Cash generation is highly erratic, as demonstrated by the shift from a $1.6M free cash flow in 2023Q3 to a negative $666K in 2024Q4, largely driven by working capital swings.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 |
|---|
| Cash from Operations | -345K | -7.8M | -1.29M | -2.37M | -4.65M | -9.41M | -6.51M | -7.66M | -6.42M | -1.98M | -11.04M | -3.67M | 6.27M | -567K | 24K | -189K | -1.21M | -1.66M | -5.26M | -4.89M | -3.05M | -2.95M | -609K | -2.15M |
| Operating CF Margin % | - | -27.98% | -4.68% | -8.91% | -26.37% | -76.73% | -55.34% | -46.49% | -29.32% | -5.96% | -54.33% | -12.45% | 21.11% | -6.43% | 0.27% | -2.39% | -16.4% | -17.85% | -25.49% | -37.73% | -34.64% | -34.91% | -8.29% | -29.71% |
| Operating CF Growth % | -110.49% | -503.17% | 45.33% | 49.14% | 50.56% | -44.5% | 14.96% | -19.39% | -223.55% | 82.05% | -200.63% | -158.59% | 1206% | -2462.5% | 112.7% | 84.41% | 27.03% | 68.45% | -7.65% | -60.49% | -3.15% | -385.06% | 71.7% | - |
| Net Income | 3.73M | 3.75M | 661K | -4.02M | -7.46M | -10.14M | -7.87M | -11.51M | -15.74M | -6.66M | -13.99M | 1.02M | 6.2M | 6.47M | 4.82M | 1.02M | -1.97M | -5.08M | -12.09M | -11.31M | 5.44M | -3.95M | -1.87M | -2M |
| Depreciation & Amortization | 1.91M | 3.83M | 3.39M | 2.98M | 2.69M | 2.23M | 2.72M | 3.13M | 3.69M | 3.91M | 3M | 1.67M | 1.61M | 48K | 31K | 28K | 53K | 708K | 651K | 225K | 391K | 827K | 347K | 397K |
| Stock-Based Compensation | 625K | 0 | 805K | 243K | 138K | 31K | 211K | 144K | 256K | 631K | 924K | 1.53M | 173K | 32K | 7K | 10K | 18K | 522K | 907K | 1.07M | 361K | 55K | 9K | 0 |
| Deferred Taxes | 0 | -2.01M | -418K | 0 | -299K | 2K | 384K | -125K | 3.91M | -389K | 738K | 187K | 1.85M | -5.08M | -1.03M | -3.16M | -461K | -596K | -556K | -1.01M | -10.47M | -55K | -9K | 0 |
| Other Non-Cash Items | -8.05M | -975K | -1.44M | -60K | 299K | -2K | -385K | 125K | -3.91M | 385K | -11.25M | -187K | -1.83M | 5.24M | 9K | 992K | 38K | 1.64M | 5.11M | 4.87M | 361K | 52K | 135K | 131K |
| Working Capital Changes | 2.15M | -12.39M | -4.29M | -1.51M | -26K | -1.53M | -1.58M | 573K | 5.38M | 145K | 9.53M | -7.89M | -1.75M | -7.28M | -2.6M | 924K | 1.1M | 1.15M | 709K | 1.27M | 874K | 118K | 781K | -685K |
| Change in Receivables | 103K | -11.43M | -3.06M | -4.13M | 209K | 1.37M | 620K | 413K | -1M | -2.15M | 5.8M | -3.67M | -8.53M | -1.5M | -55K | -507K | 105K | -23K | 2.98M | 883K | -1.44M | 448K | -398K | 0 |
| Change in Inventory | 131K | 312K | -148K | 728K | 150K | -1.16M | 242K | 523K | 1.71M | 616K | 372K | -1.99M | -907K | -84K | -11K | -72K | -132K | 1.01M | -741K | 32K | 212K | -40K | 814K | -92K |
| Change in Payables | 0 | 273K | -1M | 616K | -128K | -1.47M | -681K | 53K | -2.07M | 1.88M | -79K | 721K | 1.2M | -142K | -659K | 1.47M | -2K | 163K | 216K | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -2.16M | -5.44M | -3.35M | -3.37M | -2.19M | -1.64M | -1.57M | -1.18M | -1.52M | -1.48M | -4.66M | -1.6M | -6.69M | -9.07M | -3K | 116K | 639K | 1.68M | 4.14M | 4.77M | 476K | -635K | -531K | -1.54M |
