Free cash flow remains consistently negative, with quarterly outflows reaching $3.9 million in 2026Q1, reflecting the structural inability to generate internal funding.
| 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 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 |
|---|
| Cash from Operations | -12.4M | -10.85M | -12.19M | -11.13M | -13.36M | -14.77M | -4.77M | -7.26M | -7.69M | -13.42M | -15.62M | -18.93M | -11.71M | -10.59M | -8.48M | -8.1M | -9.98M | -5.14M | -6.86M | -4M | -3.33M | -728.59K |
| Operating CF Margin % | - | - | - | -4453.2% | - | - | - | -47133.17% | -2958.62% | -5160.06% | -96122.79% | -181738.18% | -62160.51% | -9628.74% | -2079.36% | -2072.75% | -1360.88% | - | - | -1307.39% | -1254.87% | -235.68% |
| Operating CF Growth % | -64.12% | 11.04% | -9.52% | 16.67% | 9.56% | -209.84% | 34.29% | 5.68% | 42.66% | 14.09% | 17.51% | -61.72% | -10.53% | -24.93% | -4.71% | 18.88% | -94.01% | 25% | -71.44% | -19.98% | -357.72% | - |
| Net Income | -24.15M | -16.78M | -14.44M | -12.3M | -14.26M | -26.62M | -10.32M | -8.35M | -4.92M | -15.67M | -21.07M | -20.9M | -22.63M | -19.83M | -10.12M | -12.52M | -18.39M | -10.36M | -11.83M | -6.17M | -3.15M | -1.65M |
| Depreciation & Amortization | 2K | 3K | 3K | 4K | 3K | 2K | 3K | 143.86K | 185.8K | 289.21K | 337.51K | 345.46K | 348.63K | 244.72K | 211.14K | 187.05K | 130.75K | 88.66K | 65.76K | 32.06K | 51.92K | 53.58K |
| Stock-Based Compensation | 3.89M | 3.96M | 652K | 624K | 1.03M | 1.89M | 2.01M | 0 | 1.09M | 1.77M | 3.45M | 2.95M | 4.32M | 2.33M | 1.61M | 0 | 5.24M | 4.56M | 4.63M | 1.58M | 359.93K | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | -38K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.58M | -359.93K | 0 |
| Other Non-Cash Items | 4.61M | 337K | 199K | 139K | -1.39M | 14.71M | 1.19M | 743.83K | -2.29M | 6.47M | 3.86M | 5.37M | -6.22M | 877.59K | -5.48M | 7.4M | -3.17M | 3.46M | 3.02M | -2.89M | 359.93K | 841.32K |
| Working Capital Changes | 3.25M | 1.64M | 1.39M | 400K | 1.25M | -4.76M | 2.39M | 208.28K | -336.88K | -2.15M | 1.51M | -2.2M | 12.47M | 5.79M | 5.31M | -6.5M | 6.2M | -2.88M | -2.74M | 5.03M | -599.29K | 28.03K |
| Change in Receivables | 0 | 0 | 0 | 0 | 0 | 84K | -59K | 272.99K | 80.81K | -249.23K | -450.5K | 188.21K | 0 | -6.67K | 231.04K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | -947K | 0 | 36.99K | -11.75M | -7.91M | 0 | 0 | -5.77M | -177.41K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 2.82M | 624K | 818K | -492K | 399K | 0 | 1.01M | -15.74K | -36.99K | -1.52M | 879.08K | -1.05M | 1.38M | -116.75K | -644.02K | 0 | 213.57K | 243.66K | 248.79K | 664.74K | -331.84K | 38.03K |
| Cash from Investing | 0 | 0 | 0 | -4K | -10K | -54K | -6K | 0 | 5M | -94.05K | 2.36M | 7.25M | -15.56M | -537.05K | -254.86K | -480.85K | -332.68K | -210.78K | -193.63K | -229.63K | -59.21K | -18.34K |
| Capital Expenditures | 0 | 0 | 0 | -4K | -10K | 0 | -6K | 0 | -1.71K | -94.05K | -161.11K | -243.58K | -556.35K | -537.05K | -254.86K | -480.85K | -332.68K | -210.78K | -193.63K | -229.63K | -59.21K | -18.34K |
| CapEx % of Revenue | - | - | - | 1.6% | - | - | - | - | 0.66% | 36.17% | 991.71% | 2338.33% | 2954.11% | 488.23% | 62.51% | 123.1% | 45.36% | - | - | 75.03% | 22.28% | 5.93% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | -54K | 0 | 0 | 0 | 82.64K | 63.03K | 67.31K | 348.45K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -82.64K | -63.03K | -67.31K | -348.45K | -411.69K | -215.64K | -480.85K | -256.35K | -122.41K | -116.92K | -95.72K | -5.57K | 0 |
| Cash from Financing | 137.83M | 134.44M | 9.58M | 11.19M | 15.26M | 24.61M | 1.89M | 6.59M | 1.81M | 4.99M | 23.74M | 3.89M | 22.94M | 20.52M | 13.82M | 1.67M | 17.27M | 2.76M | 4.55M | 9.83M | 4.67M | 1.23M |
| Debt Issued (Net) | -311K | -320K | -426K | -391K | -790K | -183K | 802K | 36.43K | -13.77K | -3.75M | -4.38M | -1.27M | 2.11M | 7.37M | -65.09K | 0 | 0 | 0 | 0 | -28.34K | -125.2K | -1.75K |
| Equity Issued (Net) | 138.64M | 135.25M | 8.44M | 9.42M | 14.4M | 25.11M | 1.18M | 6.55M | 1.83M | 8.74M | 28.12M | 6.01M | 21.26M | 13.16M | 13.89M | 1.67M | 17.27M | 2.76M | 4.55M | 9.86M | 4.8M | 1.24M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -495K | -495K | 1.57M | 2.16M | 1.65M | -317K | -87K | 0 | 0 | 0 | 0 | -847.05K | -426.21K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Net Change in Cash | 125.43M | 123.59M | -2.61M | 49K | 1.89M | 9.78M | -2.88M | -672.19K | -887.83K | -8.52M | 10.48M | -7.8M | -4.33M | 9.4M | 5.09M | -6.91M | 6.95M | -2.59M | -2.5M | 5.6M | 1.28M | 0 |
