Free cash flow remains deeply negative at -$17.1M for 2026Q1, highlighting a persistent burn rate that threatens the company's liquidity buffer.
| Cash from Operations | -42.12M | -38.01M | -42.82M | -48.58M | -70.09M | -57.94M | -31.73M | -31.68M |
| Operating CF Margin % | - | -49.19% | -65.71% | -77.88% | -147.38% | -143.24% | -111.73% | -124.91% |
| Operating CF Growth % | -36.47% | 11.23% | 11.84% | 30.7% | -20.98% | -82.6% | -0.16% | - |
| Net Income | -80.94M | -79M | -61.27M | -78.5M | -87.58M | -73.51M | -41.23M | -33.63M |
| Depreciation & Amortization | 9.98M | 9.53M | 8.6M | 8.34M | 5.57M | 3.61M | 2.39M | 1.91M |
| Stock-Based Compensation | 8.5M | 0 | 16.49M | 15.24M | 13.61M | 8.51M | 1.36M | 717K |
| Deferred Taxes | -356K | 0 | -726K | -1.13M | -1.29M | -1.6M | -763K | -447K |
| Other Non-Cash Items | 12.65M | 20.75M | -3.33M | 6.6M | 873K | -1.08M | 2.69M | 1.39M |
| Working Capital Changes | 7.28M | 10.71M | -2.58M | 872K | -1.27M | 6.12M | 3.82M | -1.62M |
| Change in Receivables | -3.43M | -6.6M | 5.89M | -6.5M | 1.33M | 1.81M | 1.12M | -4.35M |
| Change in Inventory | -1.78M | 46K | 69K | -874K | -200K | -2.34M | 536K | -862K |
| Change in Payables | 12.45M | 16.93M | -7.38M | 6.87M | -1.43M | 8.98M | -185K | 5.6M |
| Cash from Investing | -10.93M | -10.51M | -8.18M | 8.32M | 41.97M | -56.93M | -24.32M | -3.03M |
| Capital Expenditures | -5.59M | -8.62M | -244K | -1.49M | -4.1M | -6.67M | -450K | -1.35M |
| CapEx % of Revenue | 6.89% | 11.16% | 0.37% | 2.4% | 8.61% | 16.49% | 1.58% | 5.34% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 3.99M | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - |
| Other Investing | -3.89M | 0 | -7.93M | -7.73M | -6.28M | -3.99M | -2.75M | -1.68M |
| Cash from Financing | 46.34M | 34.13M | 11.59M | -2.82M | -1.57M | 237.77M | 107.05M | -1.02M |
| Debt Issued (Net) | -1.41M | 32.69M | 11.18M | -3.04M | -2.32M | -4.08M | -1.67M | -2.78M |
| Equity Issued (Net) | 16.25M | 1.44M | 405K | 0 | 0 | 231.31M | 107.64M | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 31.5M | 0 | 0 | 226K | 748K | 10.55M | 1.07M | 1.76M |
| Net Change in Cash | -3.14M | -9.94M | -43.02M | -38.05M | -31.66M | 118.34M | 56.56M | -35.84M |
| Free Cash Flow | -45.43M | -38.59M | -51M | -57.8M | -80.47M | -64.61M | -34.93M | -34.71M |
| FCF Margin % | -55.96% | -49.93% | -78.25% | -92.67% | -169.21% | -159.73% | -123.01% | -136.87% |
| FCF Growth % | 2.59% | 24.34% | 11.77% | 28.17% | -24.55% | -84.95% | -0.64% | - |
| FCF per Share | -0.64 | -0.57 | -0.78 | -0.89 | -1.26 | -1.17 | -0.73 | -0.54 |
| FCF Conversion (FCF/Net Income) | 0.56x | 0.48x | 0.69x | 0.62x | 0.80x | 0.79x | 0.81x | 0.94x |
| Interest Paid | 1.56M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Insufficient liquidity for operations
As reported in recent financial statements, SOPH's operating cash flow consistently trails net income, with the OCF/NI ratio fluctuating between 0.37 and 1.07, suggesting that the company's reported losses are exacerbated by significant non-cash expenses and timing differences in revenue recognition that obscure true cash generation.
The persistent gap between net income and operating cash flow indicates that the company's accounting earnings are not currently supported by cash inflows. Investors should monitor whether this divergence is driven by aggressive revenue recognition or simply the high cost of scaling a platform-based business model.
Based on the provided quarterly data, SOPH's free cash flow remains deeply negative, with a 2026Q1 outflow of $17.1M, highlighting a trajectory that continues to consume capital at a rate that may necessitate further external financing to sustain the current pace of global platform expansion.
The negative FCF margins, which reached -78.6% in the most recent quarter, underscore the company's inability to self-fund its operations. This trend suggests that the platform's growth is currently being subsidized by capital markets rather than operational efficiency.
According to historical filings, SOPH's capital expenditure intensity is generally low, yet it experienced a notable spike to 13.2% of revenue in 2026Q1, which may indicate a shift toward more intensive infrastructure investments required to support the company's multimodal data integration and global diagnostic network.
While the company typically maintains a light asset footprint, the recent increase in CapEx warrants investigation into whether this represents a permanent rise in maintenance requirements or a temporary surge in growth-related infrastructure. Such shifts could further pressure the company's already strained liquidity position.
As evidenced by the quarterly cash flow data, SOPH exhibits significant volatility in working capital changes, ranging from a $5.2M inflow in 2025Q4 to a $3.5M outflow in 2026Q1, suggesting that the timing of client collections and platform usage credits remains highly inconsistent.
This erratic working capital behavior complicates the assessment of underlying operational health, as it obscures whether the company is effectively managing its receivables. Investors should be cautious of relying on short-term cash flow improvements that may be driven by temporary shifts in working capital rather than sustainable growth.
Based on the provided financial data, SOPH consistently utilizes stock-based compensation, averaging over $4M per quarter in recent periods, which effectively masks the true cash cost of talent acquisition and retention required to maintain the company's competitive position in the bioinformatics market.
By relying on equity-based incentives, the company avoids immediate cash outflows but dilutes existing shareholders to fund its operations. This practice suggests that the reported operating cash flow may be artificially bolstered by non-cash accounting adjustments, warranting a closer look at the true economic cost of the firm's human capital.
Quick answers to the most common questions about buying SOPH stock.
SOPHiA GENETICS S.A. (SOPH) generated $-38.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
SOPHiA GENETICS S.A. (SOPH) reported negative free cash flow of $38.6M in 2025, indicating capital requirements exceeded cash from operations.
SOPHiA GENETICS S.A. (SOPH) spent $8.6M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.