Cash generation remains inconsistent, evidenced by a volatile operating cash flow to net income ratio that reached a negative 1.68 in 2024Q1 and a 7.7% revenue allocation to CapEx in 2025Q2.
| 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 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Cash from Operations | 22.44M | 14.97M | -5.82M | 2.25M | -4.87M | -1.49M | 7.95M | 3.42M | 2.08M | 2.5M | 5.52M | 733K | -1.46M | 7.89M | 7.74M | 696K | 3.04M | -79K | 1.69M | 804K | 5.15M | 4.14M | 1.91M | 3.65M | 4.82M | 2.05M | 4.82M | 2.26M | -600K | 1.4M | -500K |
| Operating CF Margin % | - | 8.41% | -3.82% | 1.98% | -5.76% | -1.91% | 10.54% | 3.51% | 2.23% | 2.34% | 5.76% | 0.86% | -1.81% | 9.92% | 8.8% | 0.81% | 3.81% | -0.1% | 1.64% | 0.91% | 6.65% | 8.42% | 5.74% | 11.88% | 18.35% | 8.18% | 16.95% | 12.81% | -4.17% | 9.72% | -3.14% |
| Operating CF Growth % | 1305.7% | 357.37% | -358% | 146.33% | -226.21% | -118.78% | 132.17% | 64.52% | -16.67% | -54.79% | 653.21% | 150.27% | -118.48% | 1.94% | 1011.78% | -77.09% | 3945.57% | -104.67% | 110.45% | -84.4% | 24.47% | 116.98% | -47.67% | -24.4% | 135.27% | -57.46% | 113.32% | 476.5% | -142.86% | 380% | -150% |
| Net Income | 16.41M | 16.82M | 11.17M | 4.67M | -1.56M | -3.56M | -3.48M | 806K | -4.41M | 2.4M | 62K | 5.85M | 1.43M | 5.25M | -1.77M | -1.08M | -7.26M | 2.1M | 4.27M | 31.98M | 6.07M | 3.53M | 3.74M | 3.83M | 3.59M | 2.66M | 5.45M | 2.64M | -1.7M | -400K | -2.3M |
| Depreciation & Amortization | 5.11M | 5.1M | 5.46M | 4.71M | 3.71M | 4.88M | 4.07M | 4.37M | 4.18M | 3.94M | 3.64M | 2.78M | 2.07M | 1.86M | 2.4M | 3.27M | 3.38M | 2.97M | 3.35M | 2.03M | 1.81M | 1.43M | 1.03M | 1M | 994K | 1.23M | 1.25M | 921K | 900K | 1M | 1.1M |
| Stock-Based Compensation | 458K | 0 | 395K | 159K | 218K | 160K | 0 | 38K | 272K | 174K | 105K | 38K | 38K | 3K | 8K | -37K | 49K | 967K | 221K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 1.5M | 1.89M | 117K | 235K | 23K | 0 | -1.44M | -450K | -102K | 382K | 1.67M | -21K | 1.23M | 71K | 1.6M | -868K | -2.97M | 1.69M | -465K | -321K | 88K | -233K | 168K | 63K | 131K | 27K | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 5.29M | 1.11M | -1.45M | -1.53M | -1.56M | 1.9M | 2.8M | -684K | -412K | 330K | -15K | -5.86M | -871K | -5K | 4.99M | 5.43M | 13.57M | -3.8M | 1.53M | -25.97M | 33K | -217K | -52K | -24K | 42K | -259K | -800K | -1.43M | 900K | -800K | -800K |
| Working Capital Changes | -2.94M | -9.95M | -21.51M | -5.99M | -5.69M | -4.87M | 6M | -660K | 2.54M | -4.73M | 63K | -2.06M | -5.36M | 709K | 515K | -6.02M | -3.73M | -4.01M | -7.21M | -7.65M | -2.79M | -366K | -2.98M | -1.23M | 67K | -1.61M | -1.07M | 130K | -700K | 1.6M | 1.5M |
| Change in Receivables | 2.83M | -3.5M | -9.74M | -4.21M | -2.66M | -2.93M | 9.47M | -1.93M | 6.81M | -4.49M | -2.39M | -2.46M | 1.9M | 194K | 133K | -544K | -5.78M | 1.67M | -5.11M | -2.6M | 903K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -10.14M | -7.53M | -17.16M | -5.4M | -5.07M | -681K | 1.87M | -5.39M | 161K | 210K | -2.71M | -571K | -6.01M | 659K | -1.67M | -1.96M | -1.64M | -772K | -2.41M | -3.26M | -2.46M | -1.37M | 167K | -1.28M | -409K | -1.06M | -482K | 810K | -700K | 1.6M | -400K |
| Change in Payables | 2.2M | 359K | 2.17M | -245K | 1.14M | 0 | -5.34M | 3.29M | -969K | 578K | 1.19M | 961K | -1.22M | -139K | 1.35M | -2.54M | 1.86M | -5.28M | 32K | 2.58M | 445K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -8.81M | -10.05M | -3.85M | -3.58M | -16.12M | -15.64M | -7.25M | -3.41M | -3.84M | -3.56M | 594K | -4.47M | 4.62M | 39K | -9.91M | -602K | -2.99M | 770K | 12.37M | -24.72M | -2.28M | -5.51M | 1.31M | -2.35M | -973K | 1.96M | -8.41M | 861K | 500K | 700K | -1.4M |
