Cash conversion efficiency remains fundamentally broken, as evidenced by a 2023Q2 OCF/NI ratio of -1.87, indicating that reported earnings fail to generate actual liquidity.
| Cash from Operations | -10.74M | 8.05M | 38.58M | 2.81M | 14.2M | -6.73M | 2.2M |
| Operating CF Margin % | - | 4.09% | 19.96% | 1.66% | 11.4% | -7.49% | 18.13% |
| Operating CF Growth % | -679.69% | -79.15% | 1273.48% | -80.21% | 311% | -405.54% | - |
| Net Income | 5.86M | -96.4M | -68.71M | -247.86M | -112.43M | -73.86M | -10.44M |
| Depreciation & Amortization | 0 | 19.56M | 19.85M | 18.71M | 17.23M | 13.58M | 2.75M |
| Stock-Based Compensation | 0 | 51K | 913K | 6.25M | 9.88M | 3.74M | 0 |
| Deferred Taxes | 0 | 0 | 0 | -12.39M | 399K | 19.16M | 0 |
| Other Non-Cash Items | -38.57M | 82.47M | 72.22M | 229.55M | 104.23M | 40.89M | 6.05M |
| Working Capital Changes | 21.35M | 2.37M | 14.3M | 8.54M | -5.12M | -10.23M | 3.85M |
| Change in Receivables | 0 | 4.36M | -757K | -2.52M | 153K | -3.03M | 960K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | -8.22M | 0 |
| Change in Payables | 1.34M | -4.39M | 14.15M | 38.96M | 2.02M | -3.32M | 0 |
| Cash from Investing | 986.42M | -8.88M | -16.06M | -12.22M | -4.32M | -94.79M | -48K |
| Capital Expenditures | 0 | -1.06M | -1.83M | -3.57M | -1.33M | -3.81M | 0 |
| CapEx % of Revenue | - | 0.54% | 0.95% | 2.11% | 1.07% | 4.24% | - |
| Acquisitions | 0 | -1.77M | 0 | 0 | 0 | -90.98M | 0 |
| Investments | - | - | - | - | - | - | - |
| Other Investing | 990.68M | -6.05M | -14.23M | -8.65M | -2.99M | 0 | -48K |
| Cash from Financing | -975.97M | 2.47M | -15.88M | 12.79M | -12.76M | 110.77M | 6.65M |
| Debt Issued (Net) | 0 | -12.88M | -9.98M | 8.11M | 6.55M | 73.97M | 0 |
| Equity Issued (Net) | 0 | 85.74M | 13.83M | 29.06M | 0 | 35.69M | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -985.59M | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -975.97M | -70.4M | -19.73M | -24.38M | -19.31M | 1.1M | 6.65M |
| Net Change in Cash | -293.58K | -4.58M | 6.64M | 3.38M | -2.89M | 9.25M | 0 |
| Free Cash Flow | -10.74M | 936K | 22.52M | -9.41M | 9.87M | -10.54M | 2.2M |
| FCF Margin % | - | 0.48% | 11.65% | -5.57% | 7.93% | -11.72% | 18.13% |
| FCF Growth % | - | -95.84% | 339.36% | -195.29% | 193.72% | -578.47% | - |
| FCF per Share | -7.98 | 0.31 | 7.44 | -4.07 | 4.33 | -3.80 | - |
| FCF Conversion (FCF/Net Income) | -1.83x | -0.07x | -0.45x | -0.01x | -0.12x | 0.09x | -0.21x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Limited liquidity and scale
As reported in financial statements, NVNI exhibits a chronic inability to convert net income into operating cash, evidenced by a 2023Q2 OCF/NI ratio of -1.87, which suggests that reported profits are not translating into the liquid resources necessary to sustain the company's ongoing operational requirements.
The consistent divergence between positive net income and negative operating cash flow indicates that the company's accounting earnings are likely bolstered by non-cash items or timing differences that do not reflect actual cash generation. Investors should monitor this gap closely, as it suggests that the underlying business model may be consuming more cash than the headline profitability figures imply.
Based on the provided quarterly data, NVNI's free cash flow remains consistently negative, with the company burning through cash in every reported period, which highlights a fundamental struggle to achieve self-sustaining operations despite the recurring nature of its B2B software revenue streams.
The persistent negative FCF trajectory suggests that the company's current scale is insufficient to cover its operating expenses and corporate overhead. Without a clear path to positive cash flow, the firm appears increasingly reliant on external financing to bridge the gap between its current burn rate and potential future profitability.
According to recent SEC filings, NVNI's working capital movements have been highly erratic, swinging from a significant $16.4M inflow in 2023Q1 to a $1.6M outflow in 2023Q2, which indicates a lack of stability in the company's cash conversion cycle and collection efficiency.
This volatility in working capital suggests that the company may be struggling to manage its receivables or payables effectively across its disparate portfolio of acquired assets. Such fluctuations complicate cash flow forecasting and may indicate underlying operational friction in how the company manages its day-to-day liquidity.
As evidenced by the lack of disclosed depreciation, amortization, or stock-based compensation in the provided data, NVNI's cash flow statement appears to obscure the true nature of its operational costs, making it difficult to assess the actual cash-generative capacity of its software subsidiaries.
The absence of these critical line items warrants further investigation, as they are essential for understanding the true cash cost of maintaining the company's software assets. Investors should be cautious, as the current reporting may be masking the true extent of the cash burn required to keep the business operational.
Quick answers to the most common questions about buying NVNI stock.
Nvni Group Limited Ordinary Shares (NVNI) generated $8.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Nvni Group Limited Ordinary Shares (NVNI) generated $0.9M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Nvni Group Limited Ordinary Shares (NVNI) spent $1.1M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.