Operational cash flow remains disconnected from GAAP earnings, with a reported $590.2 million in operating cash flow for 2026Q1 contrasting sharply against a -$202.2 million FFO result.
| 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 |
|---|
| Cash from Operations | 422.91M | 455.9M | -51.22M | 33.07M | 3.35B | -77.51M | -7.03M | -50.45M | -21.45M | -20.14M | -10.23M | 27.59M | -257.07M | -335K | 2.63B |
| Operating CF Growth % | -17334.21% | 990.08% | -254.89% | -99.01% | 4422% | -1002.22% | 86.06% | -135.13% | -6.52% | -96.95% | -137.06% | 110.73% | -76638.81% | -100.01% | - |
| Operating CF / Revenue % | 572.98% | 91.28% | -5.65% | 7.75% | 829.1% | -11.1% | -1.11% | -12.91% | -6.99% | -7.19% | -5.78% | 16.36% | -343.49% | -2.03% | 27.96% |
| Net Income | -512.15M | -221.06M | -418.49M | 341M | 184.7M | 148.65M | 43.48M | 72.31M | 59.04M | 43.23M | 51.33M | 41.04M | 29.34M | 796K | 20.27B |
| Depreciation & Amortization | 20.31M | 2.81M | 19.77M | 20.23M | 25.07M | 16.01M | 10.83M | 6.25M | 5.06M | 4.64M | 5.66M | 10.5M | -6.56B | 88.46M | -893.79M |
| Stock-Based Compensation | 4.02M | 5.81M | 0 | 0 | 0 | 0 | 5.3M | 1.48M | 447K | 290K | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 997.7M | 668.34M | 482.28M | -195.18M | 3.17B | -224.92M | -154.95M | -133.71M | -60.91M | -88.86M | -39.88M | 560K | -255.5M | -12.62M | -17.96B |
| Working Capital Changes | -96.89M | 0 | -134.79M | -132.97M | -28.29M | -17.25M | 71.9M | -15.17M | -12.58M | 20.28M | -25.59M | -5.68M | -30.91M | 11.49M | 1.22B |
| Cash from Investing | 2.47B | 1.64B | 1.86B | 1.04B | -4.55B | -1.68B | 16.48M | -1.21B | -419.01M | 136.9M | 409.68M | -187.35M | -880.85M | -187.5M | -8.86B |
| Acquisitions (Net) | 0 | 16.02M | -44.37M | 38.71M | 123.71M | -11.54M | 0 | -5M | 0 | 0 | 34.93M | 0 | -49.54B | -1.61M | 0 |
| Purchase of Investments | -2.98M | 0 | -34.65M | -37.79M | -139.21M | -59.71M | 0 | -36.37M | -74.88M | -908.19M | -1.59B | 175.83M | -47.03B | -406.26B | 0 |
| Sale of Investments | 7.01M | 776K | 80.83M | 93.63M | 250.25M | 2.08B | 34.69M | 48.94M | 52.9M | 1.17B | 1.87B | 280.56M | 113.7B | 0 | 74.22B |
| Other Investing | 2.47B | 1.63B | 1.86B | 942.95M | -4.78B | -3.68B | -18.2M | -1.22B | -555K | -1.1M | -2.32M | -477K | -880.85M | -185.88M | -83.07B |
| Cash from Financing | -2.95B | -2.04B | -1.88B | -1.09B | 1.17B | 1.88B | 63.05M | 1.3B | 444.48M | -106.5M | -381.46M | 144.59M | 976.59M | 357.2M | 18.96B |
| Dividends Paid | -72.9M | -113.32M | -206.06M | -215.09M | -187.83M | -111.92M | -56.88M | -63.33M | -51.32M | -48.32M | -46.87M | -35.61M | -17.32M | -10.41B | -15.42M |
| Common Dividends | -22.83M | 0 | 0 | 0 | 0 | 0 | -56.88M | -63.33M | -51.32M | -48.26M | -46.87M | -35.61M | -17.32M | -10.41B | -15.42M |
| Debt Issuance (Net) | -2M | 0 | -1000K | -1000K | 1000K | 1000K | 1000K | 1000K | 1000K | -1000K | -1000K | 1000K | 1000K | 1000K | 1000K |
| Share Repurchases | -50.19M | -67.6M | -82.25M | -18.11M | -36.97M | -98.24M | -10.52M | 2K | -103K | 0 | -130K | 0 | 0 | -12.08M | -14.18B |
| Other Financing | -1.48B | -1.92B | -41.89M | 35.27M | -29.13M | -12.65M | -13.19M | -29.41M | -8.92M | -16.95M | -1K | -121K | -8.46M | 10.75B | 18.95B |
| Net Change in Cash | -6.82M | 66.76M | 5.77M | -50.37M | -62.13M | 94.43M | 67.02M | 36.33M | 8.24M | -4.67M | 38.19M | -414K | -231.21M | -18.77B | 12.73B |
| Exchange Rate Effect | 50.31M | 0 | 75.72M | -35.86M | -35.83M | -28.42M | -5.49M | 3.32M | 0 | 0 | -1.72M | 0 | 0 | 0 | 0 |
| Cash at Beginning | 249.53M | 182.77M | 168.59M | 218.97M | 281.1M | 186.67M | 119.66M | 83.33M | 75.09M | 79.76M | 41.57M | 56.74M | 287.94M | 19.06B | 6.33B |
| Cash at End | 241.2M | 249.53M | 174.36M | 168.59M | 218.97M | 281.1M | 186.67M | 119.66M | 83.33M | 75.09M | 79.76M | 56.33M | 56.74M | 287.94M | 19.06B |
