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Operating cash flow has been consistently negative or near zero, with cumulative net income of -$25.5B over ten quarters versus -$100M in operating cash flow, and dividends of $399.6M in 2026Q2 funded by external capital.
Strategy Inc (MSTR) cash flow statement — 29-year operating, investing & financing cash flows
| 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 |
|---|
| Cash from Operations | -20.09M | -67.24M | -53.03M | 12.71M | 3.21M | 93.83M | 53.62M | 60.87M | 10.63M | 78.32M | 110.59M | 149.7M | 14.6M | 29.93M | 49.88M | 60.81M | 75.83M | 96.44M | 88.92M | 97.9M | 104.42M | 102.55M | 85.56M | 36.64M | -2.66M | -4.87M | -101.18M | -9.03M | -2.55M | 4.96M |
| Operating CF Margin % | - | -14.09% | -11.44% | 2.56% | 0.64% | 18.37% | 11.15% | 12.52% | 2.14% | 15.54% | 21.53% | 28.25% | 2.52% | 5.2% | 8.82% | 11.32% | 16.68% | 25.53% | 24.67% | 27.92% | 33.27% | 38.17% | 37% | 20.87% | -1.8% | -2.7% | -47% | -5.97% | -2.67% | 9.43% |
| Operating CF Growth % | 828.57% | -26.79% | -517.18% | 295.89% | -96.58% | 75% | -11.91% | 472.76% | -86.43% | -29.18% | -26.13% | 925.34% | -51.23% | -39.99% | -17.97% | -19.8% | -21.38% | 8.46% | -9.17% | -6.25% | 1.82% | 19.86% | 133.49% | 1477.56% | 45.34% | 95.19% | -1019.96% | -254.55% | -151.42% | - |
| Net Income | -45.74B | -3.85B | -1.17B | 429.12M | -1.47B | -535.48M | -7.52M | 34.35M | 22.5M | 18.2M | 92.24M | 105.93M | 5.04M | 83.33M | 20.55M | 17.94M | 43.79M | 60.51M | 41.77M | 58.47M | 70.88M | 64.74M | 168.31M | -4.67M | 38.12M | -48.05M | -215.12M | -24.51M | -2.25M | -885K |
| Depreciation & Amortization | 11.08M | 25.52M | 17.81M | 14.53M | 10.87M | 11.36M | 13.33M | 8.59M | 3.7M | 15.53M | 19.94M | 21.21M | 25.3M | 26.4M | 22.45M | 17.27M | 12.8M | 10.63M | 6.4M | 7.6M | 7.63M | 8.5M | 8.32M | 8.83M | 13.11M | 29.56M | 29.62M | 6.84M | 3.44M | 1.24M |
| Stock-Based Compensation | 10.21M | 53.37M | 77.12M | 69.57M | 63.62M | 44.13M | 11.15M | 10.21M | 14.64M | 14.27M | 11.82M | 17.3M | 11.79M | 2.08M | 0 | 0 | 0 | 0 | 46K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -9.2B | -1.68B | -775.85M | -569.46M | 131.13M | -284.78M | -20.83M | -5.45M | -8.27M | -3.6M | -4.84M | 8.77M | -1.53M | -17.96M | 1.5M | -3.92M | 1.69M | 16.15M | 20.93M | 26.14M | 26.53M | 27.99M | 5.75M | 823K | -553K | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 48.19B | 5.44B | 1.84B | 90M | 1.3B | 847.52M | 80.27M | 8.27M | 2.06M | 2.27M | -1.02M | 1.01M | 1.49M | -78.75M | 2.01M | -4.27M | 2.77M | 494K | 5.7M | 919K | -1.96M | -626K | -106.79M | 27.31M | -33.62M | 20.09M | 83.45M | -11.9M | 1.75M | 312K |
| Working Capital Changes | -32.78M | -55.19M | -42.71M | -21.05M | -36.61M | 11.09M | -22.78M | 4.89M | -24M | 31.66M | -7.55M | -4.53M | -27.48M | 14.83M | 3.38M | 33.8M | 14.78M | 8.66M | 14.08M | 4.78M | 1.34M | 1.95M | 9.96M | 4.34M | -19.72M | -6.46M | 871K | 20.53M | -5.48M | 4.29M |
