Operating cash flow swung to -$7.5M in 2026Q2 with free cash flow margin at -34.0%, largely driven by a -$8.1M working capital outflow, suggesting cash burn is accelerating against a thinning $6.4M cash buffer.
SoundThinking, Inc. (SSTI) cash flow statement — 11-year operating, investing & financing cash flows
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 |
|---|
| Cash from Operations | 3.46M | 9.3M | 22.22M | 10.95M | 12.18M | 9.82M | 11.21M | 13.69M | -1.39M | 3.39M | 2.26M | -3.5M |
| Operating CF Margin % | - | 8.93% | 21.78% | 11.81% | 15.04% | 16.89% | 24.51% | 33.6% | -3.99% | 14.25% | 14.55% | -29.71% |
| Operating CF Growth % | 333.06% | -58.15% | 102.9% | -10.12% | 24.05% | -12.37% | -18.13% | 1087.88% | -140.92% | 50.07% | 164.43% | - |
| Net Income | -16.57M | -9.42M | -9.18M | -2.72M | 6.38M | -4.43M | 1.23M | 1.8M | -2.73M | -9.98M | -6.86M | -6.19M |
| Depreciation & Amortization | 9.71M | 9.85M | 10.07M | 10.64M | 9.2M | 6.83M | 5.59M | 4.98M | 3.92M | 3.12M | 2.55M | 2.26M |
| Stock-Based Compensation | 9.12M | 11.45M | 12.13M | 9.98M | 8.28M | 5.87M | 4.46M | 3.06M | 2.47M | 628K | 83K | 137K |
| Deferred Taxes | 38K | -2K | 135K | 541K | 685K | 0 | 0 | -11.88M | 0 | 5M | 551K | 107K |
| Other Non-Cash Items | 1.33M | 1.03M | 251K | -5.47M | -9.23M | 1.35M | 311K | 11.88M | 690K | 132K | 131K | 88K |
| Working Capital Changes | -164K | -3.6M | 8.82M | -2.02M | -3.14M | 199K | -375K | 3.85M | -5.74M | 4.49M | 5.8M | 92K |
| Change in Receivables | 5.79M | -3.73M | 5.06M | 619K | -14.53M | -3.21M | 1.95M | 1.38M | -11.22M | -1.52M | 255K | -1.84M |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.38M | -1.01M | 1.29M | 959K | 219K |
| Change in Payables | -293K | -318K | 792K | 1.09M | -18K | 354K | -190K | -243K | -346K | 291K | 410K | 69K |
| Cash from Investing | -4.54M | -4.46M | -6.43M | -16.48M | -15.54M | -7.88M | -18.76M | -4.91M | -10.2M | -6.51M | -4.55M | -2.18M |
| Capital Expenditures | -4.54M | -4.45M | -6.33M | -5.05M | -10.91M | -7.84M | -4.06M | -4.91M | -8.49M | -6.51M | -4.55M | -2.18M |
| CapEx % of Revenue | 4.64% | 4.27% | 6.2% | 5.45% | 13.47% | 13.48% | 8.88% | 12.05% | 24.44% | 27.38% | 29.37% | 18.49% |
| Acquisitions | 0 | 0 | 0 | -10.99M | -4.62M | 15K | -14.63M | 0 | -1.71M | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 5K | -8K | -105K | -437K | -6K | -59K | -72K | 0 | -48K | -76K | -78K | -25K |
| Cash from Financing | -1.57M | -2.35M | -8.25M | 795K | -1.75M | -2.27M | -956K | 5.48M | 2.44M | 18.75M | 2.01M | 8.65M |
| Debt Issued (Net) | 0 | 0 | -3M | 7M | 0 | 0 | 0 | 0 | 0 | -12M | 2M | 6.94M |
| Equity Issued (Net) | -1.57M | -2.35M | -6M | -5.59M | -3.08M | -3.6M | -1.61M | 4.53M | 0 | 32.43M | 0 | 1.99M |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -2M | -2.97M | -6M | -5.59M | -3.08M | -3.6M | -1.61M | -6.72M | 0 | 0 | 0 | 0 |
| Other Financing | 0 | 0 | 753K | -610K | 1.33M | 1.33M | 659K | 953K | 2.44M | -1.68M | 8K | -288K |
| Net Change in Cash | -2.54M | 2.61M | 7.48M | -4.78M | -5.16M | -407K | -8.51M | 14.27M | -9.32M | 15.7M | -259K | 2.96M |
| Free Cash Flow | -1.07M | 4.84M | 15.79M | 5.46M | 1.26M | 1.92M | 7.08M | 8.78M | -9.88M | -3.12M | -2.3M | -5.68M |
| FCF Margin % | -1.09% | 4.65% | 15.47% | 5.89% | 1.56% | 3.31% | 15.48% | 21.55% | -28.42% | -13.13% | -14.81% | -48.2% |
| FCF Growth % | -116.67% | -69.31% | 189.1% | 332.38% | -34.32% | -72.83% | -19.41% | 188.91% | -216.7% | -35.79% | 59.58% | - |
| FCF per Share | -0.08 | 0.38 | 1.24 | 0.44 | 0.10 | 0.17 | 0.60 | 0.74 | -0.93 | -0.50 | -0.36 | -0.89 |
| FCF Conversion (FCF/Net Income) | 0.06x | -0.99x | -2.42x | -4.03x | 1.91x | -2.22x | 9.15x | 7.62x | 0.51x | -0.34x | -0.33x | 0.57x |
