Cash generation remains a relative strength, evidenced by operating cash flow exceeding net income by over 2.2x in Q3 2026 and a low CapEx intensity of 2.1% of revenue, supporting free cash flow of $47.8M in the period.
Quanex Building Products Corporation (NX) cash flow statement — 30-year operating, investing & financing cash flows
| Metric | TTM | Oct'25 | Oct'24 | Oct'23 | Oct'22 | Oct'21 | Oct'20 | Oct'19 | Oct'18 | Oct'17 | Oct'16 | Oct'15 | Oct'14 | Oct'13 | Oct'12 | Oct'11 | Oct'10 | Oct'09 | Oct'08 | Oct'07 | Oct'06 | Oct'05 | Oct'04 | Oct'03 | Oct'02 | Oct'01 | Oct'00 | Oct'99 | Oct'98 | Oct'97 | Oct'96 |
|---|
| Cash from Operations | 145.52M | 164.9M | 88.81M | 147.05M | 97.97M | 78.59M | 100.8M | 96.37M | 104.61M | 78.55M | 86.42M | 67.09M | 20.78M | 43.52M | 26.48M | 52.88M | 89.13M | 60.49M | 65.03M | 224.07M | 190.27M | 249.12M | 124.24M | 102.84M | 81.11M | 84.95M | 77.87M | 77.69M | 64.07M | 79.43M | 64.11M |
| Operating CF Margin % | - | 8.97% | 6.95% | 13.01% | 8.02% | 7.33% | 11.84% | 10.78% | 11.76% | 9.07% | 9.31% | 10.39% | 3.49% | 4.57% | 3.19% | 6.23% | 11.16% | 10.34% | 7.48% | 10.94% | 9.36% | 12.65% | 8.51% | 9.97% | 8.16% | 9.19% | 8.34% | 9.59% | 8.03% | 10.65% | 7.16% |
| Operating CF Growth % | 1412.17% | 85.67% | -39.61% | 50.11% | 24.66% | -22.03% | 4.59% | -7.88% | 33.17% | -9.1% | 28.81% | 222.88% | -52.26% | 64.37% | -49.92% | -40.68% | 47.35% | -6.99% | -70.98% | 17.77% | -23.62% | 100.52% | 20.81% | 26.79% | -4.52% | 9.09% | 0.23% | 21.25% | -19.34% | 23.89% | -4.48% |
| Net Income | 45.35M | -250.81M | 33.06M | 82.5M | 88.34M | 56.98M | 38.5M | -46.73M | 26.33M | 18.68M | -1.86M | 16.09M | 29.23M | -11.7M | -16.53M | 9.08M | 24.2M | -137.09M | 21.58M | 134.62M | 160.31M | 177.23M | 57.6M | 42.89M | 55.48M | 28.82M | -10.02M | 39.08M | 47.19M | 27.72M | 30.37M |
| Depreciation & Amortization | 98.67M | 103.44M | 60.33M | 42.87M | 40.11M | 42.73M | 47.23M | 49.59M | 51.82M | 57.49M | 53.15M | 35.22M | 36.91M | 60.5M | 37.67M | 34M | 28.28M | 215.35M | 35.11M | 77.31M | 71.66M | 65.99M | 50.6M | 46.41M | 43.99M | 43.91M | 48.45M | 45.88M | 42.4M | 37.87M | 38.42M |
| Stock-Based Compensation | 4.54M | 3.69M | 2.95M | 2.52M | 5.83M | 7.2M | 1.17M | 2.04M | 1.87M | 5.19M | 6.09M | 4.27M | 3.92M | 4.91M | 5.6M | 4.85M | 4.46M | 3.43M | 26.38M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 8.57M | -18.54M | -15.34M | 5.15M | 2.1M | 1.78M | -189K | 3.26M | -5.63M | -112K | -8.47M | 5.2M | 14.25M | -8.29M | -9.84M | 3.36M | 12.29M | -43.61M | 2.98M | -5.92M | 7.08M | -438K | 551K | 8.99M | 2.33M | 2.36M | 5.48M | 10.15M | 6.06M | 7.54M | 2.6M |
| Other Non-Cash Items | 7.72M | 314.57M | -3.77M | 1.81M | -1.53M | -65K | 1.4M | 77.51M | 1.06M | 3.02M | 28.81M | -847K | -38.49M | 2.46M | 1.18M | 5.64M | -1.7M | 0 | 6.39M | 6.04M | 4.58M | 1.32M | -953K | -523K | -5.78M | 450K | 56.49M | -15.09M | -21.64M | -8.59M | 2.9M |
