Free cash flow remains resilient with a 23.3% margin in 2026Q1, supported by an OCF/NI ratio that reached an extreme 41.39 in 2025Q4.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Jan'17 | Jan'16 | Jan'15 | Feb'13 | Jan'12 | Jan'11 | Jan'10 | Jan'09 |
|---|
| Cash from Operations | 13.27M | 13.3M | 13M | 13.58M | -3.31M | 1.55M | 2.19M | -1.25M | 19.26M | 38.11M | 44.52M | -7.37M | 33.92M | -11.08M | 121.04M | -9.53M |
| Operating CF Margin % | - | 19.24% | 21.6% | 25.38% | -6.99% | 3.8% | 7.34% | -5.47% | 4.11% | 7.03% | 7.62% | -1.38% | 6.87% | -2.29% | 23.69% | -2.22% |
| Operating CF Growth % | 26.4% | 2.32% | -4.23% | 510.83% | -313.5% | -29.41% | 274.88% | -106.51% | -49.45% | -14.39% | 704.21% | -121.72% | 406.07% | -109.16% | 1370.62% | - |
| Net Income | 4.7M | 4.64M | 5.02M | 5.53M | -161.45M | -156.85M | -5.21M | -1.74M | -23.64M | -11.67M | 2.65M | -56.01M | 4.13M | -3.72M | -15.83M | -86.96M |
| Depreciation & Amortization | 775K | 1.02M | 798K | 713K | 766K | 645K | 492K | 394K | 8.96M | 11.13M | 10.94M | 15.15M | 8.61M | 8.91M | 9.77M | 6.58M |
| Stock-Based Compensation | 284K | 0 | 2.77M | 3.21M | 2.17M | 1.78M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 14.93M |
| Other Non-Cash Items | 2.81M | 1.88M | 449K | -2.18M | 158.39M | 156.26M | 2.1M | 1.15M | 52.6M | 66.41M | 52.31M | -23.25M | 33.27M | -88.33M | 126.04M | 157.15M |
| Working Capital Changes | 4.55M | 5.77M | 3.96M | 6.3M | -3.19M | -284K | 4.81M | -1.05M | -18.75M | -28.05M | -22.34M | 52.2M | -12.23M | 71.93M | 1.02M | -101.41M |
| Change in Receivables | 1.09M | 492K | -511K | 1.63M | -5.18M | -1.06M | 952K | -3.45M | 2.31M | -1.79M | 6.47M | 6.32M | 2.4M | 172K | -94K | 1.28M |
| Change in Inventory | 0 | 0 | 15K | 12K | 43K | 0 | 8K | -35K | 24.68M | 32.03M | 29.43M | 5.93M | 7.79M | -8.61M | 85.84M | 16.34M |
| Change in Payables | 0 | 0 | 0 | 0 | 0 | 0 | -167K | 160K | 727K | 31K | -1.25M | 2.04M | -3.89M | -9.23M | 6.18M | -31.81M |
| Cash from Investing | -20.28M | -14.06M | -8.88M | -637K | -30.26M | -213K | 7.84M | -7.77M | -3.12M | -8.48M | -12.39M | -52.04M | -4.04M | -2.98M | -1.5M | -1.79M |
| Capital Expenditures | -436.75K | -425K | -392K | -289K | -165K | -154K | -215K | -194K | -3.12M | -8.48M | -12.09M | -7.09M | 4.04M | -2.98M | -4.82M | -8.86M |
| CapEx % of Revenue | 0.61% | 0.61% | 0.65% | 0.54% | 0.35% | 0.38% | 0.72% | 0.85% | 0.66% | 1.57% | 2.07% | 1.33% | 0.82% | 0.61% | 0.94% | 2.06% |
| Acquisitions | -446.04K | -5.98M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -44.95M | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -9.31M | -36K | -8.49M | -48K | -93K | -59K | -124K | -57K | 0 | 0 | -300K | 0 | -8.09M | 0 | 3.32M | 7.07M |
| Cash from Financing | -564.86K | -562K | -525K | -51.5M | 118.03M | -63K | 39.81M | 26.16M | -14.31M | -25.52M | -32.15M | 60.17M | -29.43M | 13.35M | -116.97M | 17.89M |
| Debt Issued (Net) | -285K | 0 | -525K | -435K | -457K | -393K | -305K | -193K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Equity Issued (Net) | 0 | 0 | 0 | -51.06M | 0 | 0 | -10M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | -51.06M | 0 | 0 | -10M | 0 | -7.47M | -5.64M | -1.53M | -2.45M | -1.68M | 0 | 0 | 0 |
| Other Financing | -279.86K | -562K | 0 | 0 | 118.48M | 330K | 50.11M | 26.36M | -14.31M | -25.52M | -32.15M | 60.17M | -29.43M | 13.35M | -116.97M | 17.89M |
| Net Change in Cash | -7.67M | -1.15M | 3.25M | -38.74M | 82.16M | 1.44M | 50.73M | 17.42M | 1.83M | 4.11M | -20K | 765K | 446K | -715K | -2.25M | -2.29M |
| Free Cash Flow | 12.83M | 12.88M | 12.61M | 13.26M | -3.56M | 1.39M | 1.9M | -1.49M | 16.15M | 29.63M | 32.43M | -14.46M | 37.97M | -14.06M | 116.22M | -18.39M |
| FCF Margin % | 18.05% | 18.63% | 20.95% | 24.78% | -7.53% | 3.42% | 6.36% | -6.5% | 3.44% | 5.47% | 5.55% | -2.7% | 7.69% | -2.9% | 22.75% | -4.28% |
| FCF Growth % | -4.6% | 2.13% | -4.87% | 472.05% | -355.6% | -26.67% | 227.58% | -109.23% | -45.5% | -8.64% | 324.31% | -138.08% | 370.01% | -112.1% | 732.07% | - |
