Cash conversion efficiency remains inconsistent, with the OCF/NI ratio fluctuating from a high of 2.62 in 2026Q1 to a negative 0.29 in 2025Q4, largely driven by volatile working capital swings.
| 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 | Dec'04 |
|---|
| Cash from Operations | 34.43M | 24.11M | 62.39M | 70.51M | -8.85M | -61.48M | -7.59M | 18.16M | -6.17M | -7.7M | 32.28M | -23.05M | -15.69M | -12.44M | -2.94M | -973K | 43.37K | 36.55K | -20.91K | -47.11K | -57.08K | -20.98K | -22.41K |
| Operating CF Margin % | - | 3.34% | 13.11% | 15.36% | -1.84% | -13.47% | -1.82% | 3.33% | -1.24% | -1.85% | 9.51% | -5.92% | -4.51% | -5.23% | -1.45% | -0.63% | 55.93% | 37.15% | -18.28% | -55.48% | -70.76% | -29.91% | -26.62% |
| Operating CF Growth % | 915.1% | -61.35% | -11.52% | 897.2% | 85.61% | -709.56% | -141.82% | 394.37% | 19.84% | -123.84% | 240.06% | -46.95% | -26.14% | -322.82% | -202.26% | -2343.64% | 18.67% | 274.74% | 55.61% | 17.45% | -172.07% | 6.41% | - |
| Net Income | 102.2M | 113.99M | 69.28M | 26.31M | 11.27M | -48.47M | -22.98M | 8.25M | -54.73M | -47.61M | -47.47M | 14.28M | 23.73M | -18.76M | 6.7M | 4.06M | -25.91K | 18.27K | -24.98K | -106.41K | -106.57K | -49.59K | -26.54K |
| Depreciation & Amortization | 5.8M | 5.39M | 5.2M | 5.6M | 6.69M | 7.41M | 8.2M | 8.8M | 10.2M | 9.47M | 10.3M | 9.67M | 4.71M | 1.57M | 1.1M | 820K | 2.68K | 4.07K | 5.81K | 6.29K | 12.37K | 11.12K | 9.02K |
| Stock-Based Compensation | 274K | 427K | 89K | 151K | 385K | 394K | 607K | 1.25M | 2.66M | 473K | 1.62M | 1.19M | 1.25M | 1.27M | 478K | 0 | 27.5K | 15K | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -13.76M | -14.89M | 90K | 200K | 189K | 29K | -1.45M | 457K | -56K | 239K | 18.07M | -62K | 1.01M | -467K | -716K | -870K | -27.5K | -40K | 0 | 0 | 0 | 0 | -62.15K |
| Other Non-Cash Items | 6.91M | 6M | 3.88M | 4.91M | 3.92M | 3.76M | 1.88M | 2.33M | 16.22M | 20.96M | 8.49M | -6.18M | -8.06M | 28.42M | 559K | 4.44M | 981 | 9.38K | -11.48K | 30.45K | 7.83K | -9.59K | 64.5K |
| Working Capital Changes | -67M | -86.8M | -16.15M | 33.34M | -31.3M | -24.59M | 6.15M | -2.92M | 19.53M | 8.77M | 41.28M | -41.95M | -38.32M | -24.47M | -11.07M | -5.61M | 65.62K | 29.83K | 9.73K | 22.55K | 29.3K | 27.09K | -7.25K |
| Change in Receivables | 17.24M | -20.57M | -4.23M | 21.25M | -24.8M | -4.95M | 44.61M | -18.09M | -17.89M | -8.39M | 10.12M | -18.12M | -35.23M | -5.26M | -7.96M | -12.99M | 919 | 13.94K | 1.5K | 0 | 0 | 0 | 0 |
| Change in Inventory | -13.79M | -33.43M | -10.56M | 33.79M | 20.43M | -34.84M | -382K | -3.98M | -26.2M | 13.37M | 55.56M | -27.34M | -34.13M | -16.02M | -6.58M | -1.23M | 0 | -1.25K | 196.29K | 0 | 0 | 0 | 0 |
| Change in Payables | -21.41M | -10.08M | -8.86M | -9.24M | -17M | 62.1M | -44.16M | -9.49M | 33.97M | -1.2M | -27.04M | 8.16M | 34.14M | -3.69M | 2.47M | 7.37M | 37.2K | 2.14K | 7.03K | 0 | 0 | 0 | 0 |
| Cash from Investing | -20.36M | -9.96M | -4.56M | -5.02M | -1.35M | 398K | -1.41M | -3.66M | -10.24M | -5.17M | -1.65M | -43.57M | -51.71M | -6.51M | -3.9M | -1.57M | -821 | 0 | 0 | 3.1K | -5.9K | 12.15K | 50.45K |