| Working Capital Changes | -19.33M | 12.54M | 11.57M | 12.21M | -36.88M | -30.04M | 12.69M | 10.7M | 29.16M | -5.72M | 8.7M | 7.15M | -25.05M | -4.36M | 8.4M | -4.05M | 21.6M | 22.41M | -27.41M | 12.07M | -53.37M | 5.01M | 16.44M | 5.07M | -14.9M | 9.41M | -22.52M | -2.34M | -9.94M | 14.89M | -10.17M |
| Change in Receivables | -13.84M | -6.88M | 973K | 6.97M | 6.95M | -19.02M | -5.77M | 574K | -5.55M | 5.38M | 796K | 2.67M | 484K | -9.2M | -4.25M | 13.76M | -6.37M | 14.42M | -25.17M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -2.84M | 23.55M | 33.48M | 30.02M | -32.03M | -31.38M | 6.12M | 3.8M | 17.53M | -3.24M | 5.35M | 9.8M | -25.65M | 12.79M | -10.29M | -530K | 3.14M | 16.49M | -10.4M | -7.83M | -9.75M | -8.85M | -6.99M | 11.43M | -5.25M | 20.81M | -12.47M | 6.49M | -10.99M | 8.9M | -16.77M |
| Change in Payables | 804K | 3.31M | -35.82M | -11.61M | -3.05M | 7.1M | 15.92M | 8.12M | 8.32M | -4.89M | -2.27M | -2.86M | 12.84M | -5.9M | 14.92M | -13.35M | 4.57M | -12.31M | 11.41M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -54.38M | -62.01M | -420.59M | -128.44M | -32.96M | -18.71M | -25.22M | -23.56M | -26.05M | -41.12M | -282.1M | -160.14M | 74.12M | -59.69M | -41.7M | -135.37M | -15.79M | -14.81M | 52.39M | -136.97M | -65.54M | -240.74M | -213.09M | -22.5M | -29.81M | -77.09M | -79.59M | -62.68M | -39.82M | -49.59M | -172.64M |
| Capital Expenditures | -54.71M | -62.64M | -37.09M | -37.39M | -33.12M | -24.01M | -25.73M | -24.88M | -26.48M | -34.56M | -37.24M | -29.98M | -33.78M | -37.93M | -42.87M | -25.31M | -14.72M | -16.15M | -15.81M | -34.4M | -72.26M | -50.79M | -19.54M | -28.69M | -34.27M | -55.58M | -42.33M | -60.85M | -58.51M | -72.78M | -44.26M |
| CapEx % of Revenue | 2.94% | 3.41% | 2.9% | 3.31% | 2.71% | 2.24% | 3.02% | 2.78% | 2.98% | 3.99% | 4.01% | 4.64% | 5.67% | 3.98% | 5.17% | 2.98% | 1.84% | 2.76% | 1.82% | 1.68% | 3.56% | 2.58% | 1.34% | 2.78% | 3.45% | 6.01% | 4.53% | 7.51% | 7.34% | 9.76% | 4.94% |
| Acquisitions | 273K | 634K | -398.55M | -91.3M | 159K | 5.3M | 502K | 0 | 432K | -8.5M | -245.9M | -131.69M | 102.27M | -22.1M | 0 | -110.84M | -1.59M | 0 | 33M | -58.49M | 5.68M | -188.84M | -191.31M | 0 | -17.28M | -17.92M | -35.45M | 0 | 21.86M | 24.74M | -123.26M |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 62K | 0 | 15.05M | 253K | 0 | 0 | 0 | 1.32M | 0 | 1.94M | 1.04M | 1.53M | 5.63M | 340K | 1.17M | 790K | 525K | 1.34M | 35.2M | 0 | 1.04M | -1.1M | -2.24M | 6.19M | 21.75M | -3.6M | -1.81M | -1.83M | -3.17M | -1.55M | -5.12M |
| Cash from Financing | -79.49M | -127.48M | 385.16M | -16.15M | -45.88M | -71.86M | -55.12M | -71.26M | -65.82M | -45.41M | 196.37M | -4.58M | -24.46M | -4.87M | -3.93M | -15.31M | -9.37M | 10.51M | -63.66M | -20.13M | -68.72M | -462K | 108.48M | -76.52M | -62.59M | -692K | -1.81M | -15.38M | -24.93M | -39.37M | 99.3M |
| Debt Issued (Net) | -59.4M | -79.05M | 405.04M | -567K | -27.96M | -65.68M | -40.53M | -54.03M | -30.55M | -48.1M | 209.74M | 48.98M | -175K | -557K | -264K | -340K | -323K | -363K | -1.46M | -4.39M | -2.52M | -180K | 115M | -55M | -83.34M | 8.79M | 23.81M | -7.76M | -18.62M | -41.83M | 105.33M |