| FCF per Share | 0.13 | 0.14 | 0.13 | 0.11 | -0.03 | 0.01 | 0.02 | -0.01 | 0.13 | 0.24 | 0.26 | -0.13 | 0.53 | -0.20 | 1.62 | -0.75 |
| FCF Conversion (FCF/Net Income) | 2.73x | 2.87x | 2.59x | 2.51x | 0.02x | -0.01x | -0.39x | 0.63x | -0.81x | -3.27x | 16.82x | 0.13x | 8.21x | 2.98x | -7.65x | 0.11x |
| Interest Paid | 0 | 0 | 18K | 0 | 0 | 9K | 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 |
Geopolitical and AI disruption
As reported in quarterly financial statements, Perfect Corp. consistently generates operating cash flow significantly higher than net income, with the OCF/NI ratio reaching an extreme 41.39 in 2025Q4, suggesting that accounting earnings are currently a poor proxy for the company's actual cash-generating capacity.
The persistent gap between net income and operating cash flow indicates that non-cash charges and working capital adjustments are heavily influencing the bottom line. Investors should interpret this as a sign that the company's reported profitability is understated relative to its ability to convert revenue into liquid assets.
Based on the provided cash flow data, Perfect Corp. maintains a consistent free cash flow trajectory, with margins peaking at 26.7% in 2025Q1, demonstrating that the business model is capable of self-funding its operations despite the volatility observed in its reported net income figures.
The ability to maintain positive free cash flow while simultaneously investing in R&D suggests a high degree of operational discipline. This trajectory implies that the company is not reliant on external financing to sustain its current growth initiatives, which is a positive indicator for long-term solvency.
According to recent SEC filings, Perfect Corp. operates with extremely low capital intensity, as evidenced by a CapEx/Revenue ratio that rarely exceeds 1.4%, confirming that the company's software-centric model requires negligible physical asset replacement to maintain its current competitive position in the AR market.
The minimal capital expenditure requirements allow the company to direct the vast majority of its cash flow toward software development and market expansion. This low-maintenance cost structure is a key driver of the company's ability to remain cash-flow positive even during periods of aggressive R&D spending.
As indicated by the historical cash flow data, working capital changes have been a primary contributor to cash flow, with a notable $3.0 million inflow in 2025Q2, suggesting that the company is effectively managing its receivables and payables to bolster its short-term liquidity position.
The positive impact of working capital on cash flow suggests that the company is successfully collecting on its enterprise contracts in a timely manner. However, investors should monitor whether these inflows are sustainable or if they represent one-time timing benefits that may reverse in future quarters.
Based on reported figures, Perfect Corp. utilizes stock-based compensation as a significant non-cash expense, with quarterly grants reaching as high as $784,000 in 2024Q1, which effectively obscures the true economic cost of talent retention and dilutes the value of existing shareholder equity over time.
While SBC is a standard practice for tech firms, the reliance on equity-based incentives suggests that the company's cash-based operating expenses might be higher if it were forced to pay for talent entirely in cash. This warrants further investigation into the long-term impact of dilution on per-share value.
Quick answers to the most common questions about buying PERF stock.
Perfect Corp. (PERF) generated $13.3M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Perfect Corp. (PERF) generated $12.9M 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.
Perfect Corp. (PERF) spent $0.4M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.