Earnings quality remains inconsistent, evidenced by a 2026Q4 OCF/NI ratio of -1.03, which highlights the disconnect between reported income and actual cash generation.
| Metric | Mar'26 | Mar'25 | Mar'24 | Mar'23 | Mar'22 | Mar'21 | Mar'20 | Mar'19 | 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 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 | Dec'95 | Dec'94 |
|---|
| Cash from Operations | 1.49M | -10.11M | 32.64M | 35.56M | 1.77M | -14.42M | -5.36M | -7.29M | -3.28M | -19.79K | -1.52K | -4.35K | -15.37K | -16.02K | -15.2K | -16.67K | -19.45K | -24.46K | -82.48K | -15.56K | 0 | 23.02K | -884.45K | -2.62M | -5.31M | 100K | -370K | -130K |
| Operating CF Margin % | 2.91% | -20.46% | 60.5% | 56.3% | 0.74% | -23.07% | -36.26% | -159.75% | -281.97% | - | - | - | - | - | - | - | - | - | - | - | - | 0.13% | -4.38% | -9.5% | -26.93% | 0.78% | -3.25% | -2.36% |
| Operating CF Growth % | 114.73% | -130.97% | -8.22% | 1913.14% | 112.25% | -168.98% | 26.52% | -122.43% | -16467.48% | -1202.24% | 65.08% | 71.68% | 4.08% | -5.45% | 8.84% | 14.32% | 20.46% | 70.35% | -430.17% | - | -100% | 102.6% | 66.2% | 50.74% | -5412.11% | 127.03% | -184.62% | - |
| Net Income | -3.54M | -65.22M | -5.35M | -8.77M | 25.87M | -7.81M | -14.56M | -11.71M | -5.79M | -333.49K | -20.03K | -21.92K | -22.58K | -24.69K | -26.24K | -33.85K | -29.47K | -36.28K | 91.89K | -26.44K | -1.51K | -3.08M | 95.95K | 815.55K | 1.14M | 700K | 670K | 270K |
| Depreciation & Amortization | 14.4M | 14.12M | 13.51M | 19.34M | 17.41M | 4.88M | 4.46M | 599.86K | 148.86K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 143.53K | 136.91K | 27.94K | 21.22K | 0 | 20K | 10K |
| Stock-Based Compensation | 1.51M | 0 | 0 | 0 | 7.43M | 3.44M | 1.79M | 1.17M | 160K | 59.74K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 0 | 40.37M | -3.81M | 712.24K | 293.43K | 0 | 0 | 0 | 1.39M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 47K | -6K | -7K | -18K | 0 | 160K | -180K |
| Other Non-Cash Items | -409.74K | -35.9M | 21.49M | 9.41M | 9.88M | 2.36M | 239.18K | 3.35M | 857.22K | 306.3K | 0 | 0 | 0 | 0 | -26.24K | -33.85K | 0 | 0 | -126.36K | 0 | 0 | 1.96M | -531.75K | -1.28M | -1.07M | -100K | -1.97M | -10K |
| Working Capital Changes | -10.47M | 36.52M | 6.79M | 14.86M | -59.11M | -17.27M | 2.71M | -711.82K | -49.65K | 7.39K | 18.51K | 17.57K | 7.21K | 8.66K | 11.05K | 17.18K | 10.01K | 11.82K | -48K | 10.88K | 1.51K | 953.64K | -579.55K | -2.18M | -5.39M | -600K | 750K | -220K |
| Change in Receivables | 102.15K | -30.37K | 1.01M | 14.43M | -20.71M | -6.08M | -1.68M | -131.11K | -171.81K | -1.64M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.3M | 270K | 0 |
| Change in Inventory | 0 | 0 | 8.78M | 4.67M | -43.15M | -11.46M | 364.52K | -2.37M | -928.76K | -219.1K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.89M | -1.78M | -2.08M | -3.28M | -600K | -1.26M | 0 |
| Change in Payables | -2.34M | 2.45M | 1.14M | -8.69M | 9.93M | 1.81M | 3.28M | 1.44M | 418.9K | -3.33K | 1.85K | 610 | -8.08K | -1.51K | -2.59K | 4.9K | -399 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -100K | -250K | 0 |
| Cash from Investing | 40.6M | -5.48M | -8.02M | -12.54M | -69.68M | -7.44M | -462.38K | -9.54M | -404.19K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -246.37K | -65.1K | -144.3K | -431.73K | 0 | -20K | -250K |
