Liquidity remains under pressure as the company reported a -33.7% free cash flow margin in 2026Q1 while simultaneously utilizing $13.1M for share repurchases.
| Cash from Operations | -33.94M | -21.81M | -28.87M | -13.76M | 14.51M | 13.42M | -2.88M | -1.88M |
| Operating CF Margin % | - | -23.61% | -94.29% | -63.31% | 110.26% | 107.05% | -4.42% | -20.4% |
| Operating CF Growth % | 0% | 24.46% | -109.77% | -194.84% | 8.18% | 565.9% | -52.92% | - |
| Net Income | -71.04M | -52.7M | -49.81M | -64.78M | -190.45M | -174.02M | -1.96M | -20.2M |
| Depreciation & Amortization | 3.97M | 3.78M | 5.93M | 7.79M | 7.54M | 7.35M | 2.43M | 2.23M |
| Stock-Based Compensation | 141K | 0 | 11.98M | 10.59M | 31.58M | 22.49M | 1.62M | 3.91M |
| Deferred Taxes | 28K | 0 | -7.87M | -385.84K | 7.15M | 3.73M | -1.94M | -677.47K |
| Other Non-Cash Items | 24.95M | 20.48M | 8.93M | 8.8M | 192.46M | 160.45M | 4.77M | 2.64M |
| Working Capital Changes | 2.39M | 6.62M | 1.97M | 24.21M | -33.76M | -6.59M | -7.79M | 10.21M |
| Change in Receivables | -74K | -529K | -428K | 37.63M | 6.97M | -24.06M | -20.09M | 1.83M |
| Change in Inventory | -10.52M | -3.38M | 1.32M | -1.73M | 1.26M | -2.33M | -3.75M | 415.69K |
| Change in Payables | 3.73M | 4.91M | -4.68M | -5.62M | -2.63M | -3.46M | 9.71M | 1.71M |
| Cash from Investing | 13.63M | -35.79M | 38.54M | -82.95M | -46.14M | -22.02M | -5.97M | -4.6M |
| Capital Expenditures | -54.56M | -54.56M | -1.01M | -345.29K | -6.34M | -8.55M | -3.06M | -373.86K |
| CapEx % of Revenue | 47.97% | 59.06% | 3.29% | 1.59% | 48.18% | 68.2% | 4.69% | 4.05% |
| Acquisitions | 106.78M | 37.77M | 21.65M | 0 | -3.42M | 0 | -2.93M | -4.24M |
| Investments | - | - | - | - | - | - | - | - |
| Other Investing | 1.29M | 1000K | 2.02M | -76.52M | 531.99K | -3.47M | 14.75K | 12.43K |
| Cash from Financing | 24.27M | 37.54M | -3.34M | -4.7M | 143.32M | 29.32M | 11.84M | -569.14K |
| Debt Issued (Net) | 40.01M | 40.15M | -2.56M | -3.23M | -1.88M | -1.3M | -610.93K | -503.58K |
| Equity Issued (Net) | -13.12M | 2K | -577K | -1.23M | -661.52K | 25.97M | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -13.12M | 0 | -577K | -1.23M | -661.52K | 0 | 0 | 0 |
| Other Financing | -2.62M | -2.61M | -203K | -241.5K | 145.86M | 4.65M | 12.45M | -65.55K |
| Net Change in Cash | 21.32M | -20.12M | 6.54M | -100.95M | 111.37M | 20.8M | 2.97M | -7.26M |
| Free Cash Flow | -34.14M | -22.02M | -29.94M | -14.68M | 8.17M | 2M | -5.94M | -2.26M |
| FCF Margin % | -30.02% | -23.83% | -97.77% | -67.5% | 62.08% | 15.99% | -9.11% | -24.44% |
| FCF Growth % | - | 26.45% | -103.99% | -279.6% | 307.73% | 133.74% | -163.17% | - |
| FCF per Share | -2.01 | -1.57 | -2.36 | -1.31 | 1.61 | 0.54 | -0.80 | -0.31 |
| FCF Conversion (FCF/Net Income) | 0.48x | 0.58x | 0.62x | 0.22x | -0.08x | -0.08x | 1.48x | 0.09x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Rapid cash reserve depletion
According to the most recent quarterly data, Prenetics reported an OCF/NI ratio of 0.52, indicating that for every dollar of net loss, the company is unable to generate sufficient operational cash flow to bridge the gap between accounting losses and actual cash consumption in the business.
The persistent divergence between net income and operating cash flow suggests that non-cash charges and working capital fluctuations are masking the true extent of the company's cash burn. Investors should monitor this ratio closely, as a sub-unity conversion rate in a loss-making entity often implies that operational cash requirements are outpacing the company's ability to monetize its diagnostic services.
As reported in financial statements, Prenetics' free cash flow margin reached -33.7% in 2026Q1, reflecting a continued inability to achieve self-sustaining operations despite the aggressive scaling of its clinical diagnostic product portfolio and the transition away from legacy pandemic-related testing revenue streams.
The negative FCF trajectory highlights the structural challenge of funding high-growth diagnostic initiatives through internal cash generation. Without a clear path to positive FCF, the company remains tethered to external financing, which may prove increasingly difficult given the current macroeconomic environment and the company's historical burn profile.
Based on 2025Q4 reported figures, the company's CapEx/Revenue ratio reached 149.2%, a figure that suggests an extremely capital-intensive phase as Prenetics invests heavily in laboratory infrastructure and diagnostic hardware to support its long-term clinical screening ambitions in the Asian market.
This level of capital intensity is unsustainable for a firm with negative operating margins and suggests that the company is front-loading significant infrastructure costs. Analysts should evaluate whether these investments are yielding the expected utilization rates for platforms like the HealthPod or if they represent an over-extension of capital in a competitive diagnostic landscape.
Data from 2026Q1 filings reveals that Prenetics utilized $13.1M for share repurchases while simultaneously reporting negative operating cash flow, a capital allocation strategy that appears counterintuitive given the company's urgent need to preserve liquidity for its core diagnostic R&D and operational scaling requirements.
The decision to return capital to shareholders while the business is actively burning cash warrants further investigation into management's strategic priorities. This allocation pattern may indicate a lack of high-return internal investment opportunities or a potential attempt to support the share price, both of which raise concerns regarding the long-term stewardship of the company's remaining cash reserves.
Quick answers to the most common questions about buying PRE stock.
Prenetics Global Limited (PRE) generated $-21.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Prenetics Global Limited (PRE) reported negative free cash flow of $22.0M in 2025, indicating capital requirements exceeded cash from operations.
Prenetics Global Limited (PRE) spent $54.6M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.