| Capital Expenditures | -9.77M | -10.95M | -5.13M | -5.1M | -16.21M | -16.25M | -5.41M | -3.4M | -4.27M | -3.52M | -5.7M | -3.31M | -3.02M | -2.24M | -2.39M | -3.31M | -3.09M | -4.86M | -3.56M | -6.3M | -1.69M | -1.07M | -926K | -1.45M | -899K | -1.13M | -2.17M | -628K | -400K | -300K | -500K |
| CapEx % of Revenue | 5.52% | 6.15% | 3.37% | 4.48% | 19.17% | 20.84% | 7.17% | 3.49% | 4.58% | 3.3% | 5.95% | 3.87% | 3.74% | 2.82% | 2.72% | 3.87% | 3.87% | 5.85% | 3.44% | 7.11% | 2.18% | 2.18% | 2.79% | 4.73% | 3.42% | 4.51% | 7.65% | 3.56% | 2.78% | 2.08% | 3.14% |
| Acquisitions | 954.54K | 900K | 0 | 0 | 0 | 0 | 0 | -10K | -26K | -383K | -905K | 1.83M | 2.18M | 0 | 71K | 247K | 53K | 2.05M | -12K | 97K | 0 | -5.24M | 0 | 89K | 14K | 0 | -6.93M | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 1.27M | 1.52M | 93K | 608K | -1.84M | -789K | 7K | -156K | 7.18M | 9K | 352K | 2.28M | 954K | 1.82M | -191K | -1.84M | -1.1M | 1.53M | 68K | 56K | 30K | 44K | 449K | 2.86M | 262K | 1.49M | 900K | 1M | -900K |
| Cash from Financing | 33.44M | 39.21M | 161K | 10.24M | 15.8M | 6.04M | 7.65M | 0 | 197K | -2.86M | -3.37M | -469K | -2.91M | -3.24M | -7.54M | -848K | 1.36M | -8.91M | 5.17M | 33.27M | -4.09M | 1.28M | -1.21M | -2.39M | -533K | -2.84M | 1.53M | 509K | -100K | -300K | 100K |
| Debt Issued (Net) | -12.91M | -6.44M | -9.67M | 11K | 15.61M | 3.04M | 7.65M | 0 | 0 | 0 | 0 | -469K | -909K | -2.98M | -4.69M | -498K | 1.36M | 3.41M | 4.96M | 0 | -3M | 2.33M | -584K | 41K | -414K | -2.74M | 1.64M | -1.44M | -1.01M | -300K | 100K |
| Equity Issued (Net) | 49.53M | 45.65M | 9.83M | 10.06M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -70K | 0 | 0 | -2.02M | 0 | 44.68M | 0 | 0 | 6.96M | 484K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -3M | -3M | 0 | -2M | 0 | -2.5M | 0 | 0 | -6.26M | 0 | -2.62M | -1.21M | -1.09M | -7.13M | -3.14M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -70K | 0 | 0 | -2.02M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -3.18M | 0 | 0 | 165K | 189K | 3M | 0 | 0 | 197K | 144K | -370K | 0 | 0 | -261K | -285K | -350K | 0 | -4.04M | 209K | -8.8M | 117K | 30K | -452K | 226K | -119K | -101K | -115K | -575K | -210K | 0 | 0 |
| Net Change in Cash | 46.2M | 44.13M | -9.51M | 8.92M | -5.19M | -11.09M | 8.17M | 9K | -1.56M | -3.92M | 2.75M | -4.21M | 257K | 4.85M | -9.65M | -805K | 1.47M | -8.33M | 18.79M | 9.35M | -1.22M | -95K | 2.01M | -1.09M | 3.32M | 1.17M | -2.09M | 3.65M | -300K | -300K | 100K |
| Free Cash Flow | 12.67M | 4.02M | -10.94M | -3.33M | -21.08M | -17.74M | 4.05M | 19K | -2.19M | -1.02M | -181K | -2.58M | -4.48M | 5.65M | 5.34M | -2.61M | -48K | -4.94M | -1.87M | -5.5M | 3.46M | 3.07M | 982K | 2.19M | 3.92M | 919K | 2.64M | 1.63M | -1M | 1.1M | -1M |
| FCF Margin % | 7.16% | 2.26% | -7.19% | -2.92% | -24.93% | -22.75% | 5.38% | 0.02% | -2.35% | -0.96% | -0.19% | -3.02% | -5.55% | 7.1% | 6.08% | -3.06% | -0.06% | -5.94% | -1.81% | -6.2% | 4.46% | 6.24% | 2.95% | 7.15% | 14.93% | 3.67% | 9.3% | 9.25% | -6.94% | 7.64% | -6.29% |
| FCF Growth % | 188.56% | 136.73% | -229.04% | 84.22% | -18.83% | -537.89% | 21221.05% | 100.87% | -113.87% | -465.75% | 92.99% | 42.35% | -179.3% | 5.69% | 304.83% | -5335.42% | 99.03% | -164.58% | 66.07% | -258.98% | 12.74% | 212.42% | -55.26% | -44.06% | 326.99% | -65.24% | 62.11% | 263.1% | -190.91% | 210% | -400% |
| FCF per Share | 0.96 | 0.33 | -0.98 | -0.37 | -2.37 | -2.00 | 0.46 | 0.00 | -0.25 | -0.11 | -0.02 | -0.29 | -0.51 | 0.64 | 0.61 | -0.30 | -0.01 | -0.62 | -0.28 | -0.86 | 0.56 | 0.50 | 0.18 | 0.45 | 0.84 | 0.20 | 0.55 | 0.36 | -0.22 | 0.22 | -0.22 |
