Operational cash flow remains inconsistent, with the firm reporting a $48.6 million inflow in 2026Q1 despite a $67.2 million dividend payout, suggesting potential reliance on external capital.
| 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 | Dec'13 | Dec'12 | Dec'11 | Dec'10 |
|---|
| Cash from Operations | 143.28M | 120.45M | 66.99M | 8M | 289.37M | 96.44M | 55.37M | 48.16M | 94M | 85.01M | 47.05M | 30.7M | 11.65M | 10.1M | 1.88M | -107.42K | -43.68K |
| Operating CF Growth % | 548.4% | 79.8% | 737.06% | -97.23% | 200.05% | 74.16% | 14.98% | -48.76% | 10.58% | 80.69% | 53.22% | 163.65% | 15.32% | 437.41% | 1849.22% | -145.95% | - |
| Operating CF / Revenue % | 42.27% | 67.1% | 123.13% | -38.67% | -120.07% | -193.29% | 436.98% | 138.99% | 75.63% | 61.52% | 52.15% | 45.56% | 33.66% | 126.22% | 79.95% | -5.26% | -62.99% |
| Net Income | 121.95M | 159.03M | 37.66M | -39.23M | -258.45M | -64.76M | 2.13M | 24.27M | -44.39M | 2.01M | 1.98M | 1.07M | 24.52M | -698K | 534.34K | -1.19M | -30.15K |
| Depreciation & Amortization | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Stock-Based Compensation | 1.86M | 309K | 553K | 1.2M | 957K | 772K | 244K | 294K | 492K | 535K | 605K | 431K | 142K | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 26.1M | -34.58M | 33.19M | 50.32M | 530.71M | 168.65M | 58.12M | 18.04M | 136.91M | 76.64M | 44.06M | 30.95M | -9.72M | 11.93M | 1.11M | 1.13M | 55.31K |
| Working Capital Changes | -6.63M | -4.32M | -4.42M | -4.29M | 16.16M | -8.22M | -5.11M | 5.56M | 990K | 5.83M | 401K | -1.74M | -3.29M | -1.13M | 231.01K | -51.55K | -68.83K |
| Cash from Investing | -4.65B | -5.38B | -1.42B | -441.06M | 2.44B | -3.02B | -199.34M | -354.81M | 380.02M | -802.5M | -911.53M | -645.01M | -1.19B | -249.82M | -60.85M | -31.38M | -25.9M |
| Acquisitions (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Purchase of Investments | -7.51B | -7.7B | -2.84B | -1.62B | -1B | -6.47B | -4.86B | -4.27B | -3.89B | -6.5B | -3.17B | -2.69B | -2.2B | -687.58M | -199.08M | -71.49M | -25.95M |
| Sale of Investments | 2.46B | 2.36B | 1.42B | 1.18B | 3.2B | 3.45B | 4.72B | 3.92B | 4.26B | 5.7B | 2.26B | 2.05B | 1.01B | 0 | 0 | 40.2M | 51.21K |
| Other Investing | 392.05M | -32.38M | 0 | 0 | 245.34M | 0 | -63.26M | 0 | 14.1M | -4.1M | 2.35M | -3.75M | -5.34M | 437.76M | 138.23M | -90.75K | 0 |
| Cash from Financing | 4.87B | 5.65B | 1.48B | 396.13M | -2.94B | 3.07B | 164.82M | 459.04M | -594.47M | 869.78M | 888.95M | 583.34M | 1.27B | 245.35M | 59.62M | 32.19M | 27.14M |
| Dividends Paid | -213.35M | -178.86M | -92.5M | -80.75M | -93.49M | -90.98M | -53.65M | -53.31M | -59.31M | -67.9M | -36.77M | -38.75M | -22.64M | -4.66M | 0 | 0 | 0 |
| Common Dividends | -146.18M | -178.86M | -92.5M | -80.75M | -93.49M | -90.98M | -53.65M | -53.31M | -59.31M | -67.9M | -36.77M | -38.75M | -22.64M | -4.66M | 0 | 0 | 0 |
| Debt Issuance (Net) | 4M | 1000K | 1000K | 1000K | -1000K | 1000K | 1000K | 0 | 0 | 0 | 0 | 1000K | 0 | 0 | 1000K | 0 | 0 |
| Share Repurchases | -7.31M | -7.38M | -3.46M | -9.76M | -24.84M | -299K | -68K | -3.02M | -26.42M | 0 | 0 | -10.85M | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 243.58M | 0 | 0 | 159.44M | 0 | 514.06M | 0 | 515.37M | -508.73M | 740.08M | 807.39M | 445.44M | 1.12B | 214.62M | -174 | 21.59M | 22.73M |
| Net Change in Cash | 360.04M | 389.51M | 134.76M | -36.93M | -213.22M | 150.94M | 20.85M | 152.39M | -120.45M | 152.29M | 24.47M | -23.18M | 84.97M | 8.17M | 645K | 695.88K | 1.2M |
| Exchange Rate Effect | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 724.56M | 335.05M | 200.29M | 237.22M | 450.44M | 299.51M | 278.65M | 126.26M | 246.71M | 94.42M | 69.96M | 93.14M | 8.17M | 0 | 0 | 1.2M | -25.94M |
| Cash at End | 760.13M | 724.56M | 335.05M | 200.29M | 237.22M | 450.44M | 299.51M | 278.65M | 126.26M | 246.71M | 94.42M | 69.96M | 93.14M | 8.17M | 2.54M | 1.89M | 1.2M |