| Capital Expenditures | -987K | -3.08M | -1.6M | -1.71M | -2.14M | -1.68M | -1.4M | -1.17M | -1.48M | -1.5M | -2.13M | -2.64M | -544K | -103K | -28K | -23K | -4K | -100K | -73K | -625K | -93K | -315K | -1.09M | -87K |
| CapEx % of Revenue | 3.56% | 11.03% | 5.78% | 6.45% | 12.11% | 13.72% | 11.91% | 7.13% | 6.75% | 4.49% | 10.47% | 8.95% | 1.83% | 1.17% | 0.31% | 0.29% | 0.05% | 1.07% | 0.35% | 4.82% | 1.06% | 3.72% | 14.81% | 1.2% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 4K | -3.51M | -988K | -1.01M | -8.79M | 0 | 0 | 0 | 0 | -155K | -153K | -52K | 0 | 0 | 2K |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -1.18M | 0 | -1.75M | -1.65M | -52K | 44K | -169K | -1K | -42K | 14K | 980K | 2.03M | -5.14M | -176K | 25K | 139K | 594K | 1.75M | 155K | -2.09M | -29K | -23K | 103K | -698K |
| Cash from Financing | -49K | 19.59M | 2.6M | 6.8M | 6.74M | 11.7M | 10.83M | 7.24M | 8.64M | 2.79M | -4.83M | 22.73M | 2.54M | 12.08M | -11K | 91K | 114K | -171K | -174K | -214K | 2.72M | 2.99M | 2.31M | 1.04M |
| Debt Issued (Net) | 0 | 2.99M | 1.49M | 2.15M | 900K | 5.68M | 7.52M | 5.01M | 8.68M | 738K | 0 | 0 | -1K | -101K | -11K | 91K | -86K | -88K | -184K | -266K | 2.81M | 28K | -1.3M | 1.04M |
| Equity Issued (Net) | -49K | 16.61M | 2.7M | 5.05M | 5.85M | 7.6M | 4.24M | 58K | 0 | 0 | -2.66M | 23.39M | 2.54M | 12.04M | 0 | 0 | 200K | 3K | 2K | 52K | -91K | 2.96M | 3.6M | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -49K | 0 | 0 | 0 | 0 | 0 | -58K | 0 | 0 | 0 | -2.66M | -3.74M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -30K | -183K | 0 | 0 | 0 |
| Other Financing | 0 | 0 | -1.58M | -397K | -4K | -1.58M | -939K | 2.18M | -43K | 2.06M | -2.17M | -656K | 0 | 140K | 0 | 0 | 0 | -86K | 8K | 0 | 0 | 0 | 0 | 0 |
| Net Change in Cash | 0 | 6.35M | -2.04M | 1.07M | -99K | 652K | 2.74M | -1.59M | 701K | -671K | -20.54M | 17.46M | 2.12M | 2.45M | 10K | 18K | -459K | -156K | -1.3M | -330K | 150K | -600K | 1.17M | -2.65M |
| Free Cash Flow | -1.33M | -8.69M | -4.64M | -5.73M | -6.79M | -11.1M | -7.92M | -8.83M | -7.89M | -3.48M | -13.17M | -6.31M | 5.73M | -670K | -4K | -212K | -1.22M | -1.76M | -5.34M | -5.51M | -3.14M | -3.27M | -1.7M | -2.24M |
| FCF Margin % | -4.81% | -31.13% | -16.8% | -21.58% | -38.48% | -90.45% | -67.26% | -53.62% | -36.07% | -10.46% | -64.81% | -21.4% | 19.28% | -7.59% | -0.04% | -2.68% | -16.46% | -18.93% | -25.84% | -42.55% | -35.7% | -38.63% | -23.11% | -30.91% |
| FCF Growth % | -181.02% | -87.06% | 19.01% | 15.58% | 38.8% | -40.17% | 10.39% | -11.92% | -126.94% | 73.6% | -108.65% | -210.25% | 954.78% | -16650% | 98.11% | 82.57% | 30.95% | 67% | 3.23% | -75.64% | 3.95% | -92.63% | 24.21% | - |
| FCF per Share | -0.38 | -1.75 | -2.68 | -16.96 | -1.84 | -4.24 | -4.55 | -5.47 | -5.18 | -2.33 | -8.70 | -4.15 | 4.19 | -0.73 | -0.00 | -0.77 | -8.37 | -13.58 | -43.86 | -53.37 | -31.68 | -35.14 | -29.08 | -44.01 |