| Interest Paid | 149K | 281K | 394K | 151K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | -83K | 270K | 737K | 889K | 0 | 0 | 0 | 51K | 79K | 0 | 0 | 0 |
Quick answers to the most common questions about buying SSTI stock.
SoundThinking, Inc. (SSTI) generated $9.3M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
SoundThinking, Inc. (SSTI) generated $4.8M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
SoundThinking, Inc. (SSTI) spent $4.4M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, SoundThinking, Inc. (SSTI) spent $3.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Negative operating cash conversion
Metrics are mathematically derived from official filings.
Cash Conversion Diverges Sharply From Losses
Based on reported quarterly figures, SSTI's operating cash flow swung from negative to positive while net income stayed negative, producing OCF/NI ratios that are not meaningful as a measure of earnings quality over this period.
Across the ten reported quarters, net income was negative in every period while operating cash flow alternated between small positives and negatives, with a large $13.7M inflow in 2024Q3 standing out as an outlier. Because the ratio of operating cash flow to net income flips sign and magnitude quarter to quarter, it does not reliably signal earnings quality here. The pattern suggests that working capital timing and non-cash add-backs such as stock-based compensation are doing much of the work, which warrants further investigation of the drivers behind the 2024Q3 inflow.
Free Cash Flow Turns Negative Again
According to reported figures, SSTI's free cash flow margin reached 47.1% in 2024Q3 but fell to -34.0% in 2026Q2, with the most recent three quarters all negative after the 2025Q4 positive print.
The trajectory is dominated by a single strong quarter in 2024Q3 and a deteriorating run into 2026, with the latest quarter's free cash flow of -$8.1M representing a sharp reversal. Capital expenditure has remained modest relative to revenue, so the swings are driven mainly by operating cash flow and working capital rather than investment intensity. Investors should monitor whether the 2026 burn persists, since the company's cumulative ten-quarter free cash flow is heavily influenced by one period.
Working Capital Drives Quarterly Volatility
Based on SSTI's reported figures, working capital changes ranged from roughly +$9.4M to -$8.1M across quarters, and the most recent -$8.1M outflow accounts for nearly all of the latest operating cash shortfall.
The large working capital swings, including a $9.4M inflow in 2024Q3 and an $8.1M outflow in 2026Q2, appear to explain most of the quarter-to-quarter variance in operating cash flow. Such reversals may reflect collection timing or payables management rather than a durable change in economics, though the reported data alone does not confirm the cause. The recurring direction changes suggest the company's cash generation is sensitive to receivable and payable timing, which investors should track against revenue trends.
Stock Compensation Flatters Cash Burn
As reported in financial statements, SSTI's stock-based compensation of $2.4M to $3.8M per quarter is a non-cash add-back that narrows the gap between reported losses and operating cash results.
Because stock-based compensation is excluded from operating cash flow, part of the apparent stability in cash results reflects non-cash charges rather than economic profitability. Continued reliance on equity compensation may dilute shareholders while masking the cash cost of labor. This suggests that the cash flow statement, read alone, may present a more favorable picture than the underlying cash economics warrant.