Liquidity is critically constrained, as evidenced by a $814.4K net operating cash outflow in 2025Q3 and a cash position that appears insufficient to cover $4.9 million in quarterly claims.
| Cash from Operations | -2.34M | -2.52M | -847.97K | -3.19M | -2.25M | -468.46K | -373.93K | -252.7K | -140.64K | -115.3K | -41.23K | -77.08K | -60.27K |
| Operating CF Growth % | 160.57% | -196.61% | 73.42% | -41.57% | -380.99% | -25.28% | -47.97% | -79.68% | -21.98% | -179.62% | 46.51% | -27.91% | - |
| Operating CF / Revenue % | -17.81% | -17.9% | -6.18% | -27.12% | -23.2% | -6.42% | -8.4% | -1223.74% | -359.99% | -610.03% | -54.54% | -36.17% | -138.86% |
| Net Income | -7M | -9.07M | -12.01M | 6.47M | -21.1M | -3.7M | -3.5M | 421.75K | -2.58M | -833.55K | -623.93K | -343.58K | -299.62K |
| Depreciation & Amortization | 674.06K | 1.79M | 2.61M | 2.8M | 1.61M | 1.33M | 727.98K | 88.42K | 324.17K | 346.4K | 339.19K | 271.29K | 216.06K |
| Stock-Based Compensation | 3M | 533.63K | 875.11K | 1.25M | 749.13K | 1.47M | 1.05M | 548.25K | 0 | 366.58K | 174.5K | 52K | 48K |
| Deferred Taxes | 0 | 0 | 0 | 0 | 17.65M | -508.7K | 593.79K | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -4.03M | 4.19M | 7.99M | -14.61M | -329.32K | 23.28K | 842.67K | -578.33K | 2.1M | 366.58K | 165.88K | 60.63K | 1.31K |
| Working Capital Changes | 581.68K | 49.7K | -316.67K | 904.89K | -834.74K | 919.55K | -90.27K | -13.62K | 9.91K | 5.28K | 77.63K | -65.42K | -26.02K |
| Cash from Investing | 4.26M | -83.23K | 710.19K | -24.64M | -2.3M | -1.95M | -11.88M | 5K | 0 | 0 | 0 | -7.76K | 0 |
| Capital Expenditures | -11.57K | -24.26K | -22.86K | -953.56K | -690.77K | 0 | -562.33K | -56.19K | 0 | 0 | 0 | -7.76K | 0 |
| Acquisitions | 0 | 0 | 0 | -24.14M | -1.61M | -1.95M | -11.32M | 5K | 0 | 0 | 0 | 0 | 0 |
| Purchase of Investments | 0 | 0 | 0 | 24.64M | 0 | -1.35M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Sale/Maturity of Investments | 0 | 0 | 900K | 450K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Investing | 4.28M | -58.97K | -166.95K | -24.64M | -619.67K | 1.35M | 0 | -2.28K | 0 | 0 | 0 | 0 | 0 |
| Cash from Financing | -778.88K | 1.66M | 966.92K | 25.12M | 8.64M | 2.45M | 12.64M | 190K | 207.5K | 110K | 38K | 46K | 145.03K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -66.65K | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Stock Issued | 5.4M | 3.71M | 3.45M | 17.87M | 10.5M | 1.2M | 2.57M | 190K | 12.5K | 110K | 38K | 46K | 0 |
| Debt Issuance (Net) | -1.44M | -1000K | -1000K | 1000K | -1000K | -188.8K | 1000K | 0 | 195K | 0 | 0 | 0 | 0 |
| Other Financing | -73 | 0 | 591.35K | 603.02K | -452.24K | 2.64M | -216.13K | 256.65K | 12.5K | 0 | 0 | 0 | 145.03K |
| Net Change in Cash | 1.15M | -941.22K | 829.14K | -2.71M | 4.09M | 38K | 390.38K | -57.7K | 66.86K | -5.3K | -3.23K | -38.84K | 84.76K |
| Exchange Rate Effect | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 3.38M | 2.74M | 1.91M | 4.62M | 529.58K | 491.58K | 101.21K | 68.93K | 2.07K | 7.37K | 10.6K | 49.45K | 0 |
| Cash at End | 3.5M | 1.8M | 2.74M | 1.91M | 4.62M | 529.58K | 491.58K | 11.23K | 68.93K | 2.07K | 7.37K | 10.6K | 84.76K |
| Free Cash Flow | -2.37M | -2.6M | -1.04M | -3.99M | -2.94M | -468.46K | -936.26K | -308.9K | -140.64K | -115.3K | -41.23K | -84.84K | -60.27K |
| FCF Growth % | 6.95% | -150.38% | 74% | -35.6% | -528.45% | 49.96% | -203.1% | -119.64% | -21.98% | -179.62% | 51.4% | -40.78% | - |