| Free Cash Flow | -12.4M | -10.85M | -12.19M | -11.14M | -13.37M | -14.77M | -4.77M | -7.26M | -7.69M | -13.51M | -15.78M | -19.18M | -12.26M | -11.13M | -8.73M | -8.58M | -10.31M | -5.36M | -7.05M | -4.23M | -3.39M | -746.93K |
| FCF Margin % | - | - | - | -4454.8% | - | - | - | -47133.17% | -2959.28% | -5196.23% | -97114.5% | -184076.51% | -65114.62% | -10116.97% | -2141.87% | -2195.85% | -1406.24% | - | - | -1382.42% | -1277.15% | -241.61% |
| FCF Growth % | -9.32% | 11.04% | -9.48% | 16.7% | 9.5% | -209.45% | 34.2% | 5.7% | 43.05% | 14.37% | 17.72% | -56.37% | -10.19% | -27.44% | -1.81% | 16.84% | -92.58% | 24.07% | -66.71% | -24.66% | -354.41% | - |
| FCF per Share | -0.06 | -0.19 | -8.61 | -24.42 | -15.19 | -1185.35 | -20.11 | -30.56 | -28.16 | -61.52 | -1890.62 | -181.04 | -122.04 | -133.44 | -130.15 | -153.76 | -205.62 | -135.40 | -190.38 | -126.37 | -159493.62 | -0.56 |
| FCF Conversion (FCF/Net Income) | 0.51x | 0.65x | 0.84x | 0.91x | 0.94x | 0.56x | 0.46x | 0.87x | 1.56x | 0.86x | 0.74x | 0.91x | 0.52x | 0.53x | 0.84x | 0.65x | 0.54x | 0.50x | 0.58x | 0.57x | 1.06x | 0.44x |
| Interest Paid | 0 | 0 | 14K | 0 | 0 | 64K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Binary clinical trial failure
As reported in financial statements, Palisade Bio's operating cash flow consistently trails net income, with the OCF/NI ratio fluctuating significantly, reaching a low of 0.35 in 2025Q4, which suggests that non-cash items and working capital adjustments are heavily distorting the underlying cash burn reality of the business.
The divergence between net income and operating cash flow indicates that reported losses do not fully capture the actual cash outflow required to sustain clinical operations. Investors should monitor these fluctuations as they suggest that non-cash expenses, such as stock-based compensation, are creating a disconnect between accounting performance and the actual depletion of the company's liquidity.
Based on the company's reported figures, free cash flow remains consistently negative, with quarterly outflows ranging from $1.8 million to $3.9 million, highlighting a structural inability to generate internal funding while the firm remains entirely dependent on its existing cash reserves to finance ongoing clinical development.
The trajectory of free cash flow confirms that the company is in a pure cash-consumption phase with no offsetting inflows. This trend appears likely to persist until the lead asset reaches a commercialization milestone, making the current cash runway the primary determinant of the company's operational longevity.
According to recent SEC filings, working capital changes have been erratic, swinging from a $2.1 million inflow in 2025Q4 to a $1.1 million outflow in 2025Q3, which suggests that the company's cash position is sensitive to the timing of vendor payments and clinical trial site accruals.
These swings in working capital appear to be a byproduct of the project-based nature of clinical trials rather than operational efficiency. The lack of a stable working capital cycle warrants further investigation into whether these fluctuations represent temporary timing differences or underlying shifts in the cost structure of the R&D program.
As indicated by the provided data, stock-based compensation reached $3.7 million in 2025Q4, a significant outlier that obscures the true cash-based operating expenses and complicates the assessment of the company's actual burn rate relative to its clinical progress and milestone achievement timelines.
The reliance on stock-based compensation as a significant component of the expense structure may mask the true economic cost of talent retention. Analysts should adjust for these non-cash charges to better understand the actual cash runway and the potential for future dilution that may be required to sustain operations beyond the current cash balance.
Quick answers to the most common questions about buying PALI stock.
Palisade Bio, Inc. (PALI) generated $-10.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Palisade Bio, Inc. (PALI) reported negative free cash flow of $10.8M in 2025, indicating capital requirements exceeded cash from operations.
Palisade Bio, Inc. (PALI) 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.