Persistent negative free cash flow, evidenced by a -57.2% FCF margin in 2026Q2, highlights a critical reliance on external capital to sustain operations.
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Sep'21 | Sep'20 | Sep'19 | Sep'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 |
|---|
| Cash from Operations | -7.43M | -2.84M | -11.01M | -12.89M | -7.52M | -8.6M | -3.43M | -5.4M | -2.83M | -2.11M | -21.11K | -30.23K | -26.17K | -25.09K | -13.73K | -27.43K | -5.09K |
| Operating CF Margin % | - | -23.45% | -318.91% | -660.04% | -4393.05% | -4829.09% | -177.79% | - | - | - | - | -4073.99% | -3385.9% | -2009.05% | -1491.1% | -508.11% | -436.33% |
| Operating CF Growth % | -3783.47% | 74.23% | 14.55% | -71.38% | 12.59% | -151.16% | 36.52% | -90.83% | -34.13% | -9888.03% | 30.18% | -15.5% | -4.3% | -82.72% | 49.93% | -438.65% | - |
| Net Income | -6.64M | -3.61M | -12.32M | -11.86M | -10M | -9.95M | -13.64M | -6.78M | -6.76M | -5.06M | -47.77K | -62.86K | -36.24K | -30.55K | -13.96K | -27.6K | -6.04K |
| Depreciation & Amortization | 256.47K | 261.68K | 246.79K | 199.27K | 118.62K | 80.75K | 47.61K | 27.57K | 20.56K | 17.63K | 7.74K | 7.76K | 0 | 0 | 0 | 0 | 0 |
| Stock-Based Compensation | 1.03M | 1.26M | 1.34M | 1.11M | 947.21K | 1.79M | 1.84M | 491.75K | 486.12K | 76.79K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | -11.47K | -85.31K | 2.02M | 683.21K | 0 | 590.97K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 256.99K | -328.99K | 669.61K | 96.4K | 212.16K | 69.44K | 6.74M | 284.56K | 3.42M | 2M | 15.62K | 16.76K | 330 | 4K | 0 | 0 | 0 |
| Working Capital Changes | -2.34M | -429.19K | -954.61K | -2.43M | 1.21M | -512.73K | -429.56K | -101.88K | 1.77K | 859.89K | 11.05K | 15.87K | 9.74K | 1.46K | 227 | 176 | 952 |
| Change in Receivables | -2.11M | -1.09M | -176.64K | 33.24K | 15.1K | -48.34K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -42.03K | 398.35K | -908.47K | -1.02M | -606.25K | -98.29K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 99.35K | 239.98K | 66.99K | -247.19K | 515.44K | -350.31K | -269.6K | 770.61K | 0 | 0 | 11.51K | -2.11K | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -133.43K | -81.74K | -120.2K | 2.65M | -3.24M | -67.08K | -122.43K | -123.35K | -146.71K | -91.71K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Capital Expenditures | -133.43K | -81.74K | -120.2K | -384.12K | -275.23K | -67.08K | -122.43K | -123.35K | 0 | -91.71K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| CapEx % of Revenue | 1.37% | 0.68% | 3.48% | 19.67% | 160.79% | 37.65% | 6.35% | - | - | - | - | - | - | - | - | - | - |
| Acquisitions | 0 | 0 | 0 | 0 | 2.97M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 7.5K | -2.97M | 0 | 0 | -65K | -146.71K | -91.71K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | 9.05M | 8.03M | 7.27M | 7.4M | 12.02M | 11.53M | 7.32M | 5.77M | 2.92M | 1.7M | 21.11K | 30.02K | 25.85K | 24.5K | 1K | 32.15K | 13K |
| Debt Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 8.44M | -283K | 0 | 954.13K | 0 | 0 | 3.23K | 11K | 1K | 3.5K | 12.5K |
| Equity Issued (Net) | 9.95M | 9.56M | 5.79M | 8.47M | 13.35M | 8.83M | 390K | 4.56M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 28.65K | 500 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -70.65K | -124.62K | -81.4K | -119.42K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -900.29K | -1.53M | 1.48M | -1.07M | -1.33M | 2.71M | -1.51M | 1.49M | 2.92M | 749.9K | 21.11K | 30.02K | 22.63K | 13.5K | 0 | 0 | 0 |
| Net Change in Cash | 1.48M | 5.11M | -3.86M | -2.84M | 1.26M | 2.86M | 3.78M | 247.49K | -56.77K | -495.75K | 0 | -205 | -320 | -593 | -12.73K | 4.72K | 7.91K |
| Free Cash Flow | -7.57M | -2.92M | -11.13M | -13.27M | -7.79M | -8.67M | -3.55M | -5.52M | -2.83M | -2.2M | -21.11K | -30.23K | -26.17K | -25.09K | -13.73K | -27.43K | -5.09K |