| FCF Conversion (FCF/Net Income) | -0.36x | -2.08x | -1.96x | 0.59x | 0.62x | 0.93x | 0.83x | 0.67x | 0.41x | 0.30x | 0.98x | -1.38x | 1.01x | -0.09x | 0.00x | -0.19x | 0.62x | 0.33x | 0.43x | 0.43x | -0.56x | 0.75x | 0.33x | 1.08x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 2K | 5K | 6K | 0 | 109K | 171K | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 5K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 12K | 27K | 25K | 50K | 31K | 137K | 0 | 0 | 0 | 0 | 0 |
Lumpy government contract cycles
As reported in recent financial filings, SuperCom's operating cash flow has frequently failed to track with net income, with the OCF/NI ratio reaching as low as 0.15 in 2024Q4, suggesting that reported profits are not translating into the liquidity required for sustainable operations.
The persistent gap between net income and operating cash flow indicates that the company's earnings are heavily reliant on non-cash items or accounting adjustments. Investors should be wary of this divergence, as it implies that the core business model is struggling to generate actual cash from its reported profitability.
Based on the provided quarterly data, SuperCom's free cash flow trajectory remains highly erratic, shifting from a positive $1.6M in 2023Q3 to a negative $666K in 2024Q4, which highlights the company's inability to maintain consistent cash generation across different contract cycles.
The negative FCF margins observed in recent periods suggest that the company is currently consuming cash to support its operations rather than generating surplus capital. This trend warrants further investigation into whether the company can achieve self-sustaining cash flow without recurring external financing.
According to historical data, SuperCom experienced a significant $1.1M working capital build-up in late 2024, which appears to have directly contributed to the negative operating cash flow observed during that period, reflecting the inherent challenges of managing long-duration government contract payment cycles.
The reliance on working capital management to bridge the gap between project milestones and cash collection creates significant liquidity risk. If the company cannot accelerate its collection cycles, it may continue to face periods of cash depletion despite reporting positive net income.
As evidenced by the financial statements, the company's cash flow statement is frequently impacted by significant depreciation and amortization charges, such as the $954.5K recorded in 2024Q4, which masks the underlying cash burn occurring within the core operating segments of the business.
The presence of substantial non-cash charges suggests that the company's reported earnings may be overstating the true economic health of the firm. Analysts should monitor whether these capitalized costs are truly representative of asset replacement needs or if they serve to defer necessary operating expenses.
Quick answers to the most common questions about buying SPCB stock.
SuperCom Ltd. (SPCB) generated $-7.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
SuperCom Ltd. (SPCB) reported negative free cash flow of $8.7M in 2025, indicating capital requirements exceeded cash from operations.
SuperCom Ltd. (SPCB) spent $3.1M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.