Operating cash flow frequently decouples from reported earnings, as highlighted by a 2024Q2 OCF/NI ratio of -6.73, indicating poor conversion efficiency.
| Cash from Operations | -134.18M | -75.69M | 35.5M | -28.95M | 23.86M | 2.69M | 335.23K | -725.08K | -6.1M | 1.58M | 3.93M | 2.76M | 3.76M |
| Operating CF Margin % | - | -22.29% | 9.18% | -12.36% | 14.89% | 6.37% | 1.59% | -2.87% | -20.88% | 5.82% | 17.1% | 16.5% | 26.13% |
| Operating CF Growth % | -1684.45% | -313.21% | 222.61% | -221.36% | 787.95% | 701.46% | 146.23% | 88.11% | -486.53% | -59.88% | 42.37% | -26.49% | - |
| Net Income | -62.81M | 923.64K | 17.58M | 17.78M | 30.51M | 9.92M | 1.23M | -5.14M | 7.14M | 5.93M | 4.4M | 3.41M | 3.05M |
| Depreciation & Amortization | 2.58M | 1.04M | 1.26M | 2.11M | 2.18M | 1.69M | 242.41K | 1.2M | 940K | 517.4K | 444.4K | 372.69K | 438.49K |
| Stock-Based Compensation | 31.81K | 0 | 31.81K | 310.63K | 570K | 1.1M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -110.34K | -118.22K | -710.67K | 271.91K | 275.75K | -584.76K | -55.73K | -1.47M | 11.53K | 56.97K | -89.08K | 91.99K | -108.71K |
| Other Non-Cash Items | 110.09M | 20.07M | 8.45M | 4.75M | -323.63K | 309.2K | -263.48K | 8.2M | 199.89K | 372 | 367.31K | -368.71K | 370.02K |
| Working Capital Changes | -183.97M | -97.6M | 8.9M | -54.18M | -9.35M | -9.74M | -819.64K | -3.5M | -14.38M | -4.93M | -1.19M | -745.26K | 4.13K |
| Change in Receivables | -53.85M | -56.74M | -21.74M | -2.08M | -13.29M | 573.42K | -815.53K | -2.13M | -1.03M | 374.25K | -973.28K | -181.7K | 39.55K |
| Change in Inventory | 20.93M | 29.77M | -246.82K | -25.53M | -3.93M | -11.31M | -277.18K | 1.18M | 788K | 427.88K | -1.11M | 1.87M | -2.05M |
| Change in Payables | 546.43K | -20.38M | 9.82M | 7.69M | 33.62M | 1.01M | 0 | 146.55K | 26.45K | -290.72K | 895.6K | -1.28M | 1.65M |
| Cash from Investing | 34.64M | 6.01M | 19.78M | 17.84M | -25.25M | -4.72M | -1.96M | -115.21K | -3.13M | -980.92K | -3.14M | -5.08M | -2.03M |
| Capital Expenditures | -325.07K | -31K | -503.96K | -727.29K | -204.99K | -299.3K | -237.55K | -115.21K | -3.13M | -980.92K | -3.14M | -5.4M | -1.71M |
| CapEx % of Revenue | 0.05% | 0.01% | 0.13% | 0.31% | 0.13% | 0.71% | 1.13% | 0.46% | 10.71% | 3.62% | 13.64% | 32.29% | 11.88% |
| Acquisitions | 0 | - | - | - | - | - | - | - | - | - | - | - | - |
| Investments | 125.64K | 7.34M | 13.16M | 34.24M | 57.28M | 20.9M | 3.71M | 3.05M | -1.09M | 0 | -1.2M | -1.33M | -1.4M |
| Other Investing | 28.91M | -205.41K | -273.19K | -501.9K | 16.59M | 9.3M | -3.77M | -115.21K | 0 | 0 | 0 | 322.48K | -319.75K |
| Cash from Financing | 1.28M | -739.85K | -6.75M | -8.34M | 70.53M | 18.36M | 3.15M | 730.67K | 863.37K | 10.27M | 8.83K | 2.51M | -2.8M |
| Debt Issued (Net) | 0 | - | - | - | - | - | - | - | - | - | - | - | - |
| Equity Issued (Net) | -1.06M | -1.06M | 94.25K | -355.84K | 70.79M | 4.55M | 3.58M | 0 | 0 | 0 | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -1.06M | -1.06M | 0 | -355.84K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 1.4M | 0 | -35.29K | 27.02K | -1.05M | 3.28M | -430K | 730.67K | -119.85K | 10.2M | 0 | 2.78M | -2.56M |
| Net Change in Cash | -167.35M | -69.63M | 47.33M | -24.31M | 69.43M | 19.42M | 1.34M | -203.86K | -8.66M | 10.76M | 741.18K | 192.66K | -1.04M |
| Free Cash Flow | -134.5M | -75.71M | 34.95M | -29.68M | 23.65M | 2.39M | 97.69K | -840.29K | -9.22M | 596.38K | 795.49K | -2.64M | 2.05M |
| FCF Margin % | -19.49% | -22.29% | 9.04% | -12.67% | 14.76% | 5.66% | 0.46% | -3.32% | -31.59% | 2.2% | 3.46% | -15.79% | 14.25% |
| FCF Growth % | -457.13% | -316.63% | 217.76% | -225.49% | 890.68% | 2343.91% | 111.63% | 90.89% | -1646.59% | -25.03% | 130.11% | -228.91% | - |
| FCF per Share | -29.42 | -18.68 | 8.86 | -7.45 | 11.00 | 1.28 | 0.06 | -0.53 | -6.28 | 0.50 | 0.66 | -2.20 | 1.71 |