| FCF Margin % | -18.06% | -18.49% | -7.56% | -33.94% | -30.32% | -6.42% | -21.04% | -1495.86% | -359.99% | -610.03% | -54.54% | -39.81% | -138.86% |
| FCF per Share | -0.41 | -2.58 | -0.88 | -3.65 | -4.37 | -1.2 | -4.88 | -4.92 | -6.3 | -5.23 | -1.9 | -4.11 | -3.14 |
Imminent liquidity and solvency risk
According to recent quarterly filings, Reliance Global Group consistently reports negative operating cash flows, with a net outflow of $814.4K in 2025Q3 alone, underscoring a structural inability to generate positive float from its underwriting activities despite the ongoing acquisition of new insurance agency assets.
The recurring negative operating cash flow suggests that the company's core brokerage operations are failing to cover their own administrative and acquisition-related costs. This persistent cash burn indicates that the float generated from premiums is insufficient to offset the high fixed-cost base, leaving the firm reliant on external capital to sustain operations.
As reported in financial statements, the company faced $4.9 million in claims and loss payments during 2025Q3, a figure that significantly dwarfs the firm's minimal cash reserves and highlights the volatility inherent in managing insurance liabilities without a robust, self-sustaining capital buffer.
The magnitude of these claims payments relative to the company's cash position suggests that any unexpected spike in loss frequency could lead to immediate liquidity stress. Investors should monitor whether these outflows are being managed through reinsurance recoverables or if they are directly depleting the firm's limited working capital.
Based on the provided data, the company's OCF/NI ratio has fluctuated wildly, reaching 0.70 in 2025Q3, which indicates that reported net losses are not being fully reconciled by cash-generative activities, further complicating the assessment of the firm's true underlying economic performance.
The lack of a consistent relationship between net income and operating cash flow suggests that non-cash accruals and integration-related expenses are masking the severity of the cash burn. This disconnect warrants further investigation into whether the company's accounting practices are adequately reflecting the ongoing depletion of its liquid assets.
As indicated by the most recent quarterly data, the company's cash balance has dwindled to just $372,695, a critical level that appears to leave the firm with virtually no margin for error in meeting its ongoing operational and debt-servicing obligations.
The current cash position suggests that the company may be approaching a point where it must choose between further dilutive equity raises or asset divestitures to maintain solvency. The absence of significant investment portfolio activity, such as purchases or sales, further implies that the firm lacks the liquid reserves necessary to pivot its strategy or weather a prolonged period of negative cash flow.
Quick answers to the most common questions about buying RELI stock.
Reliance Global Group, Inc. (RELI) generated $-2.5M in net cash from operating activities in 2024. This reflects the cash generated directly from core business operations.
Reliance Global Group, Inc. (RELI) reported negative free cash flow of $2.6M in 2024, indicating capital requirements exceeded cash from operations.
Reliance Global Group, Inc. (RELI) spent $0.0M on capital expenditures in 2024. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.