Free cash flow burn has accelerated to -$93.8M in Q2 2026, with significant working capital outflows of $43.9M, indicating that the cost of scaling operations is consuming more cash than the business generates.
Ondas Holdings Inc. (ONDS) cash flow statement — 12-year operating, investing & financing cash flows
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 |
|---|
| Cash from Operations | -161.06M | -38.75M | -33.47M | -34.02M | -37.96M | -16.9M | -7.53M | -14.66M | -8.52M | -45.6K | -28.99K | -20.64K | -1.28M |
| Operating CF Margin % | - | -76.38% | -465.31% | -216.8% | -1785.81% | -581.24% | -348.21% | -4577.14% | -4482.09% | -1602.32% | -525.98% | -530.48% | -63.6% |
| Operating CF Growth % | -1672.19% | -15.76% | 1.62% | 10.39% | -124.69% | -124.25% | 48.62% | -72.17% | -18577.39% | -57.29% | -40.46% | 98.39% | - |
| Net Income | 167.57M | -132.02M | -38.01M | -44.84M | -73.24M | -15.02M | -13.48M | -19.39M | -12.1M | -44.66K | -34.58K | -19.77K | -1.56M |
| Depreciation & Amortization | 31.11M | 7.99M | 5.66M | 6.05M | 4.85M | 1.82M | 397.95K | 62.85K | 55.14K | 13.44K | 18.77K | 19.3K | 18.63K |
| Stock-Based Compensation | 101.02M | 16.02M | 1.27M | 1.05M | 5.86M | 3.25M | 4.68M | 938.05K | 0 | 1.17K | 253.27K | 51.18K | 221.67K |
| Deferred Taxes | -30.07M | 0 | 0 | 0 | 0 | -2.92M | 0 | 782.44K | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -325.84M | 81.65M | 3.17M | 8.69M | 23.36M | -347.34K | 783.34K | 119.11K | 1.84M | 939 | -5.59K | 866 | 324.16K |
| Working Capital Changes | -101.69M | -12.38M | -5.56M | -4.97M | 1.21M | -3.67M | 85.97K | 2.82M | 1.69M | -939 | 5.59K | -866 | -287.39K |
| Change in Receivables | -47.31M | -13.6M | -2.89M | -4.26M | 1.11M | -1.15M | -27.43K | 10.23K | 9.33K | 1.17K | -1.82K | 20.26K | -425.42K |
| Change in Inventory | -17.52M | -4.84M | -5.47M | 1.48M | -994.67K | -126.49K | -297.9K | -79.59K | -174.62K | -2.61K | 1.41K | -2.87K | -232.42K |
| Change in Payables | 6.93M | 4.46M | 1.16M | 1.24M | 554.74K | -86.66K | 46K | 1.21M | 316.17K | 500 | 6K | 2K | 0 |
| Cash from Investing | -1.02B | -260.13M | -1.73M | 536.27K | -6.93M | -10.21M | -16.14K | -354.82K | -629.68K | 0 | 0 | 0 | -35.58K |
| Capital Expenditures | -10.9M | -2.03M | -1.64M | -211.03K | -2.88M | -923.72K | -8.6K | -352.05K | -597.72K | 0 | 0 | 0 | -35.58K |
| CapEx % of Revenue | 6.26% | 4.01% | 22.75% | 1.34% | 135.52% | 31.78% | 0.4% | 109.88% | 314.54% | - | - | - | 1.77% |
| Acquisitions | -245.55M | -206.81M | 0 | 914.45K | 0 | -6.52M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -27.18M | -274K | -95.28K | -167.15K | -3.05M | -2.27M | -7.54K | -2.77K | -31.96K | 0 | 0 | 0 | 0 |
| Cash from Financing | 1.78B | 862.65M | 50.18M | 18.73M | 33.86M | 41.86M | 31.46M | 16.04M | 9.82M | 46.63K | 26.2K | 24.32K | 393.63K |
| Debt Issued (Net) | 703.64K | 1.12M | 38.42M | 3.81M | 27.7M | -7.12M | -4.01M | 10M | 9.97M | 24.63K | 26.2K | 24.32K | 386.01K |
| Equity Issued (Net) | 1.77B | 861.51M | 11.68M | 14.73M | 6.09M | 47.52M | 35.47M | 6.11M | 1.44K | 22K | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -3.26K | 0 | 0 | 0 | 0 |
| Other Financing | 13.99M | 23K | 80.16K | 183.18K | 64.91K | 1.46M | 0 | -67.35K | -155.65K | 0 | 0 | 0 | 7.63K |
| Net Change in Cash | 597.83M | 564.36M | 14.98M | -14.75M | -11.04M | 14.75M | 23.91M | 1.02M | 673.85K | 1.03K | -2.79K | 3.67K | -923.49K |
| Free Cash Flow | -170.63M | -40.88M | -35.2M | -34.3M | -40.89M | -17.92M | -7.57M | -15.02M | -9.11M | -45.6K | -28.99K | -20.64K | -1.32M |
| FCF Margin % | -98% | -80.59% | -489.41% | -218.59% | -1923.66% | -616.6% | -350.04% | -4687.03% | -4796.63% | -1602.32% | -525.98% | -530.48% | -65.36% |
| FCF Growth % | -433.88% | -16.14% | -2.63% | 16.12% | -128.16% | -136.64% | 49.56% | -64.74% | -19888.12% | -57.29% | -40.46% | 98.43% | - |
| FCF per Share | -0.34 | -0.18 | -0.50 | -0.65 | -0.97 | -0.52 | -0.37 | -0.85 | -0.54 | -0.00 | -0.00 | -0.00 | -0.86 |
| FCF Conversion (FCF/Net Income) | -1.02x | 0.29x | 0.88x | 0.76x | 0.52x | 1.12x | 0.56x | 0.76x | 0.70x | 1.02x | 0.84x | 1.04x | 0.82x |
| Interest Paid | 427 | 0 | 21.8K | 176.54K | 14.19K | 1.04M | 337.1K | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 9.66K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Quick answers to the most common questions about buying ONDS stock.