| Capital Expenditures | -8.46M | -9.97M | -4.56M | -5.04M | -1.35M | -1.97M | -2.4M | -3.68M | -3.65M | -5.06M | -3.87M | -8.17M | -7.24M | -6.01M | -3.89M | -1.56M | -821 | 0 | 0 | -6.9K | -6.9K | -852 | -9.05K |
| CapEx % of Revenue | 1.18% | 1.38% | 0.96% | 1.1% | 0.28% | 0.43% | 0.58% | 0.67% | 0.73% | 1.21% | 1.14% | 2.1% | 2.08% | 2.53% | 1.92% | 1% | 1.06% | - | - | 8.12% | 8.55% | 1.21% | 10.75% |
| Acquisitions | -11.9M | 11K | 0 | 0 | 0 | 2.26M | 0 | 0 | 0 | -8.35M | 0 | -35.4M | -44.47M | -500K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 16K | 0 | 103K | 990K | 23K | -6.59M | 8.24M | 2.22M | 1M | -2K | -7K | -8K | -13K | 0 | 0 | 0 | 10K | 1K | 13K | 0 |
| Cash from Financing | -18.19M | -27.69M | -25.93M | -66.8M | 28.37M | 46.55M | 33.27M | -14.55M | 16.46M | 10.57M | -36.78M | 68.5M | 67.65M | 24.71M | 7.38M | 2.54M | -51.32K | 18.05K | 17.5K | 39.66K | 56.12K | -11.97K | -8.79K |
| Debt Issued (Net) | -15.56M | -25.48M | -25.02M | -65.81M | 30.16M | 49.75M | 35.18M | -15.28M | 17.56M | -47.12M | -24.52M | 70.24M | 64.12M | -13.01M | 7.43M | -6.55M | -3.03M | 18.05K | 0 | 0 | 0 | -11.17K | -9.45K |
| Equity Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 59.4M | 2M | 65K | 1.43M | -2.06M | 0 | 13.75M | 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 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -4.25M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -2.63M | -2.21M | -910K | -989K | -1.79M | -3.2M | -1.91M | 730K | -1.1M | -1.71M | -14.26M | -1.8M | 2.1M | 39.78M | -50K | -4.65M | -314K | 0 | 17.5K | 39.66K | 56.12K | -800 | 658 |
| Net Change in Cash | -4.12M | -13.54M | 31.9M | -1.31M | 18.17M | -14.54M | 24.26M | -51K | 16.46M | 0 | -6.15M | 1.88M | 255K | 5.76M | 7.38M | 0 | -8.78K | 54.59K | -3.41K | -4.36K | -6.86K | -20.8K | 19.24K |
| Free Cash Flow | 25.97M | 14.14M | 57.83M | 65.48M | -10.2M | -63.45M | -10M | 14.48M | -9.81M | -12.76M | 28.41M | -31.22M | -22.92M | -18.44M | -6.83M | -2.53M | 42.55K | 36.55K | -20.91K | -54.01K | -63.97K | -21.83K | -31.47K |
| FCF Margin % | 3.63% | 1.96% | 12.15% | 14.27% | -2.12% | -13.91% | -2.39% | 2.65% | -1.98% | -3.06% | 8.37% | -8.02% | -6.59% | -7.75% | -3.38% | -1.63% | 54.87% | 37.15% | -18.28% | -63.6% | -79.31% | -31.13% | -37.37% |
| FCF Growth % | -46.38% | -75.55% | -11.68% | 741.98% | 83.92% | -534.71% | -169.05% | 247.52% | 23.07% | -144.9% | 190.99% | -36.2% | -24.3% | -169.98% | -170% | -6046.51% | 16.42% | 274.74% | 61.28% | 15.57% | -193.05% | 30.63% | - |
| FCF per Share | 1.13 | 0.61 | 2.51 | 2.85 | -0.44 | -2.77 | -0.44 | 0.67 | -0.53 | -0.93 | 2.60 | -2.84 | -2.06 | -1.89 | -0.75 | -0.72 | 0.14 | 0.31 | -0.18 | -0.46 | -0.54 | -0.19 | -0.27 |
| FCF Conversion (FCF/Net Income) | 0.25x | 0.21x | 0.90x | 2.68x | -0.78x | 1.27x | 0.33x | 2.20x | 0.11x | 0.16x | -0.68x | -1.61x | -0.66x | 0.66x | -0.44x | -0.24x | -1.67x | 2.00x | 0.84x | 0.44x | 0.54x | 0.42x | 0.84x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 3.38M | 1.15M | 660K | 912K | 1.16M | -1.9M | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 7.13M | 5.33M | 4.87M | 4.35M | 3.69M | -1.2M | 800 | 800 | 0 | 0 | 0 | 0 |
