Free cash flow remains deeply negative, highlighted by a peak quarterly outflow of $90.6M in 2025Q2, which underscores the company's ongoing struggle to achieve self-sustaining operations.
| Cash from Operations | -139.92M | -177.33M | -17.35M | 1.23M | -31.66M | -37.36M | -12.49M | 5.67M |
| Operating CF Margin % | - | -52.87% | -5.7% | 0.5% | -19.72% | -27.15% | -21.74% | 29.8% |
| Operating CF Growth % | -1197.68% | -922.2% | -1509.26% | 103.89% | 15.26% | -199.15% | -320.44% | - |
| Net Income | -300.11M | -226.55M | -114.31M | -27.26M | -130.62M | -61.54M | -15.71M | -3.36M |
| Depreciation & Amortization | 40.84M | 32.64M | 11.69M | 10.72M | 11.29M | 10.58M | 3.17M | 66K |
| Stock-Based Compensation | 58.99M | 58.99M | 11.33M | 8.66M | 10.79M | 27.11M | 0 | 2.29M |
| Deferred Taxes | -24.49M | -24.9M | -1.8M | -925K | -8.24M | -14.03M | -3.66M | -4.62M |
| Other Non-Cash Items | 97.06M | 34.52M | 53.79M | 3.24M | 81.06M | 10.03M | 2.09M | 4.31M |
| Working Capital Changes | -12.21M | -52.02M | 21.96M | 6.79M | 4.06M | -9.52M | 1.62M | 2.35M |
| Change in Receivables | 26.21M | -2.32M | 7.53M | -11M | -5.83M | -6.82M | -2.6M | 2.33M |
| Change in Inventory | -20.78M | -6.65M | -734K | -44K | -978K | -195K | -97K | 0 |
| Change in Payables | 7.16M | -11.66M | 4.37M | -3.28M | -1K | 10.38M | 0 | 0 |
| Cash from Investing | -177.05M | -175.07M | -7.2M | -8.33M | -37.38M | -38.54M | -85.57M | -191K |
| Capital Expenditures | -24.31M | -13.48M | -6.4M | -5.62M | -3.63M | -2.86M | -1.17M | -191K |
| CapEx % of Revenue | 6.55% | 4.02% | 2.1% | 2.31% | 2.26% | 2.08% | 2.03% | 1% |
| Acquisitions | -151.79M | -151.79M | -881K | 0 | -33.23M | -40.56M | -79.53M | 0 |
| Investments | - | - | - | - | - | - | - | - |
| Other Investing | -953K | -9.8M | 81K | -2.71M | -526K | 4.87M | -4.87M | 0 |
| Cash from Financing | 407.38M | 397.5M | 43.72M | 9.06M | 76.56M | 74.21M | 124.07M | 818K |
| Debt Issued (Net) | -22.87M | -51.49M | 36.63M | 9.62M | -1.02M | 224K | 77.99M | 818K |
| Equity Issued (Net) | 433.64M | 452.76M | 2.67M | 1.24M | 84.21M | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -61.49M | -63.86M | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -3.39M | -3.77M | 4.42M | -1.8M | -6.63M | 73.99M | 46.08M | 0 |
| Net Change in Cash | 90.99M | 46.11M | 18.79M | 1.96M | 7.79M | -1.55M | 22.08M | 6.28M |
| Free Cash Flow | -157.31M | -190.81M | -23.75M | -7.1M | -35.81M | -40.22M | -13.65M | 5.47M |
| FCF Margin % | -42.41% | -56.89% | -7.81% | -2.91% | -22.3% | -29.23% | -23.77% | 28.79% |
| FCF Growth % | -108.27% | -703.51% | -234.65% | 80.18% | 10.96% | -194.51% | -349.45% | - |
| FCF per Share | -0.81 | -1.60 | -0.36 | -0.11 | -0.56 | -0.64 | -0.23 | 0.09 |
| FCF Conversion (FCF/Net Income) | 0.52x | 0.78x | 0.15x | -0.05x | 0.24x | 0.61x | 0.80x | -1.69x |
| Interest Paid | 5.64M | 0 | 0 | 9.08M | 6.87M | 0 | 0 | 0 |
| Taxes Paid | 143K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Persistent Operating Cash Burn
According to the provided quarterly data, the disconnect between net income and operating cash flow is profound, with the OCF/NI ratio reaching an extreme 15.29 in 2025Q1, suggesting that reported losses are being exacerbated by non-cash charges and significant working capital volatility across the firm's operations.
The persistent inability to convert earnings into positive operating cash flow indicates that the company's accounting losses are not merely non-cash accounting artifacts but reflect genuine operational cash outflows. Investors should monitor whether this divergence is a temporary byproduct of scaling complex aerospace projects or a structural failure to achieve cash-generative operations.
As reported in financial statements, Redwire's free cash flow trajectory is characterized by persistent deficits, with a peak quarterly outflow of $90.6M in 2025Q2, highlighting the company's ongoing struggle to achieve self-sustaining operations despite its role as a critical supplier in the aerospace and defense sector.
The consistent negative FCF margins suggest that the company is currently reliant on external capital to fund its growth and operational requirements. This trend warrants further investigation into whether the firm can reach a cash-flow-positive inflection point before its current liquidity reserves are exhausted by ongoing operational burn.
Based on Redwire's reported figures, working capital movements have been highly erratic, swinging from a $23.1M source of cash in 2024Q4 to a $33.9M use of cash in 2025Q1, which suggests significant instability in the timing of customer collections and inventory management for long-term aerospace contracts.
This volatility implies that the company's cash position is highly sensitive to the milestone-based payment structures inherent in government contracting. Such fluctuations make it difficult to forecast liquidity needs and suggest that the firm may face periodic cash crunches if project milestones are delayed or if inventory build-up accelerates.
As evidenced by the $151.8M acquisition expenditure in 2025Q2, Redwire has aggressively deployed capital toward inorganic expansion, a strategy that appears to have significantly strained the company's cash reserves while failing to deliver immediate improvements in operating cash flow or overall profitability for the consolidated entity.
The heavy reliance on acquisitions to drive growth suggests that management is prioritizing market share and technical capability over immediate cash flow generation. Investors should monitor whether this strategy will eventually yield the necessary economies of scale or if it will continue to necessitate dilutive financing to support the business.
Quick answers to the most common questions about buying RDW stock.
Redwire Corporation (RDW) generated $-177.3M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Redwire Corporation (RDW) reported negative free cash flow of $190.8M in 2025, indicating capital requirements exceeded cash from operations.
Redwire Corporation (RDW) spent $13.5M 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, Redwire Corporation (RDW) spent $63.9M on share repurchases. This shows the company's commitment to returning capital to its equity investors.