| Change in Receivables | -13.43M | 20.41M | 5.69M | 10.31M | -5.29M | 2.62M | -774K | -3.67M | -8.36M | 15.35M | -16.88M | 5M | -276K | 676K | 526K | -14.33M | -30.13M | -9.26M | -3.86M | -103K | -10.73M | -3.68M | -8.8M | -1.05M | -5.05M | 21.65M | -19.26M | -14.6M | -10.84M | -7.27M |
| 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 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | -4.27M | 6.56M | 1.14M | -634K | -3.52M | 3.75M | 9.17M | -7.32M | 3.38M | -9.09M | 6.98M | 1.9M | -1.7M | -4.79M | 3.76M | 5.02M | 4.65M | 1.08M | 10.68M | 4.13M | 8.29M | 3.76M | 11.79M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -22.42B | -22.51B | -22.09B | -1.91B | -278.59M | -2.63B | -1.02B | 353.69M | -209.06M | -69.73M | 4.34M | -7.66M | -82.11M | -54.93M | -35.83M | -36.18M | -17.43M | 2.64M | -42.8M | -12.7M | 50.33M | 4.32M | -74.39M | 201K | -9.73M | 26.36M | -19.02M | -34.1M | -9.29M | -7.88M |
| Capital Expenditures | 13.53M | -45.21M | -13.48M | -2.94M | -2.49M | -2.71M | -3.65M | -10.18M | -6.85M | -3.98M | -2.34M | -3.48M | -12.4M | -11.04M | -29.62M | -36.69M | -16.29M | -18.27M | -30.17M | -6.13M | -4.81M | -1.91M | -5.65M | -4.18M | -4.33M | -1.88M | -28.71M | -14.61M | -9.29M | -5.95M |
| CapEx % of Revenue | 2.74% | 9.47% | 2.91% | 0.59% | 0.5% | 0.53% | 0.76% | 2.09% | 1.38% | 0.79% | 0.46% | 0.66% | 2.14% | 1.92% | 5.24% | 6.83% | 3.58% | 4.83% | 8.37% | 1.75% | 1.53% | 0.71% | 2.44% | 2.38% | 2.93% | 1.04% | 13.34% | 9.66% | 9.73% | 11.33% |
| Acquisitions | 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 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -8.03B | -22.47B | -22.07B | -1.9B | -276.1M | -2.63B | -1.13B | 0 | 0 | 0 | 0 | -9.6M | -8.56M | 93.22M | -6.21M | -2.86M | -1.14M | 20.33M | -13.73M | -6.57M | 1.37M | -4.86M | -4.65M | 4.38M | -5.7M | 25.45M | -29.05M | 0 | 0 | -1.93M |
| Cash from Financing | 24.11B | 24.84B | 22.13B | 1.89B | 265.19M | 2.54B | 563.23M | -66.15M | -108.52M | 1.66M | -1M | 9.18M | -1.47M | 21.64M | 9.76M | 2.46M | -107.1M | 2.06M | -5.86M | -82.47M | -121.39M | -128.78M | 3.43M | -955K | -11.61M | -15.65M | 127.98M | 42.2M | 35.7M | 4.58M |
| Debt Issued (Net) | -1.36B | 2.02B | 5.7B | -160.55M | 215.55M | 1.55B | 650M | 0 | -9K | -21K | -172K | -1.45M | -2.33M | -2.28M | -491K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -5M | -2.6M | 866K | 0 | -5M | -12.84M | 4.49M |
| Equity Issued (Net) | 26.5B | 23.36B | 16.36B | 2.03B | 46.59M | 1B | -123.22M | -72.72M | -110.98M | 1.68M | 1.66M | 9.53M | 856K | 341K | 10.25M | 2.46M | -108.99M | 1.22M | -8.39M | -85.74M | -125.86M | -128.78M | 3.43M | 3.72M | 995K | -15.56M | 127.98M | 47.2M | 48.5M | 100K |