Supply chain concentration risk
As reported in financial statements, PSIX exhibits significant volatility in cash conversion, with the OCF/NI ratio fluctuating from a high of 2.62 in 2026Q1 to a negative 0.29 in 2025Q4, suggesting that reported net income frequently fails to translate into realized operating cash flow.
The wide variance between net income and operating cash flow suggests that earnings are heavily influenced by non-cash items or timing differences in revenue recognition. Investors should monitor whether this disconnect stems from aggressive accrual accounting or the lumpy nature of the company's industrial order fulfillment cycles.
Based on the provided quarterly data, working capital changes have been a major drag on cash flow, including a substantial $32.9 million outflow in 2025Q3, which indicates that the company's cash position is highly sensitive to inventory build-ups and the timing of customer collections.
The recurring negative working capital adjustments suggest that PSIX may be forced to carry significant inventory to support its integration model, potentially tying up capital for extended periods. This pattern warrants further investigation into whether these outflows are temporary supply chain buffers or a structural requirement of the business.
According to recent SEC filings, PSIX's free cash flow trajectory is inconsistent, oscillating between a peak of $30.0 million in 2024Q4 and a deficit of $7.6 million in 2025Q4, reflecting the underlying instability of the company's cash-generating capacity across different fiscal periods.
The inability to maintain positive free cash flow consistently suggests that the company's operational model is susceptible to sudden shifts in demand or cost structures. This volatility makes it difficult to project long-term cash generation, as the business appears to struggle with balancing growth investments against operational cash requirements.
As indicated by the financial data, PSIX maintains a modest capital intensity, with CapEx/Revenue ratios generally remaining below 2.5%, which suggests that the company's integration-focused business model does not require heavy, recurring investments in fixed assets to sustain its current level of operations.
The relatively low capital expenditure requirements imply that the company's primary value-add is engineering and assembly rather than capital-intensive manufacturing. While this preserves cash, it also suggests that the company's competitive moat is not built on proprietary, high-cost infrastructure, which may leave it vulnerable to lower-cost competitors.
Quick answers to the most common questions about buying PSIX stock.
Power Solutions International, Inc. (PSIX) generated $24.1M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Power Solutions International, Inc. (PSIX) generated $14.1M 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.
Power Solutions International, Inc. (PSIX) spent $10.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.