| Capital Expenditures | -2.89M | -3.41M | -2.65M | -12.54M | -19.22M | -7.44M | -462.38K | -2.54M | -404.19K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -88.98K | -57.5K | -38.61K | -143.12K | 0 | -20K | -50K |
| CapEx % of Revenue | 5.65% | 6.9% | 4.92% | 19.86% | 8% | 11.9% | 3.13% | 55.67% | 34.75% | - | - | - | - | - | - | - | - | - | - | - | - | 0.51% | 0.28% | 0.14% | 0.73% | - | 0.18% | 0.91% |
| Acquisitions | 43.49M | 0 | 0 | 0 | -50.52M | 0 | 0 | -7M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -160.1K | -2.08M | -5.37M | 0 | 59.8K | 0 | 0 | -9.54M | -200K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 142.61K | -7.61K | -105.69K | -288.61K | 0 | 0 | -200K |
| Cash from Financing | -4.25M | -9.77M | -8.66M | -6.66M | -27.15M | 139.31M | 4.52M | 14.64M | 4.46M | 19.79K | 1.52K | 4.35K | 15.37K | 16.02K | 15.2K | 16.67K | 19.45K | 23.96K | 82.98K | 15.56K | 0 | 163.56K | 919.52K | 1.31M | 7.2M | -100K | 350K | 320K |
| Debt Issued (Net) | 0 | 0 | -3.17M | -3.28M | -56.83M | 2.3M | 2.65M | 842.73K | 0 | 0 | 0 | 0 | 11.27K | 16.02K | 15.2K | 16.67K | 19.45K | 23.96K | 92.92K | 0 | 0 | 163.56K | 577.02K | 1.31M | -10.85K | 0 | 0 | 0 |
| Equity Issued (Net) | -1.33M | -6.56M | -2.08M | -420.92K | 35.94M | 137.11M | 2.18M | -124K | 6.11M | 0 | 1.52K | 4.35K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 342.5K | 0 | 7.46M | 0 | 0 | 0 |
| Dividends Paid | -2.93M | -2.97M | -2.97M | -2.96M | -2.52M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -1.33M | -6.56M | -2.15M | -522.42K | 0 | -1.5M | 0 | -124K | -99.36K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 0 | -240.94K | -438.27K | 0 | -3.74M | -106.52K | -300K | 13.92M | -1.65M | 19.79K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -9.94K | 15.56K | 0 | 0 | 0 | -7.06K | -250K | -100K | 350K | 320K |
| Net Change in Cash | 37.88M | -25.36M | 15.95M | 16.35M | -95.06M | 117.46M | -1.3M | -2.2M | 776.71K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -500 | 500 | 0 | 0 | -59.79K | -30.03K | -1.45M | 1.46M | 0 | -30K | -60K |
| Free Cash Flow | -1.93M | -13.51M | 29.98M | 23.02M | -17.45M | -21.85M | -5.82M | -9.84M | -3.68M | -19.79K | -1.52K | -4.35K | -15.37K | -16.02K | -15.2K | -16.67K | -19.45K | -24.46K | -82.48K | -15.56K | 0 | -65.96K | -941.95K | -2.66M | -5.46M | 100K | -390K | -180K |
| FCF Margin % | -3.77% | -27.36% | 55.58% | 36.45% | -7.26% | -34.97% | -39.39% | -215.42% | -316.73% | - | - | - | - | - | - | - | - | - | - | - | - | -0.38% | -4.66% | -9.64% | -27.66% | 0.78% | -3.43% | -3.26% |
| FCF Growth % | 85.74% | -145.07% | 30.27% | 231.87% | 20.13% | -275.36% | 40.81% | -167.03% | -18509.45% | -1202.24% | 65.08% | 71.68% | 4.08% | -5.45% | 8.84% | 14.32% | 20.46% | 70.35% | -430.17% | - | 100% | 93% | 64.53% | 51.32% | -5555.23% | 125.64% | -116.67% | - |
| FCF per Share | -0.02 | -0.11 | 0.25 | 0.20 | -0.15 | -0.40 | -0.13 | -0.29 | -0.19 | -0.03 | -0.00 | -0.01 | -0.03 | -0.03 | -0.03 | -0.03 | -0.03 | -0.04 | -0.39 | -0.11 | - | -0.51 | -6.45 | -18.26 | -61.99 | 1.32 | -5.57 | -2.57 |
| FCF Conversion (FCF/Net Income) | -0.42x | 0.08x | -1.97x | -4.06x | 0.07x | 1.85x | 0.37x | 0.62x | 0.65x | 0.06x | 0.08x | 0.20x | 0.68x | 0.51x | 0.58x | 0.49x | 0.66x | 0.67x | -0.90x | 0.59x | - | -0.01x | -9.22x | -3.27x | -4.83x | 0.14x | -0.55x | -0.48x |
| Interest Paid | 166.11K | 699.93K | 0 | 0 | 626.57K | 1.19M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 49.54K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 328 | 0 | 1.39K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Operational cash flow volatility