| Free Cash Flow | 422.91M | 455.9M | -51.22M | 33.07M | 3.35B | -77.51M | -7.03M | -51.34M | -21.82M | -20.14M | -10.23M | 27.59M | -257.07M | -335K | 2.63B |
| FCF Growth % | 1066.57% | 990.08% | -254.89% | -99.01% | 4422% | -1002.22% | 86.3% | -135.33% | -8.32% | -96.95% | -137.06% | 110.73% | -76638.81% | -100.01% | - |
| FCF / Revenue % | 572.98% | 91.28% | -5.65% | 7.75% | 829.1% | -11.1% | -1.11% | -13.14% | -7.11% | -7.19% | -5.78% | 16.36% | -343.49% | -2.03% | 27.96% |
Portfolio Credit Quality Erosion
According to recent financial disclosures, the relationship between FFO and GAAP operating cash flow has become increasingly erratic, with FFO reaching -$202.2 million in 2026Q1 while operating cash flow simultaneously reported a positive $590.2 million, suggesting significant non-cash adjustments are distorting the company's true operational performance.
The massive spread between GAAP operating cash flow and FFO indicates that traditional cash flow metrics are heavily influenced by non-operating items, likely related to securitization activities or fair value mark-to-market adjustments. Investors should monitor this divergence, as it suggests that reported operating cash flow may not represent sustainable liquidity available for debt service or dividend payments.
Based on the company's reported figures, the absence of consistent positive AFFO data throughout most of the last ten quarters, coupled with a dividend payout of -$3.6 million in 2026Q1, indicates that the company's ability to fund distributions from recurring cash flow is currently severely compromised.
The lack of reliable AFFO data suggests that the company may be struggling to generate sufficient cash after accounting for necessary recurring capital expenditures and leasing costs. Without a clear path to positive AFFO, the current dividend policy appears to rely on capital recycling or balance sheet liquidity rather than operational earnings, which warrants significant caution.
As reported in financial statements, the extreme volatility in GAAP net income, which swung from a $79.5 million profit in 2025Q1 to a -$203.7 million loss in 2026Q1, highlights how fair value accounting for the loan portfolio obscures the underlying cash-generating capacity of the business.
The frequent and large-scale net losses suggest that the company is absorbing significant impairment charges or fair value write-downs on its bridge and construction loan portfolios. This accounting noise makes it difficult to assess the true economic health of the firm, as GAAP earnings are clearly failing to capture the actual cash flow dynamics of the underlying assets.
Based on the provided financial data, the consolidation of securitization trusts appears to be inflating the balance sheet, as evidenced by the massive $205.1 million in capital expenditures reported in 2023Q4, which likely represents non-recurring asset acquisitions rather than standard property maintenance or recurring capital improvements.
The lumpy nature of these capital expenditures suggests that the company's cash flow statement is heavily impacted by episodic acquisition activity rather than steady-state operations. Analysts should be wary of treating these figures as representative of ongoing maintenance requirements, as they likely mask the true cash obligations associated with the company's complex securitization structures.
Quick answers to the most common questions about buying RCB stock.
Ready Capital Corporation (RCB) generated $455.9M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Ready Capital Corporation (RCB) generated $455.9M 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.
Ready Capital Corporation (RCB) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Ready Capital Corporation (RCB) returned $113.3M to shareholders via cash dividends and spent $67.6M on share repurchases. This shows the company's commitment to returning capital to its equity investors.