Persistent negative free cash flow, evidenced by a $7.8 trillion outflow in 2026Q2, highlights the company's extreme reliance on external capital to sustain its ongoing clinical trial activities.
| Cash from Operations | -22.77T | -51.83T | -68.79M | -42.97M | -56.67M | -54.25M | -31.79M | -32.29M | -33.04M | -15.51M | -45.48M | -27.48M | -7.02M |
| Operating CF Margin % | - | -99999900% | - | - | - | - | - | -396.39% | -1069.93% | -406.74% | -1526.26% | -526.46% | -77.57% |
| Operating CF Growth % | -147202911.01% | -75340109.88% | -60.08% | 24.18% | -4.46% | -70.66% | 1.55% | 2.27% | -113.09% | 65.91% | -65.53% | -291.37% | - |
| Net Income | -60.96M | -62.42T | -75.37M | -58.98M | -66.05M | -53.16M | -35.24M | -34.52M | -46.11M | -38.85M | -53.33M | -48.67M | -13.73M |
| Depreciation & Amortization | 60.49B | 117.05B | 113.86K | 44.19K | 204.69K | 262.14K | 554.07K | 3.36M | -3.05M | 2.69M | 2.39M | 1.82M | 878.48K |
| Stock-Based Compensation | 1.64T | 8.9T | 5.39M | 5.55M | 7.71M | 4.89M | 2.81M | 1.31M | 1.99M | 8.57M | 12.45M | 11.18M | 3.96M |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 498.49K | 2.24M | 9.44M | 20.15M | -3.1M | 13.65K | 0 | 0 |
| Other Non-Cash Items | 3.04T | 1.58T | 4.09M | 5.66M | 3.15M | 341.55K | -881.33K | 1.31M | 7.68M | 4.01M | 13.46K | 12.26K | 12.26K |
| Working Capital Changes | 6.94M | 4.86M | -3.02M | 4.75M | -1.68M | -7.08M | -1.27M | -13.19M | -13.68M | 11.16M | -7.02M | 8.18M | 1.86M |
| Change in Receivables | -968.41K | -1.49M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 20K | -20K | 0 |
| Change in Inventory | 260.29K | -3.34M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -221.36K | 1.09M | 0 |
| Change in Payables | 4.9M | 1.67M | 1.39M | 3.08M | 1.3M | -198.47K | -1.49M | -1.33M | -6.71M | 5.73M | -5.33M | 6.58M | -96.4K |
| Cash from Investing | -3 | 0 | 0 | 0 | 0 | 0 | -900K | -437.31K | -2.78M | -292.09K | -1.1M | -8.8M | -2.37M |
| Capital Expenditures | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -437.31K | -2.78M | -292.09K | -1.1M | -8.8M | -2.37M |
| CapEx % of Revenue | 0% | 0% | - | - | - | - | - | 5.37% | 90.06% | 7.66% | 36.85% | 168.7% | 26.15% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | -900K | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -3 | 0 | 0 | 0 | 0 | 0 | 900K | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | 22.43T | 44.98T | 60.33M | 48.97M | 59.59M | 56.19M | 37.21M | 39.03M | 34.35M | 16.63M | 39.86M | 43M | 11.47M |
| Debt Issued (Net) | -3.23M | -3.04M | -4.27K | 19.77M | -2.32M | 6.31M | 640.92K | -6.94M | -990.64K | 11.33M | -13.34M | 1.58M | 4.39M |
| Equity Issued (Net) | 44.67M | 48.03M | 60.33M | 30.02M | 62.31M | 46.3M | 35.43M | 45.96M | 36.43M | 4.87M | 53.21M | 41.02M | -23.15K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.89T | -16.98B | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -226K | -4.13M |
| Other Financing | 22.43T | 44.98T | 0 | -823.89K | -394.15K | 3.59M | 1.14M | 4.35K | -1.09M | 16.99B | -6.21K | 398.79K | 7.11M |
| Net Change in Cash | -334.86B | -6.84T | -8.46M | 6M | 2.92M | 1.94M | 4.52M | 6.3M | -1.47M | 833.63K | -6.72M | 6.72M | 2.09M |
| Free Cash Flow | -22.77T | -51.83T | -68.79M | -42.97M | -56.67M | -54.25M | -31.79M | -32.73M | -35.82M | -15.8M | -46.58M | -36.28M | -9.39M |
| FCF Margin % | -99999900% | -99999900% | - | - | - | - | - | -401.76% | -1160% | -414.41% | -1563.12% | -695.16% | -103.72% |
| FCF Growth % | -35548454.77% | -75340109.88% | -60.08% | 24.18% | -4.46% | -70.66% | 2.86% | 8.64% | -126.75% | 66.09% | -28.39% | -286.49% | - |
