Free cash flow remains deeply negative, with a -25.3% margin in 2024Q3, indicating that the firm cannot fund its operations through internal cash generation.
| Cash from Operations | -6.26M | -7.43M | -28.65M | -38.24M | -15.79M | -399.1K | -7.61K | -6.31K | 0 |
| Operating CF Margin % | - | -41.94% | -95.67% | -127.12% | -92.85% | -3.71% | - | - | - |
| Operating CF Growth % | 100.38% | 74.08% | 25.08% | -142.24% | -3855.43% | -5141.7% | -20.7% | - | - |
| Net Income | -15.31M | -19.04M | -33.14M | -31.99M | -17.55M | -295.98K | -14.77K | -424 | -13.8K |
| Depreciation & Amortization | 2.35M | 2.62M | 2.18M | 1.62M | 1.29M | 1.09M | 0 | 0 | 0 |
| Stock-Based Compensation | 946.79K | 1.16M | 1.08M | 549.51K | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -1.61K | -1.52K | -66K | -1.38M | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 1.69M | 2.38M | 2.25M | 2.24M | 939.65K | -1.18M | 21.93K | -5.46K | 3.8K |
| Working Capital Changes | 4.07M | 5.45M | -950K | -9.28M | -469.26K | -12.43K | 7.16K | -424 | 10K |
| Change in Receivables | -431.95K | -301.11K | 39K | -3.3M | 4.09K | -86.74K | 0 | 0 | 0 |
| Change in Inventory | 321.11M | 3.06M | -1.58M | -3.84M | -1.25M | 188.65K | 0 | 0 | 0 |
| Change in Payables | 2.24M | 1.24M | -88K | -741.87K | -152.51K | -4.35K | -5.88K | -5.88K | 0 |
| Cash from Investing | 31.61K | -88.71K | -3.63M | -1.37M | -2.5M | -108M | 0 | 0 | 0 |
| Capital Expenditures | 32.02K | -99.71K | -3.76M | -1.44M | -1.05M | -1.32M | 0 | 0 | 0 |
| CapEx % of Revenue | 0.17% | 0.56% | 12.55% | 4.77% | 6.16% | 12.3% | - | - | - |
| Acquisitions | -408 | 0 | 124.1K | 66.75K | -1.51M | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 11K | -97 | 0 | 56.19K | 1.32M | 0 | 0 | 0 |
| Cash from Financing | 6.1M | 7.26M | 30.69M | 41.23M | 18.82M | 108.75M | 7.61K | 6.31K | 0 |
| Debt Issued (Net) | 4.87M | 5.94M | -1.05M | 5.71M | 10.08M | 0 | 0 | 0 | 0 |
| Equity Issued (Net) | 1.17M | 1.62M | 32.31M | -99.95K | 0 | 108.86M | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -31 | 0 | 0 | -99.95K | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 59.81K | -297.19K | -572.06K | 35.63M | 8.74M | -106.5K | 7.61K | 6.31K | 0 |
| Net Change in Cash | -43.48K | -254.05K | -1.59M | 1.63M | 534.58K | 57.05K | 0 | 0 | 0 |
| Free Cash Flow | -6.23M | -7.53M | -32.41M | -39.68M | -16.83M | -1.72M | -7.61K | -6.31K | 0 |
| FCF Margin % | -32.15% | -42.5% | -108.22% | -131.89% | -99.01% | -16% | - | - | - |
| FCF Growth % | 43.91% | 76.78% | 18.32% | -135.7% | -876.58% | -22538.07% | -20.7% | - | - |
| FCF per Share | -1.90 | -3.40 | -15.18 | -29.56 | -13.44 | -0.50 | -0.00 | -0.00 | - |
| FCF Conversion (FCF/Net Income) | 0.41x | 0.39x | 0.86x | 1.20x | 0.90x | 1.35x | 0.52x | 14.88x | - |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Imminent liquidity and insolvency
According to historical financial statements, Stryve Foods consistently reports net losses that far exceed operating cash outflows, with the OCF/NI ratio fluctuating wildly between 0.20 and 1.04, suggesting that accruals and non-cash charges are masking the true severity of the company's ongoing cash burn.
The persistent gap between net income and operating cash flow indicates that the company's accounting losses are not merely paper-based but are reflective of a business model struggling to generate positive cash from its core operations. Investors should monitor this divergence, as the inability to align cash generation with operational activity suggests that the company's current cost structure is fundamentally incompatible with its revenue scale.
As reported in recent quarterly filings, the company's free cash flow remains consistently negative, with margins reaching as low as -88.2% in 2022Q3, highlighting a structural inability to fund operations through internal cash generation despite periodic attempts to rationalize the company's cost base.
The trajectory of free cash flow suggests that the company is trapped in a cycle of capital consumption where even minimal capital expenditures cannot be covered by operating cash. This trend implies that the business is reliant on external financing or asset liquidation to sustain its existence, which warrants significant caution regarding long-term viability.
Based on the provided cash flow data, working capital changes have been highly erratic, swinging from a $6.6 million inflow in 2022Q2 to a $873.8K outflow in 2024Q2, which suggests that management is relying on aggressive inventory and payables management to temporarily stabilize cash levels.
The reliance on working capital fluctuations to manage cash flow suggests that the company lacks a stable, self-funding operational cycle. Such volatility often indicates that the company is pulling levers like delaying payments or liquidating inventory to survive, which may not be sustainable over the long term.
As indicated by the cash flow statements, the company's reliance on stock-based compensation, which reached $432.4K in 2023Q2, serves as a critical non-cash adjustment that obscures the true extent of the cash burn required to maintain the proprietary air-drying manufacturing facility in Madill.
The cash flow statement obscures the reality that the company is effectively subsidizing its high-fixed-cost manufacturing footprint through shareholder dilution. This suggests that the 'moat' provided by the facility is being paid for by investors rather than through the operational efficiency of the business itself.
Quick answers to the most common questions about buying SNAX stock.
Stryve Foods, Inc. (SNAX) generated $-7.4M in net cash from operating activities in 2023. This reflects the cash generated directly from core business operations.
Stryve Foods, Inc. (SNAX) reported negative free cash flow of $7.5M in 2023, indicating capital requirements exceeded cash from operations.
Stryve Foods, Inc. (SNAX) spent $0.1M on capital expenditures in 2023. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.