -4.03M | -7.01M | -1.79M | -1.64M | -1.43M | -5.43M | -3.02M | 277.98K | 1.23M | -81.08K | -609.76K | -404.07K | 228.6K | -759.09K | -1.49M | -1.73M | -3.29M | -4.64M | -855.86K | -750.52K | -1.4M | -2.89M | -5.44M | -12.2M | -5.2M | -1.6M |
| FCF Margin % | -20.46% | -32.67% | -33.95% | -54.25% | -68.6% | -39.14% | -128.86% | -21.36% | -17% | -12.66% | -51.8% | -31.86% | 2.69% | 12.31% | -0.94% | -7.28% | -4.14% | 2.67% | -11.46% | -23.26% | -29.65% | -51.13% | -97.56% | -21.55% | -18.42% | -34.09% | -51.01% | -190.51% | -138.64% | -179.31% | -533.33% |
| FCF Growth % | 32.88% | -0.06% | 45.04% | 11.75% | -49.79% | 42.44% | -291.59% | -9.4% | -14.48% | 73.69% | -79.56% | -1187.79% | -77.44% | 1619.8% | 86.7% | -50.9% | -276.76% | 130.11% | 48.93% | 14.21% | 47.33% | 29.04% | -441.61% | -14.04% | 46.22% | 51.78% | 46.79% | 55.41% | -134.62% | -225% | - |
| FCF per Share | -0.02 | -0.04 | -0.04 | -0.07 | -0.09 | -0.06 | -0.11 | -0.04 | -0.05 | -0.04 | -0.20 | -0.14 | 0.01 | 0.07 | -0.01 | -0.04 | -0.03 | 0.02 | -0.06 | -0.12 | -0.15 | -0.30 | -0.51 | -0.18 | -0.18 | -0.38 | -0.83 | -1.87 | -4.17 | -2.55 | -1.09 |
| FCF Conversion (FCF/Net Income) | 0.40x | 0.51x | 0.62x | 0.77x | 0.69x | 0.59x | 0.95x | 0.24x | 0.22x | 0.24x | 0.91x | 0.54x | -0.22x | 0.86x | 0.06x | 0.39x | 0.48x | -0.26x | 0.37x | 0.39x | 0.52x | 1.19x | 1.43x | 0.34x | 0.28x | 0.35x | 0.38x | 0.76x | 0.80x | 0.64x | 0.79x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 7.5K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 8.22K | 4.72K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Liquidity and scaling constraints
Based on reported financial statements, Milestone Scientific exhibits a persistent disconnect between net income and operating cash flow, with the OCF/NI ratio frequently fluctuating, as seen in the 2025Q2 period where the company reported a $1.5 million loss alongside a $1.8 million cash outflow.
The lack of consistent alignment between accounting losses and cash burn suggests that accruals and non-cash adjustments are not effectively bridging the gap to operational sustainability. Investors should monitor this volatility, as it indicates that the company's cash position is highly sensitive to working capital swings rather than core earnings generation.
As indicated by recent SEC filings, Milestone Scientific's free cash flow trajectory is characterized by frequent quarterly deficits, with the company struggling to maintain positive FCF margins, which dipped to -76.1% in 2025Q2, reflecting the ongoing difficulty in funding operations through internal cash generation.
The inability to sustain positive free cash flow suggests that the current business model requires external capital to bridge the gap between high R&D/SG&A requirements and limited revenue growth. This trend warrants further investigation into whether the company can achieve the necessary scale to reach self-funding status.
According to quarterly data, working capital changes have been a primary driver of cash flow variability, with significant swings such as the $833.6K inflow in 2025Q3 followed by a $542.8K outflow in 2025Q4, suggesting that inventory and receivables management remains a source of instability.
These erratic shifts in working capital appear to obscure the underlying cash burn rate, making it difficult to discern whether the company is effectively managing its supply chain or merely deferring payments. Such fluctuations may indicate inconsistent sell-through rates at the distributor level, which could pose future inventory risks.
Based on the provided financial data, stock-based compensation has been a recurring feature of the company's capital structure, reaching as high as $624.3K in 2025Q1, which effectively masks the true extent of the cash burn required to retain talent in a loss-making environment.
The reliance on equity-based incentives suggests that the company is attempting to preserve its limited cash reserves, yet this practice dilutes existing shareholders without addressing the core issue of operational inefficiency. Analysts should consider these non-cash expenses as a hidden cost of maintaining the current organizational structure.
Quick answers to the most common questions about buying MLSS stock.
Milestone Scientific Inc. (MLSS) generated $-2.9M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Milestone Scientific Inc. (MLSS) reported negative free cash flow of $2.9M in 2025, indicating capital requirements exceeded cash from operations.
Milestone Scientific Inc. (MLSS) 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.