| Equity Issued (Net) | -4.82M | -32.15M | 573K | -4.38M | -5.91M | 5.09M | -3.61M | -6.26M | -27.29M | 7.95M | 3.4M | -47.61M | -19.03M | 2.58M | 1.73M | -9.21M | -4.27M | 0 | 0 | 5.04M | -47.23M | 14.29M | 11.66M | -8.35M | 33.95M | 247K | -16.18M | 1.57M | 3.18M | 8.36M | 0 |
| Dividends Paid | -14.57M | -14.89M | -11.97M | -10.64M | -10.6M | -10.78M | -10.53M | -10.64M | -7.02M | -5.52M | -5.47M | -5.51M | -5.99M | -5.93M | -5.89M | -5.98M | -5.28M | -4.52M | -2.26M | -20.78M | -18.36M | -14.3M | -11.53M | -10.87M | -9.64M | -8.62M | -8.88M | -9.12M | -9.06M | -8.42M | -8.12M |
| Share Repurchases | -4.82M | -32.36M | 0 | -5.59M | -6.6M | -11.18M | -7.23M | -9.55M | -32.03M | 0 | 0 | -52.72M | -22.28M | 0 | -1.28M | -10.08M | -4.27M | 0 | 0 | 0 | -58.33M | 0 | 0 | -13.52M | 0 | -2.23M | -17.18M | 0 | 0 | 0 | 0 |
| Other Financing | -704K | -1.4M | -8.49M | -567K | -1.41M | -492K | -454K | -330K | -960K | 248K | -11.3M | -436K | 740K | -964K | 496K | 618K | 502K | 15.39M | -13.75M | -11K | -603K | -281K | -6.66M | -2.3M | -3.56M | -1.1M | -556K | -60K | -429K | 2.52M | 2.08M |
| Net Change in Cash | -3.71M | -24.88M | 44.52M | 3.38M | 15.03M | -11.56M | 20.75M | 1.86M | 11.55M | -8.07M | 2.4M | -97.26M | 70.65M | -21.52M | -18.36M | -97.56M | 63.68M | 56.22M | 65.64M | 67.13M | 56.03M | 7.94M | 19.64M | 3.83M | -11.29M | 7.16M | -3.46M | -405K | -572K | -9.11M | -9.23M |
| Free Cash Flow | 90.81M | 102.25M | 51.73M | 109.66M | 64.84M | 54.58M | 75.07M | 71.49M | 78.13M | 43.99M | 49.17M | 37.1M | -13M | 5.59M | -16.39M | 27.56M | 74.41M | 44.34M | 49.22M | 189.68M | 118.01M | 198.33M | 104.69M | 74.15M | 46.84M | 29.38M | 35.54M | 16.84M | 5.56M | 6.64M | 19.85M |
| FCF Margin % | 4.87% | 5.56% | 4.05% | 9.7% | 5.31% | 5.09% | 8.82% | 8% | 8.78% | 5.08% | 5.3% | 5.75% | -2.18% | 0.59% | -1.98% | 3.25% | 9.32% | 7.58% | 5.66% | 9.26% | 5.81% | 10.07% | 7.17% | 7.19% | 4.71% | 3.18% | 3.8% | 2.08% | 0.7% | 0.89% | 2.22% |
| FCF Growth % | 230.52% | 97.69% | -52.83% | 69.12% | 18.81% | -27.29% | 5.01% | -8.5% | 77.6% | -10.54% | 32.53% | 385.4% | -332.58% | 134.1% | -159.47% | -62.96% | 67.83% | -9.92% | -74.05% | 60.73% | -40.5% | 89.43% | 41.2% | 58.3% | 59.46% | -17.35% | 111.06% | 203.04% | -16.36% | -66.54% | -51% |
| FCF per Share | 1.99 | 2.21 | 1.41 | 3.32 | 1.95 | 1.63 | 2.29 | 2.17 | 2.23 | 1.26 | 1.45 | 1.08 | -0.35 | 0.15 | -0.45 | 0.73 | 1.98 | 1.19 | 1.28 | 4.80 | 2.97 | 4.98 | 2.79 | 2.01 | 1.29 | 0.85 | 1.13 | 0.53 | 0.17 | 0.18 | 0.53 |
| FCF Conversion (FCF/Net Income) | 2.00x | -0.66x | 2.69x | 1.78x | 1.11x | 1.38x | 2.62x | -2.06x | 3.97x | 4.20x | -46.49x | 4.17x | 0.71x | -3.72x | -1.60x | 5.83x | 3.86x | -0.44x | 3.01x | 1.66x | 1.19x | 1.61x | 2.28x | 2.40x | 1.46x | 2.91x | -8.06x | 1.96x | 6.99x | 1.15x | 2.11x |
| Interest Paid | 0 | 0 | 10.91M | 5.74M | 1.98M | 1.99M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 18.29M | 22.22M | 26.41M | 22.16M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Quick answers to the most common questions about buying NX stock.