| FCF Margin % | -77.84% | -24.13% | -322.39% | -679.71% | -4553.84% | -4866.74% | -184.15% | - | - | - | - | -4073.99% | -3385.9% | -2009.05% | -1491.1% | -508.11% | -436.33% |
| FCF Growth % | -52.73% | 73.78% | 16.12% | -70.26% | 10.09% | -144.38% | 35.72% | -95.19% | -28.54% | -10322.54% | 30.18% | -15.5% | -4.3% | -82.72% | 49.93% | -438.65% | - |
| FCF per Share | -0.88 | -0.44 | -2.50 | -4.39 | -2.92 | -4.86 | -3.93 | -8.38 | -6.04 | -5.99 | -0.07 | -0.11 | -0.09 | -0.09 | -0.05 | -0.11 | -0.02 |
| FCF Conversion (FCF/Net Income) | 1.14x | 0.79x | 0.89x | 1.09x | 0.75x | 0.86x | 0.25x | 0.80x | 0.41x | 0.42x | 0.44x | 0.48x | 0.72x | 0.82x | 0.98x | 0.99x | 0.84x |
| Interest Paid | 0 | 0 | 0 | 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 | 0 | 0 | 0 |
Liquidity and dilution risk
According to reported financial data, the relationship between net income and operating cash flow is erratic, with the OCF/NI ratio swinging from 0.02 in 2025Q2 to 2.17 in 2026Q1, highlighting significant disconnects between accounting accruals and actual cash generation within the business model.
The wide variance in the OCF/NI ratio suggests that reported net income is a poor proxy for the company's underlying cash health. Investors should interpret these fluctuations as evidence of heavy reliance on non-cash adjustments and working capital swings rather than sustainable operational cash flow.
As indicated by the quarterly cash flow statements, NMTC has failed to achieve positive free cash flow in nine of the last ten quarters, with the FCF margin reaching a low of -160.2% in 2024Q2, underscoring the company's ongoing reliance on external capital to fund operations.
The persistent negative FCF trajectory confirms that the company is currently in a cash-burning phase of its lifecycle. Without a clear path to positive FCF, the company remains highly susceptible to capital market volatility and the potential for further shareholder dilution.
Based on the provided cash flow tables, working capital changes have been highly inconsistent, ranging from a $2.3M inflow in 2025Q2 to a $1.9M outflow in 2026Q1, which suggests that distributor stocking patterns are significantly distorting the company's quarterly cash flow profile.
These large, erratic swings in working capital indicate that the company's cash position is heavily influenced by the timing of inventory shipments to partners rather than end-user demand. This volatility makes it difficult to assess the true underlying cash conversion efficiency of the core business.
As reported in financial filings, stock-based compensation has remained a consistent feature of the company's expense structure, averaging over $300,000 per quarter, which effectively masks the true extent of the cash burn required to retain talent during this high-growth, pre-profitability phase.
While SBC is a non-cash expense, it represents a real economic cost to shareholders through dilution. Analysts should monitor whether this reliance on equity-based incentives continues to grow as the company attempts to scale its commercial operations without achieving self-sustaining cash flow.
Quick answers to the most common questions about buying NMTC stock.
NeuroOne Medical Technologies Corporation (NMTC) generated $-2.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
NeuroOne Medical Technologies Corporation (NMTC) reported negative free cash flow of $2.9M in 2025, indicating capital requirements exceeded cash from operations.
NeuroOne Medical Technologies Corporation (NMTC) spent $0.1M 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, NeuroOne Medical Technologies Corporation (NMTC) spent $0.1M on share repurchases. This shows the company's commitment to returning capital to its equity investors.