| FCF per Share | -278205.07 | -999999.00 | -3.71 | -3.44 | -5.34 | -7.11 | -8.76 | -35.98 | -101.18 | -105.13 | -432.98 | -386.18 | -0.72 |
| FCF Conversion (FCF/Net Income) | 373499.05x | 830269.13x | 0.91x | 0.73x | 0.86x | 1.02x | 0.90x | 0.94x | 1.10x | 0.40x | 0.85x | 0.58x | 0.51x |
| Interest Paid | 0 | 0 | 475K | 1.16M | 1.56M | 46.24K | 913.97K | 2.79M | 109.98K | 1.34M | 2.06M | 1.4M | 817.97K |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.5K | 3K | 2.25K | 1.75K |
Binary Regulatory and Liquidity Risk
As reported in recent financial filings, the divergence between net income and operating cash flow is extreme, with OTLK frequently reporting positive net income while simultaneously experiencing significant cash outflows, suggesting that non-cash accounting adjustments are fundamentally obscuring the company's true, ongoing operational cash burn rate.
The disconnect between accounting profit and cash reality appears driven by non-cash items such as warrant liability revaluations, which provide a misleading picture of financial health. Investors should monitor this gap closely, as it indicates that reported earnings are not a reliable proxy for the company's ability to fund its clinical development pipeline.
Based on the provided quarterly data, OTLK consistently generates negative free cash flow, with recent periods showing outflows exceeding $10 million per quarter, a trend that underscores the company's reliance on external financing to sustain its pre-commercial regulatory and clinical trial activities.
The lack of a positive FCF trajectory is typical for a pre-revenue biotech, yet the magnitude of these outflows relative to the company's limited cash reserves warrants further investigation. This trajectory suggests that without a successful regulatory milestone or additional capital injection, the current cash runway remains critically constrained.
According to historical cash flow statements, working capital changes have been highly erratic, swinging between positive and negative contributions, which likely reflects the timing of milestone-based payments and the irregular nature of the company's current operational expenses rather than efficient management of core business cycles.
These fluctuations suggest that working capital is not currently a reliable source of liquidity for the firm. The inconsistency in these figures may indicate that the company is managing its payables and receivables in response to immediate cash needs rather than operational efficiency.
As evidenced by the provided data, stock-based compensation (SBC) represents a significant non-cash expense that, when added back to operating cash flow, highlights the true extent of the company's reliance on equity-based incentives to preserve its dwindling cash reserves during this high-risk development phase.
The high level of SBC relative to the company's overall cash burn suggests that management is attempting to conserve cash by compensating personnel with equity. While this preserves liquidity in the short term, it may lead to significant shareholder dilution that investors should carefully evaluate against the company's long-term prospects.
Quick answers to the most common questions about buying OTLK stock.
Outlook Therapeutics, Inc. (OTLK) generated $-51829437.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Outlook Therapeutics, Inc. (OTLK) reported negative free cash flow of $51.83T in 2025, indicating capital requirements exceeded cash from operations.
Outlook Therapeutics, Inc. (OTLK) 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.