Operating cash flow remains consistently negative, evidenced by a 2026Q1 outflow of $299.3K and an OCF/NI ratio of -0.15, highlighting a fundamental failure to generate internal cash.
| Cash from Operations | -745.56K | -631.66K | -843.93K |
| Operating CF Margin % | - | - | - |
| Operating CF Growth % | 68.47% | 25.15% | - |
| Net Income | 8.6M | 8.79M | 4.75M |
| Depreciation & Amortization | 0 | 0 | 0 |
| Stock-Based Compensation | 0 | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 |
| Other Non-Cash Items | -9.34M | -9.42M | -5.32M |
| Working Capital Changes | 0 | 0 | -274.59K |
| Change in Receivables | 0 | 0 | 0 |
| Change in Inventory | 0 | 0 | 0 |
| Change in Payables | 25.87K | 271.98K | 32.61K |
| Cash from Investing | 0 | 0 | -230M |
| Capital Expenditures | 0 | 0 | 0 |
| CapEx % of Revenue | - | - | - |
| Acquisitions | 0 | - | - |
| Investments | 247.27M | 245.12M | 235.32M |
| Other Investing | 0 | 0 | 0 |
| Cash from Financing | 702.26K | 0 | 231.54M |
| Debt Issued (Net) | 0 | - | - |
| Equity Issued (Net) | 0 | 0 | 231.58M |
| Dividends Paid | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 |
| Other Financing | 702.26K | 0 | 0 |
| Net Change in Cash | -43.3K | -631.66K | 697.09K |
| Free Cash Flow | -745.56K | -631.66K | -843.93K |
| FCF Margin % | - | - | - |
| FCF Growth % | 32.64% | 25.15% | - |
| FCF per Share | -0.03 | -0.03 | -0.03 |
| FCF Conversion (FCF/Net Income) | -0.09x | -0.07x | -0.18x |
| Interest Paid | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 |
Inability to fund operations
As reported in financial statements, SIMA consistently records positive net income despite negative operating cash flow, with the OCF/NI ratio reaching -0.15 in 2026Q1, highlighting a fundamental disconnect between accounting profits and the actual cash depletion occurring within this shell vehicle.
The persistent divergence between reported net income and operating cash flow suggests that non-cash accounting adjustments, likely related to warrant revaluations, are obscuring the underlying cash burn. Investors should interpret this as a signal that the company's reported profitability is purely technical and does not reflect the economic reality of its capital-depleting search phase.
Based on SIMA's reported figures, the company has maintained a consistent negative free cash flow trajectory, with quarterly outflows reaching $299.3K in 2026Q1, indicating that the entity is consuming its limited capital base without generating any offsetting operational value or revenue streams.
The lack of positive free cash flow is characteristic of a shell company, yet the magnitude of these outflows relative to the reported cash balance warrants concern regarding the company's runway. This trend suggests that the entity is effectively liquidating its own working capital to sustain administrative overhead.
According to recent SEC filings, SIMA's working capital movements have been erratic, shifting from a $48.6K inflow in 2025Q2 to a $48.6K outflow in 2025Q4, which reflects the unpredictable nature of managing administrative liabilities within a non-operational shell company structure.
These fluctuations in working capital suggest that the company is managing its payables to preserve liquidity, likely in response to the tightening of its available cash. Such volatility may indicate that the company is struggling to balance essential compliance costs against its dwindling cash reserves.
As indicated by the provided data, the company's cash flow statement obscures the true economic cost of its operations by masking the impact of non-cash warrant liability adjustments, which create a misleading appearance of profitability while the actual cash position remains critically low.
The reliance on non-cash items to inflate net income serves to distract from the reality that the company is a cash-burning entity with no operational revenue. Analysts should focus exclusively on the operating cash flow line to gauge the true sustainability of the current corporate structure.
Quick answers to the most common questions about buying SIMA stock.
SIM Acquisition Corp. I (SIMA) generated $-0.6M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
SIM Acquisition Corp. I (SIMA) reported negative free cash flow of $0.6M in 2025, indicating capital requirements exceeded cash from operations.
SIM Acquisition Corp. I (SIMA) 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.