The company has significantly increased its leverage, with total debt rising to $3.5 billion in 2026Q1, resulting in a debt-to-equity ratio of 2.31 that warrants close monitoring.
| Total Current Assets | 4.72B | 4.64B | 2.27B | 1.98B | 1.89B | 1.95B | 1.13B | 689.87M | 196.74M | 92.02M |
| Cash & Short-Term Investments | 4.17B | 4.1B | 1.86B | 1.67B | 1.65B | 1.82B | 1.03B | 636.95M | 160.66M | 73.41M |
| Cash Only | 943.18M | 943.54M | 147.69M | 86.86M | 204.18M | 313.78M | 108.89M | 138.98M | 25.05M | 24.44M |
| Short-Term Investments | 3.23B | 3.16B | 1.71B | 1.59B | 1.45B | 1.51B | 923.2M | 497.97M | 135.6M | 48.96M |
| Accounts Receivable | 403.75M | 406.02M | 333.32M | 259.31M | 156.84M | 101.62M | 67.04M | 35.93M | 26.71M | 15.19M |
| Days Sales Outstanding | 59.29 | 68.36 | 72.87 | 72.99 | 58.7 | 56.51 | 56.76 | 45.69 | 50.59 | 41.08 |
| Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Days Inventory Outstanding | - | - | - | - | - | - | - | - | - | - |
| Other Current Assets | 137.07M | 9.36M | 75.48M | 2.52M | 10.55M | 2.96M | 2.59M | 3.31M | 1.16M | 749K |
| Total Non-Current Assets | 1.45B | 1.39B | 1.03B | 776.69M | 700.02M | 418.65M | 250.7M | 140.95M | 101.64M | 71.12M |
| Property, Plant & Equipment | 875.25M | 856.34M | 635.8M | 461.37M | 418.96M | 314.05M | 166.84M | 101.47M | 73.21M | 51.42M |
| Fixed Asset Turnover | 2.84x | 2.53x | 2.63x | 2.81x | 2.33x | 2.09x | 2.58x | 2.83x | 2.63x | 2.62x |
| Goodwill | 233.49M | 226.56M | 181.09M | 148.05M | 148.05M | 23.53M | 17.17M | 4.08M | 4.08M | 4.08M |
| Intangible Assets | 38.31M | 41.8M | 21.86M | 19.56M | 32.48M | 1.25M | 2.8M | 31K | 156K | 673K |
| Long-Term Investments | 1.23M | 0 | 0 | 0 | 471K | -370K | 0 | 0 | 0 | 0 |
| Other Non-Current Assets | 300.04M | 266.72M | 193.41M | 147.71M | 100.2M | 79.82M | 63.89M | 35.37M | 24.19M | 14.94M |
| Total Assets | 6.16B | 6.04B | 3.3B | 2.76B | 2.59B | 2.37B | 1.38B | 830.82M | 298.38M | 163.14M |
| Asset Turnover | 0.40x | 0.36x | 0.51x | 0.47x | 0.38x | 0.28x | 0.31x | 0.35x | 0.65x | 0.83x |
| Asset Growth % | 328.13% | 82.85% | 19.62% | 6.64% | 9.1% | 71.81% | 66.18% | 178.44% | 82.89% | - |
| Total Current Liabilities | 2.41B | 2.35B | 793.65M | 567.08M | 397.87M | 288.56M | 141.38M | 83.88M | 61.38M | 27.16M |
| Accounts Payable | 58.84M | 84.11M | 105.81M | 53.73M | 35.61M | 26.09M | 14.48M | 11.46M | 14.29M | 4.72M |
| Days Payables Outstanding | 47.96 | 55.38 | 101.98 | 63.88 | 55.87 | 64.71 | 52.32 | 65.97 | 119.76 | 59.91 |
| Short-Term Debt | 1.37B | 1.36B | 0 | 0 | 0 | 12.12M | 0 | 0 | 255K | 356K |
| Deferred Revenue (Current) | 2.58B | 684.21M | 477.76M | 347.61M | 218.65M | 116.55M | 54.95M | 30.84M | 16.82M | 11.93M |
| Other Current Liabilities | 126.46M | 109.05M | 80.85M | 63.8M | 42.01M | 70.56M | 34.01M | 26.61M | 22.72M | 4.09M |
| Current Ratio | 1.96x | 1.98x | 2.86x | 3.50x | 4.74x | 6.77x | 7.99x | 8.22x | 3.21x | 3.39x |
| Quick Ratio | 1.96x | 1.98x | 2.86x | 3.50x | 4.74x | 6.77x | 7.99x | 8.22x | 3.21x | 3.39x |
| Cash Conversion Cycle | 11.33 | - | - | - | - | - | - | - | - | - |
| Total Non-Current Liabilities | 2.23B | 2.23B | 1.46B | 1.43B | 1.57B | 1.27B | 422.33M | 21.11M | 350.51M | 195.81M |
| Long-Term Debt | 1.98B | 2.16B | 1.29B | 1.28B | 1.44B | 1.15B | 383.27M | 0 | 0 | 255K |
| Capital Lease Obligations | 682.36M | 182.03M | 128.27M | 113.49M | 107.62M | 109.04M | 27.31M | 10.51M | 10.44M | 10.31M |
| Deferred Tax Liabilities | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Current Liabilities | 29.06M | -152.69M | 23.63M | 15.54M | 10.53M | 7.11M | 9.86M | 9.8M | 339.84M | 185.04M |
| Total Liabilities | 4.64B | 4.58B | 2.25B | 2B | 1.96B | 1.56B | 563.71M | 105M | 411.88M | 222.98M |
| Total Debt | 3.52B | 3.7B | 1.46B | 1.44B | 1.58B | 1.29B | 428.3M | 10.51M | 10.7M | 10.92M |
| Net Debt | 2.58B | 2.76B | 1.32B | 1.35B | 1.37B | 979.43M | 319.41M | -128.47M | -14.36M | -13.52M |
| Debt / Equity | 2.31x | 2.54x | 1.40x | 1.88x | 2.53x | 1.59x | 0.52x | 0.01x | - | - |
| Debt / EBITDA | 22.56x | 42.02x | - | - | - | - | - | - | - | 4.47x |
| Net Debt / EBITDA | 16.52x | 31.30x | - | - | - | - | - | - | - | -5.53x |