| Free Cash Flow | 143.28M | 120.45M | 66.99M | 8M | 289.37M | 96.44M | 55.37M | 48.16M | 94M | 85.01M | 47.05M | 30.7M | 11.65M | 10.1M | 1.88M | -107.42K | -43.68K |
| FCF Growth % | 200.01% | 79.8% | 737.06% | -97.23% | 200.05% | 74.16% | 14.98% | -48.76% | 10.58% | 80.69% | 53.22% | 163.65% | 15.32% | 437.44% | 1849.22% | -145.95% | - |
| FCF / Revenue % | 42.27% | 67.1% | 123.13% | -38.67% | -120.07% | -193.29% | 436.98% | 138.99% | 75.63% | 61.52% | 52.15% | 45.56% | 33.66% | 126.23% | 79.95% | -5.26% | -62.99% |
Interest rate volatility exposure
As reported in financial statements, the lack of consistent FFO disclosure complicates the assessment of cash conversion, with GAAP operating cash flow showing extreme volatility, ranging from a $40.8 million outflow in 2023Q4 to a $48.6 million inflow by 2026Q1, suggesting significant underlying operational instability.
The wide variance in GAAP operating cash flow relative to net income suggests that non-cash fair value adjustments on the RMBS portfolio are heavily distorting the company's reported cash position. Investors should monitor whether this volatility reflects genuine changes in interest income or merely the mark-to-market impact of derivative hedging strategies.
Based on the provided data, the company consistently paid out dividends exceeding $67 million in 2026Q1, yet the absence of reported AFFO figures makes it difficult to determine if these distributions are supported by recurring earnings or represent a return of capital to shareholders.
The persistent gap between dividend payments and the company's volatile operating cash flow warrants further investigation into the sustainability of the current payout. Without clear AFFO metrics, it appears that the dividend may be vulnerable to sudden shifts in net interest margins or unexpected liquidity requirements in the repo market.
According to recent SEC filings, the divergence between GAAP net income and operational performance is stark, as evidenced by the 2026Q1 net loss of $20.0 million despite positive operating cash flow, highlighting the inherent risks of relying on headline earnings for an mREIT with significant derivative exposure.
The frequent disconnect between net income and cash flow suggests that accounting-based earnings are not a reliable proxy for the company's ability to generate distributable cash. This distortion may lead market participants to misinterpret the firm's true economic health during periods of rapid interest rate fluctuations.
As indicated by the historical trend of dividend payments consistently outpacing operating cash flow in several quarters, the firm appears to rely on external capital sources to maintain its distribution policy, which may lead to long-term dilution for existing shareholders if equity is issued at a discount.
The reliance on external funding to bridge the gap between cash generation and dividend obligations suggests a precarious capital allocation strategy. Investors should monitor whether management continues to prioritize dividend maintenance over the preservation of book value, particularly when the stock trades at a discount to its net asset value.
Quick answers to the most common questions about buying ORC stock.
Orchid Island Capital, Inc. (ORC) generated $120.4M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Orchid Island Capital, Inc. (ORC) generated $120.4M 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.
Orchid Island Capital, Inc. (ORC) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Orchid Island Capital, Inc. (ORC) returned $178.9M to shareholders via cash dividends and spent $7.4M on share repurchases. This shows the company's commitment to returning capital to its equity investors.