| Dividends Paid | -952.4M | -381.37M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -60K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -192K | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | -123.22M | -72.72M | -110.98M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -108.99M | 0 | -8.39M | -89.03M | -131.96M | -134.49M | -2.33M | 0 | 0 | -19.78M | 0 | 0 | 0 | 0 |
| Other Financing | -75.03M | -161.05M | 72.22M | 21.22M | 3.05M | -8.31M | 36.46M | 6.57M | 2.47M | 0 | -2.5M | 1.1M | 0 | 23.58M | 0 | 0 | 1.9M | 907K | 2.53M | 3.27M | 4.48M | 0 | 0 | 328K | -10M | -765K | 0 | 0 | 39K | -13K |
| Net Change in Cash | 1.66B | 2.26B | -8.78M | -2.19M | -13.57M | 3.67M | -397.06M | 347.03M | -310.4M | 18.47M | 109.75M | 145.38M | -73.25M | -4.22M | 24.76M | 25.54M | -50.67M | 101.85M | 37.72M | 6.21M | 36.66M | -26M | 16.43M | 36.85M | -23.37M | 5.21M | 7.26M | -1.55M | 23.98M | 1.82M |
| Free Cash Flow | -3.1B | -22.58B | -22.14B | -1.89B | -287.2M | -2.54B | -1.08B | 50.69M | 3.78M | 74.34M | 108.25M | 136.62M | -6.2M | 13.45M | 12.12M | 18.22M | 57.35M | 73.96M | 45.18M | 91.77M | 99.61M | 100.64M | 79.91M | 32.46M | -6.99M | -6.75M | -129.89M | -23.64M | -11.84M | -999K |
| FCF Margin % | -626.81% | -4731.33% | -4776.99% | -381.36% | -57.52% | -496.4% | -223.62% | 10.42% | 0.76% | 14.75% | 21.08% | 25.78% | -1.07% | 2.34% | 2.14% | 3.39% | 12.62% | 19.58% | 12.54% | 26.17% | 31.74% | 37.46% | 34.56% | 18.49% | -4.73% | -3.74% | -60.34% | -15.63% | -12.4% | -1.9% |
| FCF Growth % | 82.93% | -1.99% | -1069.83% | -558.97% | 88.67% | -135.84% | -2221.01% | 1240.52% | -94.91% | -31.33% | -20.76% | 2304.92% | -146.05% | 11.05% | -33.49% | -68.24% | -22.46% | 63.72% | -50.77% | -7.87% | -1.02% | 25.95% | 146.15% | 564.7% | -3.5% | 94.8% | -449.36% | -99.65% | -1085.49% | - |
| FCF per Share | -9.02 | -76.80 | -114.98 | -11.42 | -2.54 | -25.30 | -11.10 | 0.49 | 0.03 | 0.64 | 0.94 | 1.18 | -0.05 | 0.12 | 0.11 | 0.16 | 0.49 | 0.60 | 0.37 | 0.71 | 0.73 | 0.65 | 0.47 | 0.22 | -0.06 | -0.08 | -1.63 | -0.15 | -0.09 | -0.01 |
| FCF Conversion (FCF/Net Income) | 0.07x | 0.02x | 0.05x | 0.03x | -0.00x | -0.18x | -7.13x | 1.77x | 0.47x | 4.30x | 1.20x | 1.41x | 2.90x | 0.36x | 2.43x | 3.39x | 1.73x | 1.29x | 2.13x | 1.67x | 1.47x | 1.58x | 0.51x | -9.39x | -0.07x | 0.06x | 0.60x | 0.27x | 1.13x | -5.60x |
| Interest Paid | 0 | 0 | 44.57M | 41.23M | 43.45M | 20.42M | 178K | 11K | 0 | 0 | -2K | -34K | 74K | 78K | 31K | 32K | -4K | 48K | 98K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 1.06M | 30.32M | 21.97M | 7.01M | 6.8M | 5.91M | 13.21M | 29.28M | 24.33M | -13.35M | 5.53M | 12.94M | 6.46M | 1.94M | -9.43M | 9.69M | 5.79M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Quick answers to the most common questions about buying MSTR stock.
Strategy Inc (MSTR) generated $-67.2M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Strategy Inc (MSTR) reported negative free cash flow of $22.58B in 2025, indicating capital requirements exceeded cash from operations.
