Free cash flow remains consistently negative, highlighted by a significant cash burn of $35.8M in 2016Q1, which underscores the entity's inability to fund operations through internal cash generation.
| Cash from Operations | -28.41M | 713K | 12.06M | -2.16M | 10.85M | -5.48M | -6.64M | -614K | 8.45M | 16.61B | -5.74B |
| Operating CF Margin % | - | 0.16% | 4.7% | -0.8% | 6.7% | -4.22% | -6.81% | -0.6% | 6.24% | 14945.88% | -4.77% |
| Operating CF Growth % | -642.86% | -94.09% | 657.12% | -119.94% | 297.99% | 17.43% | -981.11% | -107.27% | -99.95% | 389.25% | - |
| Net Income | -4.21M | 5.84M | -6.99M | 4.41M | 3.08M | 24.05M | 3.31M | 4.3M | 10.66M | -1.61M | 11.71B |
| Depreciation & Amortization | 10.78M | 10.53M | 8.9M | 7.29M | 4.78M | 3.42M | 2.75M | 2.42M | 2.03M | 1.5B | 991.57M |
| Stock-Based Compensation | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 1.89M | -3.76M | 4.36M | -3.29M | -1.07M | -2.06M | -262K | 206K | -390K | -2.3B | 278.15M |
| Other Non-Cash Items | -50.63M | -19.5M | 38.58M | -57.68M | 13.32M | -47.91M | -20.83M | -15.4M | 41.23B | 12.88B | -32.49B |
| Working Capital Changes | 11.21M | 5.04M | -34.91M | 46.51M | -10.14M | 14.87M | 6.27M | 5.69M | -41.24B | 2.43B | 12.99B |
| Change in Receivables | -24.54M | -55.48M | 8.6M | -25.98M | -9.66M | -16.87M | -4.04M | -3.12M | 11.54M | 3.5B | -28.18B |
| Change in Inventory | -28.65M | -28.92M | -17.72M | 4.22M | 68K | 4.72M | -5.28M | -1.59M | 1.36M | -7.9B | -9.39B |
| Change in Payables | 17.71M | 48M | 15.33M | 8.22M | 6.58M | -1.54M | 3.84M | -1.7M | -5.5M | -3.84B | 11.72B |
| Cash from Investing | -14.67M | -12.04M | -26.18M | -23.75M | -12.78M | 25.72M | -308K | -3.78M | -19.02M | -4.69B | -5.04B |
| Capital Expenditures | -13M | -9.95M | -11.21M | -9.01M | -10.38M | -16.55M | -5.5M | -2.44M | -18.03M | -2.15B | -1.36B |
| CapEx % of Revenue | 2.77% | 2.24% | 4.37% | 3.33% | 6.41% | 12.73% | 5.64% | 2.38% | 13.31% | 1932.73% | 1.13% |
| Acquisitions | 0 | - | - | - | - | - | - | - | - | - | - |
| Investments | 0 | 0 | 0 | 0 | 0 | 12K | 4.35M | 3.97M | 4.11M | 3.65B | 3.51B |
| Other Investing | -601K | -1.02M | -721K | -316K | 2.87M | 42.55M | 5.19M | -1.34M | -985K | -2.54B | -1.34B |
| Cash from Financing | 20.87M | -4.01M | -3.01M | 57.71M | -3.56M | -3.84M | 5.51M | 246K | 6.18M | 878.37M | 24.51B |
| Debt Issued (Net) | 0 | - | - | - | - | - | - | - | - | - | - |
| Equity Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 17.31M | -138K | -433K | -117K | -5.27M | -281K | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 20.87M | -4.01M | -3.01M | 57.71M | -3.56M | -3.84M | 5.51M | 246K | 6.18M | 878.37M | 24.51B |
| Net Change in Cash | -17.45M | -15.34M | -17.14M | 31.79M | -5.48M | 16.4M | -11.97M | -4.15M | -4.39M | 12.79B | 13.73B |
| Free Cash Flow | -41.41M | -9.24M | 848K | -11.18M | 467K | -22.03M | -12.14M | -3.05M | -9.59M | 14.46B | -7.1B |
| FCF Margin % | -8.82% | -2.08% | 0.33% | -4.14% | 0.29% | -16.94% | -12.45% | -2.98% | -7.08% | 13013.15% | -5.89% |
| FCF Growth % | -506.88% | -1189.74% | 107.59% | -2493.15% | 102.12% | -81.48% | -297.41% | 68.14% | -100.07% | 303.72% | - |
| FCF per Share | -1.84 | -0.41 | 0.04 | -0.55 | 0.02 | -1.16 | -0.18 | -0.06 | -0.59 | 901.16 | -0.43 |
| FCF Conversion (FCF/Net Income) | 9.85x | 0.12x | -1.72x | -0.49x | 3.53x | -0.23x | -2.01x | -0.14x | 0.79x | -10327.53x | -0.49x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
High Cash Flow Volatility
As reported in financial statements, the relationship between net income and operating cash flow is highly erratic, with the OCF/NI ratio reaching an extreme negative 52.55 in 2015Q1, suggesting that accounting profits provide little insight into the actual cash-generating capacity of the underlying assets.
The frequent divergence between net income and operating cash flow indicates that accruals and non-cash adjustments are masking significant operational instability. Investors should monitor this disconnect, as it suggests that reported earnings may not be supported by actual cash inflows, complicating the assessment of true economic profitability.
Based on recent SEC filings, the free cash flow trajectory is consistently negative, with a significant cash burn of 35.8M in 2016Q1, indicating that the entity is currently unable to fund its operations and capital requirements through internally generated cash flows alone.
The persistent inability to generate positive free cash flow, even during periods of revenue activity, suggests a structural challenge in the business model. This trend warrants further investigation into whether the current cash burn is a temporary phase or a permanent feature of the fund's operational structure.
According to historical data, working capital changes have been highly volatile, including a massive 23.4M outflow in 2014Q4, which appears to be a primary driver of the erratic operating cash flow performance observed across the ten-quarter period analyzed in the provided financial statements.
The sharp swings in working capital suggest that the entity struggles with efficient cash management, potentially due to timing mismatches in collections or inventory-related pressures. Such instability in working capital cycles makes it difficult to forecast liquidity needs and increases the risk of sudden cash shortfalls.
As indicated by the reported figures, capital deployment has been inconsistent, characterized by erratic share buyback activity such as the 23.8M repurchase in 2015Q2, which occurred despite the entity's broader struggle to maintain positive free cash flow and stable operating margins during that same period.
The decision to prioritize share repurchases while the entity is simultaneously burning cash suggests a potential misalignment between capital allocation and operational reality. This approach may indicate that management is attempting to support equity value despite the underlying cash flow pressures, which warrants caution from a fundamental perspective.
Quick answers to the most common questions about buying POWR stock.
iShares U.S. Power Infrastructure ETF (POWR) generated $0.7M in net cash from operating activities in 2015. This reflects the cash generated directly from core business operations.
iShares U.S. Power Infrastructure ETF (POWR) reported negative free cash flow of $9.2M in 2015, indicating capital requirements exceeded cash from operations.
iShares U.S. Power Infrastructure ETF (POWR) spent $10.0M on capital expenditures in 2015. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2015, iShares U.S. Power Infrastructure ETF (POWR) spent $0.1M on share repurchases. This shows the company's commitment to returning capital to its equity investors.