Operational cash flow remains structurally challenged, highlighted by a 2025Q4 FCF margin of -65.5% and an OCF/NI ratio of -0.54, indicating a reliance on non-cash accounting gains to support liquidity.
| Cash from Operations | -750.35M | -839.45M | -765.27M | -843.39M | -677.73M | -552.14M | -761.83M |
| Operating CF Margin % | -9084.13% | -2889.38% | -2339.34% | -2674.89% | -1225.86% | -2320.39% | -1125.49% |
| Operating CF Growth % | 10.61% | -9.69% | 9.26% | -24.44% | -22.75% | 27.52% | - |
| Net Income | -397.91M | -356.73M | 4.23B | -1.12B | -924.12M | -900.23M | -519.39M |
| Depreciation & Amortization | 3.35M | 14.07M | 22.04M | 18.86M | 5.93M | 0 | 0 |
| Stock-Based Compensation | 346.17M | 289.03M | 199.63M | 217.78M | 564.96M | 84.96M | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | -80.16M | -708.77M | -5.24B | 29.09M | -340.22M | 191.2M | -257.73M |
| Working Capital Changes | -621.8M | -77.05M | 19.04M | 6.34M | 15.72M | 71.94M | 15.3M |
| Change in Receivables | -770.24M | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 3.42M | -18.17M | 22.68M | 4.36M | 15.4M | 3.75M | 6.6M |
| Cash from Investing | -682.33M | -1.77B | 5.2B | -44.27M | 303.3M | -31.7M | 1.69B |
| Capital Expenditures | -8.21M | -4.6M | -1.38M | -12.69M | -17.44M | -5.81M | -4.92M |
| CapEx % of Revenue | 99.38% | 15.83% | 4.22% | 40.25% | 31.54% | 24.4% | 7.26% |
| Acquisitions | 0 | 229.36M | -36.98M | 107.86M | -39K | 0 | 1.77B |
| Investments | - | - | - | - | - | - | - |
| Other Investing | -636.64M | 110.47M | 5.24B | -139.43M | 600K | -25.9M | -20.05M |
| Cash from Financing | 134.24M | -1.22B | 419.36M | 499.46M | 306.79M | 456.26M | 217.16M |
| Debt Issued (Net) | 0 | -52.75M | -30.7M | 129.75M | 14.81M | 0 | -32.06M |
| Equity Issued (Net) | 143.61M | -1.18B | 438.56M | 379.71M | 0 | 455.76M | 165.75M |
| Dividends Paid | 0 | 0 | -6M | 0 | 0 | 0 | 0 |
| Share Repurchases | -318.1M | -1.29B | 0 | 0 | 0 | 0 | -1.19B |
| Other Financing | -9.37M | 13.41M | 17.51M | -10M | 291.98M | 508K | 83.48M |
| Net Change in Cash | -1.29B | -3.82B | 4.86B | -381.92M | -67.64M | -127.58M | 1.34B |
| Free Cash Flow | -758.56M | -844.05M | -766.65M | -856.08M | -695.16M | -557.94M | -766.75M |
| FCF Margin % | -9183.51% | -2905.21% | -2343.56% | -2715.14% | -1257.4% | -2344.8% | -1132.75% |
| FCF Growth % | 10.13% | -10.1% | 10.45% | -23.15% | -24.59% | 27.23% | - |
| FCF per Share | -1.09 | -1.16 | -0.92 | -1.20 | -1.04 | -0.81 | -1.12 |
| FCF Conversion (FCF/Net Income) | 2.50x | 4.88x | -0.18x | 0.84x | 0.80x | 0.68x | -0.63x |
| Interest Paid | 0 | 5.96M | 10.27M | 5.3M | 5.54M | 2.02M | 0 |
| Taxes Paid | 0 | 61.91M | 12.35M | 5.13M | 916K | 4.08M | 0 |
Binary Clinical Trial Outcomes
As reported in financial statements, Roivant's operating cash flow consistently fails to track with net income, evidenced by a 2025Q4 OCF/NI ratio of -0.54, which highlights the structural reliance on non-cash accounting gains rather than core operational cash generation to support the company's ongoing clinical development.
The persistent divergence between net income and operating cash flow suggests that reported earnings are frequently inflated by non-operating divestiture events or accounting adjustments. Investors should monitor this gap, as it indicates that the company's underlying business model remains fundamentally cash-consumptive despite occasional headline-grabbing profitability.
Based on recent quarterly filings, Roivant's free cash flow remains deeply negative, with a 2025Q4 FCF margin of -65.5%, illustrating that the firm's current commercial activities are insufficient to cover the substantial R&D and operational expenditures required to sustain its decentralized hub-and-spoke pipeline model.
The trajectory of free cash flow suggests a business that is structurally dependent on external capital or sporadic asset sales to fund its operations. This pattern warrants further investigation into whether the company can achieve self-sustaining cash flow before its current liquidity buffer is exhausted by clinical trial costs.
According to the cash flow statement, working capital fluctuations are significant, with a notable $601.1 million outflow in 2025Q4, suggesting that the timing of milestone payments and operational payables creates lumpy cash requirements that complicate the company's ability to maintain a predictable liquidity profile.
These erratic working capital swings appear to be a byproduct of the company's complex, multi-subsidiary structure and its reliance on milestone-driven revenue. Analysts should interpret these movements as a sign of operational complexity rather than a reflection of standard inventory or collection efficiency.
As disclosed in recent financial reports, Roivant has prioritized significant capital deployment toward share repurchases, including $111.2 million in 2025Q4, even while the core business continues to burn cash, which may indicate management's attempt to signal confidence in the company's intrinsic value to the market.
This deployment strategy appears aggressive given the company's negative operating cash flow and the high-risk nature of its clinical pipeline. Investors should monitor whether this capital return policy is sustainable or if it may eventually conflict with the need to fund future R&D or potential asset acquisitions.
Quick answers to the most common questions about buying ROIV stock.
Roivant Sciences Ltd. (ROIV) generated $-750.3M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Roivant Sciences Ltd. (ROIV) reported negative free cash flow of $758.6M in 2025, indicating capital requirements exceeded cash from operations.
Roivant Sciences Ltd. (ROIV) spent $8.2M 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, Roivant Sciences Ltd. (ROIV) spent $318.1M on share repurchases. This shows the company's commitment to returning capital to its equity investors.