| FCF Conversion (FCF/Net Income) | 2.14x | -81.95x | 2.02x | -1.64x | 0.79x | -0.20x | 0.12x | 0.14x | -0.85x | 0.27x | 0.89x | 0.81x | 1.23x |
| Interest Paid | 170.75K | 170.75K | 29.96K | 496.93K | 370.36K | 124.78K | 0 | 91.92K | 0 | 0 | 55.62K | 99.1K | 0 |
| Taxes Paid | 5.67M | 5.67M | 4.53M | 10.39M | 5.55M | 552.78K | 0 | 42.25K | 0 | 0 | 1.6K | 198 | 0 |
Persistent operating cash burn
As reported in recent financial statements, NISN's operating cash flow frequently decouples from net income, evidenced by a 2024Q2 OCF/NI ratio of -6.73, which suggests that reported profits are not translating into actual liquidity and may be heavily reliant on non-cash accruals or accounting adjustments.
The persistent gap between net income and operating cash flow indicates that the company's earnings quality is significantly lower than the headline figures suggest. Investors should monitor whether this divergence is driven by aggressive revenue recognition or delayed cash collections from SME clients, as the lack of cash conversion undermines the credibility of reported profitability.
Based on the provided cash flow data, NISN has struggled to maintain positive free cash flow, with a -40.5% FCF margin in 2025Q2, indicating that the business model is currently consuming rather than generating cash to sustain its operations and supply chain facilitation activities.
The volatility in FCF, swinging from a positive $57.0 million in 2023Q2 to a deep burn of $36.8 million in 2025Q2, highlights the high-risk nature of the company's transactional revenue base. This trajectory suggests that the firm lacks the scale or pricing power to cover its operating costs, necessitating a potential reliance on external financing or balance sheet depletion.
According to historical cash flow records, working capital changes have been a primary driver of cash volatility, with a massive $79.9 million outflow in 2024Q2 alone, suggesting that the company's cash cycle is highly sensitive to the timing of trade receivables and payables within its ecosystem.
The erratic nature of working capital movements implies that NISN is acting as a liquidity buffer for its SME clients, which exposes the company to significant credit and timing risks. This reliance on working capital management to facilitate transactions appears to be a structural weakness that prevents the stabilization of operating cash flows.
Analysis of the 5-year cumulative data reveals a stark divergence between reported net income and operating cash flow, where the company's inability to consistently convert earnings into cash suggests that the reported profitability may be overstated relative to the actual cash-generating capacity of the underlying business.
The cumulative disconnect between accounting profits and cash reality warrants further investigation into the company's revenue recognition policies. It appears that the business model requires constant capital injections to support its supply chain operations, which may not be sustainable if the current trend of negative cash conversion persists.
Quick answers to the most common questions about buying NISN stock.
Nisun International Enterprise Development Group Co., Ltd (NISN) generated $-75.7M in net cash from operating activities in 2024. This reflects the cash generated directly from core business operations.
Nisun International Enterprise Development Group Co., Ltd (NISN) reported negative free cash flow of $75.7M in 2024, indicating capital requirements exceeded cash from operations.
Nisun International Enterprise Development Group Co., Ltd (NISN) spent $0.0M on capital expenditures in 2024. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2024, Nisun International Enterprise Development Group Co., Ltd (NISN) spent $1.1M on share repurchases. This shows the company's commitment to returning capital to its equity investors.