Strategy Inc (MSTR) spent $45.2M 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, Strategy Inc (MSTR) returned $381.4M to shareholders via cash dividends. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Bitcoin price volatility
Metrics are mathematically derived from official filings.
Earnings Decoupled from Cash
According to recent financial statements, MSTR's operating cash flow has been consistently negative or near zero, while net income swung from $10.0B to -$8.2B, indicating that reported earnings are almost entirely non-cash digital asset impairments.
The OCF/NI ratio is effectively zero or negative across all quarters, confirming that net income is not translating into cash generation. The massive gap between net income and operating cash flow is driven by non-cash impairment charges and reversals, which are accounting artifacts rather than operational cash flows. Investors should focus on the software segment's cash generation, which appears minimal relative to the company's market value.
FCF Volatility Masks Software Stability
Based on reported figures, MSTR's free cash flow has swung from -$18.1B to +$14.4B in recent quarters, with FCF margins ranging from -149.9% to +112.3%, reflecting digital asset mark-to-market effects rather than software operations.
The extreme FCF volatility is driven by changes in the fair value of Bitcoin holdings, which are included in FCF calculations but are non-cash. Excluding these effects, the underlying software business appears to generate modest but stable cash flows, with capex averaging around 1-2% of revenue. The trajectory of FCF is therefore not indicative of operational health but rather of Bitcoin price movements.
Minimal Capital Intensity in Software
As reported in the cash flow statement, MSTR's capital expenditures have been consistently low, averaging under 2% of revenue, indicating a capital-light software model that requires minimal reinvestment to maintain operations.
Capex has ranged from $0.4M to $26.8M per quarter, with the highest quarter (2025Q3) likely reflecting investments in infrastructure or acquisitions. The low capital intensity suggests that the software business generates high incremental returns on invested capital, but the company's overall capital allocation is dominated by Bitcoin purchases, which are not captured in this capex line. This implies that the software segment's cash flows are more than sufficient to fund its operational needs.
Working Capital Swings Reflect Timing
According to the cash flow data, MSTR's working capital changes have been volatile, ranging from -$29.0M to +$25.7M, but these swings are small relative to the company's market cap and likely reflect normal billing cycles.
The working capital changes are modest and do not indicate any systematic deterioration in collections or inventory management. The negative changes in several quarters may be due to timing of payments or accruals, but they are not material to the overall cash flow picture. Investors should monitor whether the company's payables management becomes more aggressive to fund Bitcoin purchases, but current data does not suggest such a trend.
Dividends Funded by Debt
Based on reported figures, MSTR has paid increasing dividends, reaching $399.6M in 2026Q2, while operating cash flow was negative, suggesting that dividend payments are being funded by external capital rather than internal cash generation.
The company initiated dividends in 2025Q1 and has rapidly increased them, but these payments far exceed operating cash flow. This indicates that the dividend is not sustainable from operations and may be part of a broader capital strategy to support the stock price. Investors should question the rationale for paying dividends when the company is aggressively accumulating Bitcoin and has significant debt obligations.
Cumulative Earnings vs Cash Gap
Over the past ten quarters, MSTR's cumulative net income is approximately -$25.5B, while cumulative operating cash flow is around -$100M, according to the cash flow data, highlighting a massive divergence driven by non-cash impairments.
The cumulative gap between net income and operating cash flow is nearly $25B, which is almost entirely attributable to digital asset impairment charges and reversals. This divergence underscores that reported earnings are not a reliable indicator of cash generation. The company's true cash flow from operations is minimal, and its ability to service debt and fund Bitcoin purchases relies on capital markets access rather than operational cash flow.
Cash Flow Obscures Bitcoin Purchases
The cash flow statement does not separately disclose Bitcoin purchases, which are likely classified as investing activities, thus obscuring the primary use of cash and making operating cash flow appear less relevant to the company's strategy.
While the provided data shows minimal capex and no acquisition line, the company's known strategy of buying Bitcoin with debt and equity proceeds is not visible in the operating or investing sections. This omission means that the cash flow statement understates the company's true cash outflows for asset acquisition. Investors should seek additional disclosures to understand the full cash flow picture, including the funding of Bitcoin purchases and the associated interest costs.