Persistent negative free cash flow, evidenced by quarterly outflows frequently exceeding $6 million, suggests a structural dependence on external capital markets to fund ongoing clinical development.
| Cash from Operations | -33.46M | -30.24M | -17.63M | -40.36M | -44.15M | -48.81M | -29.1M | -21.06M |
| Operating CF Margin % | - | -869.83% | -165.44% | - | -353.16% | - | - | - |
| Operating CF Growth % | -344.46% | -71.57% | 56.33% | 8.57% | 9.56% | -67.75% | -38.2% | - |
| Net Income | -342.56M | -242.03M | -63.56M | -43.04M | -36M | -54.65M | -32.72M | -24.36M |
| Depreciation & Amortization | 308K | 537K | 1.44M | 1.91M | 1.96M | 2.07M | 1.94M | 2.28M |
| Stock-Based Compensation | 3M | 3.83M | 4.11M | 4.37M | 4.52M | 2.32M | 635K | 790K |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 306.84M | 204.26M | 41.22M | 325K | -6.2M | 1.67M | 993K | 1.3M |
| Working Capital Changes | -1.05M | 3.15M | -836K | -3.93M | -8.42M | -221K | 52K | -1.07M |
| Change in Receivables | -2.71M | 2.33M | -502K | 0 | -1.98M | 0 | 0 | 0 |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | 307K | 142K | -228K | -133K | -2.04M | 857K | 537K | 0 |
| Cash from Investing | -221K | -128K | -26K | 51.72M | 38.31M | -77.71M | -15.07M | -1.56M |
| Capital Expenditures | -221K | -128K | -26K | -398K | -728K | -1.27M | -874K | -1.56M |
| CapEx % of Revenue | 2.95% | 3.68% | 0.24% | - | 5.82% | - | - | - |
| Acquisitions | 0 | 0 | 0 | 0 | -39.04M | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 0 | 0 | 39.04M | 0 | 0 | 0 |
| Cash from Financing | 38.95M | 85.05M | 16.18M | 276K | -2.56M | 124.63M | 50.05M | 28.9M |
| Debt Issued (Net) | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Equity Issued (Net) | 38.94M | 85.05M | 16.04M | -4K | -2.48M | 124.22M | 49.89M | -13K |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 61K | 0 | 0 | -4K | -2.61M | 0 | 0 | -13K |
| Other Financing | 9K | 0 | 133K | 280K | -85K | 410K | 166K | 28.92M |
| Net Change in Cash | 5.26M | 54.68M | -1.48M | 11.64M | -8.4M | -1.89M | 5.88M | 29.51M |
| Free Cash Flow | -33.68M | -30.37M | -17.65M | -40.76M | -44.87M | -50.08M | -29.97M | -22.62M |
| FCF Margin % | -449.44% | -873.51% | -165.69% | - | -358.98% | - | - | - |
| FCF Growth % | -84.99% | -72.04% | 56.69% | 9.16% | 10.4% | -67.09% | -32.51% | - |
| FCF per Share | -3.08 | -4.06 | -6.02 | -20.20 | -19.39 | -21.44 | -37.67 | -57.51 |
| FCF Conversion (FCF/Net Income) | 0.10x | 0.12x | 0.28x | 0.94x | 1.23x | 0.93x | 0.89x | 0.86x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Clinical Trial Funding Exhaustion
According to recent SEC filings, the relationship between net income and operating cash flow is highly erratic, with OCF/NI ratios swinging from 0.03 to 4.71, indicating that reported earnings are largely disconnected from the actual cash burn required to sustain the company's clinical development programs.
The extreme volatility in the OCF/NI ratio suggests that net income is heavily influenced by non-cash accounting adjustments rather than operational cash generation. Investors should interpret these figures as evidence that the company's P&L is not a reliable proxy for its underlying liquidity position.
As reported in financial statements, Surrozen's free cash flow remains consistently negative, with quarterly outflows frequently exceeding $6 million, highlighting a structural inability to generate self-sustaining cash from its current research-heavy business model without relying on external capital markets for continued survival.
The persistent negative FCF trajectory underscores the company's status as a pre-revenue entity where cash burn is the primary operational metric. This trend suggests that the company remains entirely dependent on milestone-based funding or equity dilution to maintain its current clinical trial velocity.
Based on the company's reported figures, working capital changes have been highly inconsistent, ranging from a $10.2 million inflow in 2024Q4 to a $5.6 million outflow in 2026Q1, which complicates the assessment of the company's underlying operational efficiency and cash management capabilities.
These fluctuations in working capital appear to be driven by the timing of milestone payments and deferred revenue recognition rather than operational efficiency. Analysts should monitor these swings closely, as they may temporarily mask the true underlying rate of cash consumption.
Data from financial statements reveals that stock-based compensation consistently adds back to the cash flow statement, effectively masking the true economic cost of talent acquisition in a competitive biotech labor market while the company continues to burn through its remaining cash reserves.
While SBC is a non-cash expense, it represents a real economic dilution to shareholders that is not captured in the headline operating cash flow. Investors should adjust for these add-backs to understand the true cost of maintaining the company's research infrastructure.
Quick answers to the most common questions about buying SRZN stock.
Surrozen, Inc. (SRZN) generated $-30.2M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Surrozen, Inc. (SRZN) reported negative free cash flow of $30.4M in 2025, indicating capital requirements exceeded cash from operations.
Surrozen, Inc. (SRZN) spent $0.1M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.