Quanex Building Products Corporation (NX) generated $164.9M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Quanex Building Products Corporation (NX) generated $102.3M 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.
Quanex Building Products Corporation (NX) spent $62.6M 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, Quanex Building Products Corporation (NX) returned $14.9M to shareholders via cash dividends and spent $32.4M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Volatile earnings and cash flow quality
Metrics are mathematically derived from official filings.
Cash Generation Exceeds Reported Earnings
Quanex's operating cash flow consistently outpaces net income, with the OCF/NI ratio exceeding 2.0x in three of the last four quarters, suggesting strong underlying cash generation power that is not fully reflected in accounting profits.
The substantial gap, particularly the 2.21x ratio in Q3 2026, indicates that non-cash charges like depreciation ($24.1M in Q3 2026) are a significant driver of the differential. This pattern implies the company's core operations are generating more cash than the bottom line suggests, providing a buffer for investments and debt service.
FCF Trajectory Shows Recovery Amid Volatility
After a sharp negative FCF of -$31.5M in Q1 2026, the company has delivered two consecutive positive quarters, culminating in a $47.8M FCF in Q3 2026, a recovery that suggests operational stabilization following the Tyman integration.
The FCF margin improved from -7.7% to 9.5% in two quarters, a swing primarily driven by a $51.2M working capital swing from Q1 to Q3 2026. This volatility highlights that near-term FCF is heavily influenced by inventory and receivables cycles rather than consistent operational expansion.
Working Capital Swings Drive Cash Flow Volatility
Working capital changes have been the dominant driver of quarterly operating cash flow variance, swinging from a $44.7M use in Q1 2026 to a $6.1M source in Q3 2026, indicating a significant and likely temporary buildup and release of inventory or receivables.
This extreme volatility, including a $31.1M positive swing in Q4 2025, suggests management is actively managing the balance sheet, possibly to optimize the post-acquisition cash position. Such large swings make predicting near-term cash flow difficult and point to potential inefficiencies or timing issues in the enlarged company's cash cycle.
CapEx Remains Low-Intensity Post-Acquisition
Capital expenditure as a percentage of revenue has remained consistently low, ranging from 2.1% to 2.8% in recent quarters, implying that Quanex is running a mature asset base with limited need for growth investment despite the recent acquisition.
The modest CapEx relative to D&A (which is ~2x CapEx in most quarters) suggests the company is not investing significantly beyond maintenance levels. This could indicate a lack of high-return growth opportunities or a deliberate focus on harvesting cash from its existing asset base.
Cumulative Earnings vs. Cash Flow Gap Narrows
Over the trailing eight quarters, cumulative net income totals approximately $19M, while cumulative operating cash flow is about $237M, a $218M positive gap that underscores how reported accounting losses, like the Q3 2025 impairment, mask consistent cash generation.
This sustained positive divergence is a key strength, indicating that the company's cash flow statement is a more reliable indicator of its financial health than the volatile income statement. However, the gap's magnitude is heavily influenced by the single $276M non-cash impairment charge in Q3 2025.
What Cash Flow Masks: SBC and Integration Costs
While cash flow appears strong, investors should monitor the rising stock-based compensation, which increased from $782K to $1.2M per quarter, and the significant, non-recurring acquisition integration costs that may be buried within operating expenses.
The small but growing SBC expense is a real cash cost in the form of dilution. More importantly, the massive swings in working capital and the depressed Q1 2026 results may indicate that cash flow is still being distorted by one-time costs and balance sheet normalization related to the Tyman acquisition, which the statement does not separately break out.