| FCF Conversion (FCF/Net Income) | 0.77x | 0.89x | -0.52x | 0.48x | 3.12x | 0.42x | -2.41x | 4.25x | -0.47x | 1.04x | 89.05x | 0.13x | -1.02x | 2.80x | -4.51x | -0.68x | -0.42x | -0.05x | 0.40x | 0.03x | 0.85x | 1.17x | 0.51x | 0.95x | 1.34x | 0.77x | 0.88x | 0.86x | 0.35x | -3.50x | 0.22x |
| Interest Paid | 679K | 0 | 1.4M | 1.44M | 796K | 251K | 0 | 0 | 10K | 35K | 2K | 4K | 15K | 89K | 209K | 184K | 245K | 219K | 187K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 21K | 0 | 39K | 0 | 0 | 0 | 0 | 0 | 1.09M | 2.4M | 1.47M | 1.32M | 571K | 961K | 813K | 966K | 1.84M | 353K | 4.13M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Working capital volatility
Based on reported financial statements, TATT's operating cash flow to net income ratio has exhibited extreme volatility, ranging from a negative 1.68 in 2024Q1 to a positive 4.53 in 2023Q4, suggesting that reported net income is a poor proxy for the company's actual cash-generating capability.
The significant divergence between accounting profits and cash inflows indicates that earnings are heavily influenced by non-cash accruals and timing differences. Investors should monitor whether this disconnect stems from aggressive revenue recognition policies or the inherent lumpiness of aerospace MRO contract cycles.
As reported in recent filings, TATT's free cash flow trajectory has been highly inconsistent, with negative FCF margins reaching as low as -18.7% in 2025Q1, which highlights the difficulty in maintaining a stable cash generation profile despite the company's 17% revenue growth trend.
The inability to consistently convert revenue into free cash flow suggests that the business model requires significant ongoing investment to support its operational footprint. This inconsistency may indicate that the company's growth is currently capital-intensive rather than self-funding.
According to historical cash flow data, TATT experienced a massive $10.5 million working capital outflow in 2025Q1, illustrating how aggressive inventory builds or delayed collections can rapidly erode the company's liquidity position despite its otherwise conservative balance sheet management.
These periodic working capital drains suggest that the company's cash flow is highly sensitive to supply chain timing and customer payment terms. Such volatility warrants further investigation into whether these outflows represent strategic inventory accumulation for legacy platforms or operational inefficiencies in the collection process.
Based on TATT's reported figures, capital expenditures have consistently consumed a meaningful portion of revenue, peaking at 7.7% in 2025Q2, which suggests that the company must continuously reinvest in specialized tooling and equipment to maintain its FAA/EASA certifications and competitive niche.
The persistent level of capital intensity implies that TATT's maintenance capex is a significant fixed burden that limits the company's ability to generate surplus cash. This structural requirement for reinvestment may explain why the company maintains such a large cash pile, as it serves as a buffer against these recurring capital needs.
Quick answers to the most common questions about buying TATT stock.
TAT Technologies Ltd. (TATT) generated $15.0M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
TAT Technologies Ltd. (TATT) generated $4.0M 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.
TAT Technologies Ltd. (TATT) spent $11.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.