Cash conversion remains weak, with cumulative FCF of -$171.0M over ten quarters and operating cash flow of -$8.9M versus net income of $14.2M, driven by working capital swings and capex exceeding depreciation.
Metallus Inc. (MTUS) cash flow statement — 13-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 |
|---|
| Cash from Operations | 6M | 16M | 40.3M | 125.3M | 134.5M | 196.9M | 173.5M | 70.3M | 18.5M | 8.1M | 74.4M | 107.1M | 93.9M | 175.1M |
| Operating CF Margin % | - | 1.38% | 3.72% | 9.2% | 10.11% | 15.35% | 20.89% | 5.82% | 1.15% | 0.61% | 8.56% | 9.68% | 5.61% | 12.68% |
| Operating CF Growth % | 97.75% | -60.3% | -67.84% | -6.84% | -31.69% | 13.49% | 146.8% | 280% | 128.4% | -89.11% | -30.53% | 14.06% | -46.37% | - |
| Net Income | 8.1M | -1.2M | 1.3M | 69.4M | 65.1M | 171M | -61.9M | -84.6M | -10M | -43.8M | -105.5M | -45M | 46.1M | 89.5M |
| Depreciation & Amortization | 55.9M | 56.6M | 54.1M | 56.9M | 58.3M | 63.1M | 70M | 70.7M | 73M | 74.9M | 74.9M | 73.4M | 58M | 50M |
| Stock-Based Compensation | 14.2M | 14.7M | 14M | 11.5M | 8.8M | 7.3M | 6.6M | 7.4M | 7.3M | 6.5M | 6.7M | 7M | 6M | 2.8M |
| Deferred Taxes | 2.9M | 3.7M | 500K | -9.7M | 24.9M | 1.2M | 0 | -16.6M | 800K | -300K | -36.8M | 0 | 0 | 0 |
| Other Non-Cash Items | 7.9M | 12.8M | -20.6M | 53.7M | -200K | -31.6M | 8.3M | 29.6M | 267.7M | 254.6M | 215.9M | -125.2M | 75.5M | 11.7M |
| Working Capital Changes | -83M | -70.6M | -9M | -56.5M | -22.4M | -14.1M | 150.5M | 63.8M | -83.3M | -55.2M | 39.2M | 196.9M | -91.7M | 21.1M |
| Change in Receivables | -23M | -34.7M | 21.7M | -33.4M | 21.3M | -37.2M | 14.2M | 85.9M | -13.6M | -58.2M | -10.7M | 86.2M | -17.7M | -11.8M |
| Change in Inventory | -52.2M | -22.9M | 7.3M | -34.9M | 18.8M | -41.6M | 103.5M | 92.6M | -94.5M | -59.8M | 9.7M | 122.7M | -69.6M | 29.2M |
| Change in Payables | 22.2M | 29.1M | -19.2M | 15.3M | -33.2M | 53.5M | 23.1M | -87.7M | 24.4M | 45.7M | 37.5M | 0 | 0 | 0 |
| Cash from Investing | -72.3M | -75.2M | -10.8M | -49.9M | -21.7M | -4.8M | -6M | -38M | -39M | -33M | -42.7M | -77.8M | -129.6M | -183.6M |
| Capital Expenditures | -103.6M | -109M | -64.3M | -51.6M | -27.1M | -12.2M | -16.9M | -38M | -40M | -33M | -42.7M | -78.2M | -129.6M | -182.8M |
| CapEx % of Revenue | 8.47% | 9.41% | 5.93% | 3.79% | 2.04% | 0.95% | 2.03% | 3.14% | 2.48% | 2.48% | 4.91% | 7.07% | 7.74% | 13.24% |
| Acquisitions | 0 | 0 | 0 | 0 | 5.4M | 6.2M | 0 | 0 | 1M | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 31.3M | 33.8M | 53.5M | 1.7M | 0 | 1.2M | 10.9M | 0 | 1M | 0 | 0 | 400K | 0 | -800K |
| Cash from Financing | -16.7M | -25.2M | -68.9M | -51.9M | -114.6M | -35.3M | -91.8M | -26.8M | 17.6M | 23.8M | -48.5M | -21.4M | 70.2M | 8.5M |
| Debt Issued (Net) | -400K | -9.5M | -17.2M | -18.7M | -67.6M | -38.9M | -90M | -26M | 18.1M | 25M | -43.7M | 15M | 155M | 0 |
| Equity Issued (Net) | -11.8M | -13.1M | -53.1M | -36M | -54M | -500K | -600K | -1M | -700K | -1.4M | 0 | -17.3M | -34.7M | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -18.7M | -62.7M | 0 |
| Share Repurchases | -12.1M | -13.1M | -53.1M | -36M | -54M | -500K | -600K | -1M | -700K | -1.4M | 0 | -17.3M | -34.7M | 0 |
| Other Financing | -4.5M | -2.6M | 1.4M | 2.8M | 7M | 4.1M | -1.2M | 200K | 200K | 200K | -4.8M | -400K | 12.6M | 8.5M |
| Net Change in Cash | -83M | -84.4M | -39.4M | 23.5M | -1.8M | 156.8M | 75.7M | 5.5M | -2.9M | -1.1M | -16.8M | 7.9M | 34.5M | 0 |
| Free Cash Flow | -97.6M | -93M | -24M | 73.7M | 107.4M | 184.7M | 156.6M | 32.3M | -21.5M | -24.9M | 31.7M | 28.9M | -35.7M | -7.7M |
| FCF Margin % | -7.98% | -8.03% | -2.21% | 5.41% | 8.08% | 14.4% | 18.85% | 2.67% | -1.33% | -1.87% | 3.65% | 2.61% | -2.13% | -0.56% |
| FCF Growth % | -16.75% | -287.5% | -132.56% | -31.38% | -41.85% | 17.94% | 384.83% | 250.23% | 13.65% | -178.55% | 9.69% | 180.95% | -363.64% | - |
| FCF per Share | -2.26 | -2.22 | -0.54 | 1.54 | 2.09 | 3.36 | 3.48 | 0.72 | -0.48 | -0.56 | 0.72 | 0.65 | -0.78 | -0.17 |
| FCF Conversion (FCF/Net Income) | -12.05x | -13.33x | 31.00x | 1.81x | 2.07x | 1.15x | -2.80x | -0.64x | -1.85x | -0.18x | -0.71x | -2.38x | 2.04x | 1.96x |
| Interest Paid | 0 | 0 | 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 |
Quick answers to the most common questions about buying MTUS stock.