| Interest Coverage | -11.15x | -9.58x | -12.64x | -40.43x | -47.60x | -4.46x | -4.41x | -102.43x | -85.78x | -10.27x |
| Total Equity | 1.53B | 1.46B | 1.05B | 763.05M | 623.96M | 815.8M | 816.94M | 725.83M | -113.5M | -59.83M |
| Equity Growth % | 125.6% | 39.47% | 37.11% | 22.29% | -23.51% | -0.14% | 12.55% | 739.47% | -89.7% | - |
| Book Value per Share | 4.33 | 4.19 | 3.06 | 2.29 | 1.91 | 2.61 | 2.73 | 2.42 | -0.48 | -0.24 |
| Total Shareholders' Equity | 1.53B | 1.46B | 1.05B | 763.05M | 623.96M | 815.8M | 816.94M | 725.83M | -113.5M | -59.83M |
| Common Stock | 352K | 351K | 344K | 337K | 328K | 321K | 304K | 294K | 85K | 79K |
| Retained Earnings | -1.23B | -1.2B | -1.1B | -1.02B | -839.89M | -680.83M | -420.52M | -301.71M | -195.88M | -108.71M |
| Treasury Stock | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -82.34M | -48.91M |
| Accumulated OCI | -5.78M | 12.26M | -4.25M | 1.98M | -11.9M | -2.65M | 163K | 61K | -39.9M | -27.74M |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
High leverage and dilution
According to recent financial filings, Cloudflare's total assets grew from $2.8 billion in 2024Q1 to $6.2 billion by 2026Q1, reflecting a rapid scaling of the global network infrastructure that suggests a deliberate, capital-intensive strategy to capture long-term market share in the edge computing sector.
The trajectory of the balance sheet indicates a company aggressively deploying capital to build out its physical footprint, which is necessary to support its Anycast architecture. While total liabilities have also risen, the expansion of the asset base suggests that management is successfully converting debt and equity into productive infrastructure that supports future revenue growth.
As reported in quarterly balance sheets, the company's total debt increased significantly to $3.5 billion in 2026Q1 from $1.4 billion in 2024Q1, resulting in a debt-to-equity ratio of 2.31, which warrants close monitoring as the firm balances growth investments with interest obligations.
The rise in debt appears to be a strategic choice to fund the massive infrastructure requirements of a global edge network rather than a sign of operational distress. Investors should monitor whether the cash flow generated from these investments can eventually service this debt load without requiring further dilutive equity raises.
Based on the reported figures for 2026Q1, the company maintains a current ratio of 1.96, providing a stable liquidity cushion that appears adequate to cover near-term operational requirements despite the significant cash outflows associated with ongoing global network expansion and aggressive research and development spending.
The current ratio has moderated from the highs seen in 2025, yet it remains well above the threshold of concern for a high-growth technology firm. This liquidity position suggests the company has sufficient runway to navigate potential market volatility without immediate pressure to access capital markets under unfavorable terms.
As indicated in the latest financial statements, equity has grown to $1.5 billion by 2026Q1, though this figure is heavily influenced by persistent stock-based compensation practices that continue to dilute existing shareholders while masking the true underlying profitability of the core business operations.
The reliance on equity-based incentives to retain talent is a double-edged sword that supports the company's innovation velocity but complicates the assessment of long-term shareholder value. Analysts should remain cautious regarding the impact of this ongoing dilution on future earnings per share as the company matures.
Quick answers to the most common questions about buying NET stock.
As of 2025, Cloudflare, Inc. (NET) had total assets of $6.04B including $4.64B in current assets.
Cloudflare, Inc. (NET) carries total debt of $3.70B, offset by $4.10B in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
Cloudflare, Inc. (NET) has total shareholders' equity (book value) of $1.46B ($4.19 book value per share). Book value represents the net worth of the company belonging to common stock holders.
Cloudflare, Inc. (NET) reported a current ratio of 1.98x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.