Operational viability remains compromised as the firm burned $2.0 million in free cash flow during the most recent quarter, further straining its $8.2 million cash position.
| Cash from Operations | -3.69M | 722.85K | -5.15M | -5.59M | -4.1M | -1.98M | -2.14M | -1.87M | -961.23K | -633.91K |
| Operating CF Margin % | 18.03% | 38.69% | -592.17% | -520.85% | -627.3% | -267.19% | -1065.33% | -6957.64% | - | - |
| Operating CF Growth % | -610.98% | 114.03% | 7.85% | -36.47% | -106.6% | 7.31% | -14.37% | -94.58% | -51.63% | - |
| Net Income | -56.08M | -91.17M | -4.31M | -5.65M | -7.05M | -3.18M | -2.24M | -2.35M | -919.2K | -661.21K |
| Depreciation & Amortization | 83.93K | 46.76K | 45.78K | 66.43K | 40.13K | 54.58K | 25.84K | 27.31K | 20.97K | 14.01K |
| Stock-Based Compensation | 0 | 0 | 0 | 0 | 1.02M | 1M | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | -1.02M | -923.43K | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 52.91M | 88.64M | -112.06K | 232.22K | 2.51M | 1.34M | 477.57K | 61.88K | 4.13K | 12.54K |
| Working Capital Changes | -611.44K | 3.2M | -775.55K | -243.84K | 407.42K | -280.34K | -399.33K | 389.46K | -67.13K | 738 |
| Change in Receivables | 0 | 5.23M | 108.3K | -104.03K | -148.47K | -30.36K | 59.6K | 0 | -1.16K | -15.12K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | 9M | 629.54K | -86.54M | -3.54M | -2.59M | -331.94K | -725.48K | -66.31K | 385.39K | -445.37K |
| Capital Expenditures | 0 | -5.04K | -970 | -3.79K | -37.07K | -18.38K | -129.8K | -23.86K | -6.36K | -47.16K |
| CapEx % of Revenue | 0% | 0.27% | 0.11% | 0.35% | 5.68% | 2.48% | 64.64% | 88.77% | - | - |
| Acquisitions | 0 | 0 | -87.08M | -1M | 0 | 0 | -197.26K | -42.45K | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 9M | 634.58K | 106.47K | -2.54M | -2.21M | 253.49K | -253.46K | -42.45K | 391.75K | -398.21K |
| Cash from Financing | 0 | -241.75K | 89.67M | 1.75M | 16.47M | 37.25K | 6.44M | 1.85M | 66.65K | 1.82M |
| Debt Issued (Net) | 0 | -241.75K | 89.67M | 0 | -163.3K | 41.25K | 0 | 0 | 0 | 0 |
| Equity Issued (Net) | 0 | 0 | 0 | 1.75M | 16.64M | 0 | 6.85M | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 36K | 0 | 0 |
| Other Financing | 0 | 0 | -5K | 0 | -2.34K | -4K | -413.19K | 1.85M | 66.65K | 1.82M |
| Net Change in Cash | 5.32M | 1.11M | -2.05M | -7.38M | 9.78M | -2.22M | 3.55M | -143.94K | -481.81K | 708.72K |
| Free Cash Flow | -3.69M | 717.82K | -5.15M | -5.59M | -4.13M | -2M | -2.27M | -1.89M | -967.59K | -681.07K |
| FCF Margin % | 18.03% | 38.42% | -592.28% | -521.2% | -632.98% | -269.66% | -1129.97% | -7046.41% | - | - |
| FCF Growth % | -614.57% | 113.93% | 7.9% | -35.34% | -106.55% | 11.8% | -19.78% | -95.77% | -42.07% | - |
| FCF per Share | -0.07 | 0.03 | -0.39 | -1.60 | -1.69 | -0.98 | -1.13 | -0.84 | -0.18 | -0.13 |
| FCF Conversion (FCF/Net Income) | 0.07x | -0.01x | 0.62x | 0.99x | 0.58x | 0.62x | 0.95x | 0.80x | 1.05x | 0.96x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Existential liquidity and regulatory
As reported in recent financial filings, MTC's operating cash flow consistently trails net income, with the most recent quarter showing a negative $2.0 million operating cash flow against a $9.6 million net loss, highlighting a persistent inability to convert operational activity into meaningful cash generation.
The persistent gap between net losses and operating cash outflows suggests that the company's core business model is not merely unprofitable but fundamentally cash-consumptive. Investors should monitor whether the lack of positive cash conversion is a result of structural overhead or an inability to collect on service agreements.
Based on MTC's reported figures, free cash flow has remained persistently negative across nearly all observed periods, with the firm burning $2.0 million in the most recent quarter, underscoring a trajectory that lacks the self-sustaining characteristics required for long-term operational viability in the fintech sector.
The absence of positive free cash flow suggests that the company is reliant on external capital or existing cash reserves to fund its ongoing operations. This trajectory appears to indicate that the firm has yet to achieve the scale necessary to cover its fixed cost base, raising questions about the sustainability of its current business model.
According to historical data, MTC's working capital changes have been highly erratic, including a $164.1 thousand outflow in the latest quarter, which suggests significant instability in the company's ability to manage its short-term assets and liabilities effectively amidst a broader revenue collapse.
The volatility in working capital movements may imply difficulties in managing client receivables or settling payables in a timely manner. Such fluctuations often serve as a leading indicator of operational friction, particularly when the underlying revenue base is experiencing severe contraction.
As indicated by historical cash flow statements, MTC has previously engaged in share repurchases, such as the $6.9 million outflow in 2022, despite failing to generate positive free cash flow, which suggests a capital allocation strategy that may have prioritized short-term optics over long-term balance sheet preservation.
The decision to return capital to shareholders while the core business was already exhibiting signs of distress warrants further investigation by stakeholders. This pattern of deployment appears to have depleted cash reserves that could have otherwise been utilized to stabilize the firm's operational infrastructure.
Quick answers to the most common questions about buying MTC stock.
MMTec, Inc. (MTC) generated $-3.7M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
MMTec, Inc. (MTC) reported negative free cash flow of $3.7M in 2025, indicating capital requirements exceeded cash from operations.
MMTec, Inc. (MTC) 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.