Metallus Inc. (MTUS) generated $16.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Metallus Inc. (MTUS) reported negative free cash flow of $93.0M in 2025, indicating capital requirements exceeded cash from operations.
Metallus Inc. (MTUS) spent $109.0M 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, Metallus Inc. (MTUS) spent $13.1M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Margin conversion remains elusive
Metrics are mathematically derived from official filings.
Earnings Quality Masked by Working Capital
Operating cash flow swung from $33.4M in Q1 2024 to -$38.9M in Q1 2025, while net income remained positive, indicating significant accrual volatility, as reported in financial statements.
The OCF/NI ratio has ranged from -29.92 to 9.41 over the past ten quarters, demonstrating that net income is a poor proxy for cash generation in this business. The large negative working capital changes, particularly in Q1 2025 (-$47.3M) and Q1 2026 (-$47.3M), suggest that inventory build-ups or receivable timing are driving the divergence. Investors should monitor whether these swings reflect strategic stockpiling ahead of defense orders or systemic collection issues.
Free Cash Flow Remains Elusive
Metallus generated negative free cash flow in eight of the last ten quarters, with cumulative FCF of -$171.0M, despite positive net income in most periods, based on reported cash flow data.
The FCF margin has been negative in most quarters, reaching -23.7% in Q1 2025, and only turning positive in Q2 2025 (5.6%) and Q1 2024 (5.0%). This pattern indicates that capital expenditures and working capital demands consistently outpace operating cash flow, undermining the company's ability to self-fund growth. The recent improvement in Q2 2026 (FCF of -$2.4M) is marginal and suggests that the company is still not generating sustainable free cash flow.
Capital Intensity Pressures Cash Generation
Capital expenditures averaged $21.3M per quarter over the last ten quarters, representing 7.6% of revenue, while depreciation averaged $13.8M, indicating that capex exceeds depreciation by a significant margin, as per cash flow statements.
The consistent excess of capex over D&A suggests that Metallus is investing in growth or maintenance beyond the level of asset consumption. This is typical for a steel producer with aging facilities, but the lack of corresponding FCF raises questions about the return on these investments. The elevated capex in Q4 2025 ($35.3M) and Q1 2026 ($24.7M) may indicate a strategic push to expand capacity or improve efficiency, but investors should monitor whether these investments translate into higher margins.
Working Capital Swings Drive Cash Volatility
Working capital changes have been the primary driver of operating cash flow volatility, with swings ranging from +$18.7M to -$47.3M over the past ten quarters, according to reported cash flow data.
The large negative working capital changes in Q1 2025 and Q1 2026 suggest that Metallus is building inventory or extending receivables, possibly in anticipation of higher demand or due to supply chain disruptions. Conversely, positive changes in Q2 2025 and Q4 2024 indicate efficient collection or inventory drawdowns. This volatility makes it difficult to assess the underlying cash generation capability of the business, and investors should focus on the trend in operating cash flow excluding working capital.
Share Repurchases Outpace Cash Generation
Metallus has spent $74.1M on share repurchases over the last ten quarters, while paying no dividends, despite generating negative free cash flow in most periods, as reported in cash flow statements.
The consistent buyback activity, even during quarters with negative FCF, suggests a commitment to returning capital to shareholders, but it also raises concerns about capital allocation discipline. With a fortress balance sheet (debt-to-equity of 0.02%), the company has the flexibility to repurchase shares, but the lack of positive FCF means these buybacks are funded by existing cash reserves or debt. Investors should monitor whether this strategy is sustainable if cash generation does not improve.
Cumulative Earnings Outpace Cash Flow
Over the past ten quarters, Metallus reported cumulative net income of $14.2M, but cumulative operating cash flow was -$8.9M, indicating a significant gap between earnings and cash generation, based on reported figures.
This divergence suggests that earnings are being supported by non-cash items such as depreciation and amortization, but are offset by working capital outflows and other adjustments. The negative cumulative OCF implies that the company has not been able to convert its accounting profits into actual cash, which is a red flag for earnings quality. The gap may be explained by the heavy working capital requirements of the steel industry, but it warrants further investigation into the sustainability of the company's profitability.
Stock Compensation and Capex Distort Cash Flow
Stock-based compensation averaged $3.5M per quarter, representing a significant portion of net income, while capex consistently exceeded depreciation, obscuring true cash generation, as per cash flow statements.
SBC is a non-cash expense that reduces reported net income but does not affect operating cash flow, yet it still dilutes shareholders. The consistent SBC of around $3.5M per quarter, even during loss-making quarters, suggests that management is rewarding itself despite poor performance. Additionally, the gap between capex and D&A indicates that the company is investing heavily in its asset base, but the returns on these investments are not yet visible in cash flow. Investors should adjust for these items to assess the underlying cash generation capability.