Based on reported financial statements, the persistent divergence between net income and operating cash flow, highlighted by a 2026Q4 OCF/NI ratio of -1.03, suggests that the company's reported earnings are frequently decoupled from actual cash generation, complicating the assessment of true underlying profitability for investors.
The frequent inability of net income to track with operating cash flow indicates that non-cash charges and accrual adjustments are masking the core cash-generating capacity of the business. Investors should monitor whether this disconnect is a byproduct of the ongoing transition to a marketplace model or a sign of structural accounting volatility.
As reported in recent quarterly filings, POWW's free cash flow trajectory remains erratic, swinging from a peak of $7.2M in 2024Q3 to a deficit of $9.0M in 2026Q1, which underscores the significant sensitivity of the company's cash position to cyclical demand and operational overhead.
The lack of a consistent free cash flow trend suggests that the company has yet to achieve the operational maturity required to self-fund its growth initiatives. This volatility warrants further investigation into whether the manufacturing segment's capital requirements are consistently cannibalizing the cash generated by the digital marketplace.
According to historical cash flow data, working capital changes have been a primary driver of cash flow variance, with a notable $21.1M inflow in 2025Q3 followed by a $5.6M outflow in 2026Q1, indicating that inventory and receivables management remains a significant source of cash flow instability.
These large swings in working capital suggest that the company's cash position is highly susceptible to the timing of inventory build-ups and collection cycles within its manufacturing arm. Such fluctuations make it difficult to rely on short-term cash flow metrics as a proxy for sustainable operational health.
Based on the provided data, the company has maintained a consistent pattern of dividend payments and minor share repurchases despite negative net income, suggesting that management is prioritizing shareholder returns to maintain investor confidence while navigating a challenging transition period for its core business segments.
The decision to continue returning capital while operating cash flow remains inconsistent appears to be a strategic choice to signal stability. However, this approach may limit the company's ability to aggressively reinvest in the GunBroker platform, which remains the most promising driver of long-term value.
Quick answers to the most common questions about buying POWW stock.
Outdoor Holding Company (POWW) generated $1.5M in net cash from operating activities in 2026. This reflects the cash generated directly from core business operations.
Outdoor Holding Company (POWW) reported negative free cash flow of $1.9M in 2026, indicating capital requirements exceeded cash from operations.
Outdoor Holding Company (POWW) spent $2.9M on capital expenditures in 2026. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2026, Outdoor Holding Company (POWW) returned $2.9M to shareholders via cash dividends and spent $1.3M on share repurchases. This shows the company's commitment to returning capital to its equity investors.