Ondas Holdings Inc. (ONDS) generated $-38.7M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Ondas Holdings Inc. (ONDS) reported negative free cash flow of $40.9M in 2025, indicating capital requirements exceeded cash from operations.
Ondas Holdings Inc. (ONDS) spent $2.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
Key Metrics
Top Statement Risk
Unsustainable cash burn rate
Metrics are mathematically derived from official filings.
Earnings Quality Severely Distorted by Non-Cash Items
The Q1 2026 net income of $362.9 million against an operating cash outflow of $51.3 million reveals a massive disconnect, suggesting the reported profit was driven by non-operational, likely non-cash gains rather than core business performance.
The OCF/NI ratio of -0.14 in Q1 2026 is a stark anomaly, indicating that the reported net income did not translate into cash generation. This pattern, where net income is positive but operating cash flow is deeply negative, points to significant non-cash items inflating the bottom line, such as fair value adjustments or one-time accounting gains. For the most recent quarter, the OCF/NI ratio normalized to 0.98, but this still reflects a near dollar-for-dollar translation of a net loss into an operating cash loss, confirming the underlying business remains cash-destructive.
FCF Burn Accelerates with Revenue Scale
Despite record revenue, free cash flow has deteriorated to a negative $93.8 million in Q2 2026, with the FCF margin plunging to -112.0%, indicating that the cost of scaling operations is outpacing top-line growth.
The FCF trajectory shows a clear worsening trend, moving from a negative $8.7 million in Q1 2024 to a negative $93.8 million in Q2 2026. This deterioration is driven by a combination of expanding operating losses and increased capital expenditures, which rose to $7.8 million in the latest quarter. The negative FCF margin has consistently exceeded the negative net margin, suggesting that cash consumption is accelerating faster than the accounting losses, a critical concern for a company reliant on external financing.
Working Capital Drains Intensify with Growth
Significant working capital outflows of $43.9 million in Q2 2026 and $47.0 million in Q1 2026 suggest that rapid revenue growth is consuming substantial cash, likely through inventory builds and receivables expansion ahead of collections.
The large negative working capital changes in the most recent quarters are a major contributor to the operating cash flow deficit. This pattern is typical for a hardware company scaling production and sales, where cash is tied up in inventory and accounts receivable before being collected. The magnitude of these outflows, especially relative to the company's size, indicates that the working capital cycle is a significant drag on liquidity and may require careful management to avoid a cash crunch.
Acquisitions Consume Liquidity Amidst Operational Losses
The company spent $245.6 million on acquisitions over the last three quarters, a significant cash deployment that occurred while the core business was generating negative operating cash flow, highlighting a strategy of growth through M&A funded by external capital.
The acquisition activity, particularly the $200.3 million outflow in Q4 2025 and the $31.8 million in Q1 2026, represents a major use of cash. This aggressive M&A strategy, aimed at building a full-stack autonomy ecosystem, is being executed while the company is burning cash from operations. The lack of dividends or share buybacks confirms that all available capital is being directed toward expansion, but the sustainability of this approach is questionable without a clear path to operational cash flow breakeven.
Cash Flow Statement Obscures True Burn Rate
The reported $69.1 million in stock-based compensation for Q2 2026 is a significant non-cash add-back that inflates operating cash flow, masking the true cash cost of operations and diluting shareholders.
Stock-based compensation (SBC) has become a major component of the operating cash flow reconciliation, reaching $69.1 million in Q2 2026. While added back to calculate OCF, this represents a real economic cost to shareholders through dilution. Furthermore, the large negative working capital changes and acquisition spending suggest that the 'cash burn' is even more severe than the headline operating cash flow figure implies, as these items are not fully captured in the SBC adjustment. Investors should monitor the SBC as a percentage of revenue, which appears to be extremely high, to assess the true cost of the company's growth strategy.