Liquidity is under severe strain, evidenced by a $12.1M working capital outflow and a decline in cash reserves to $10.1M in 2025Q4.
| Metric | 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 |
|---|
| Cash from Operations | 5.79M | 27.11M | 62.06M | 2.71M | 39.69M | 65.6M | 38.56M | 18.17M | 45.69M | 53.55M | 60.26M | 47.2M | 21.21M | 47.22M | 34.72M | -142.32K |
| Operating CF Margin % | 1.72% | 7.81% | 16.46% | 0.69% | 10.71% | 20.18% | 11.33% | 5.09% | 13.26% | 16.52% | 20.57% | 18.35% | 9.24% | 25.85% | 22.74% | -0.11% |
| Operating CF Growth % | -78.63% | -56.32% | 2185.82% | -93.16% | -39.49% | 70.1% | 112.23% | -60.23% | -14.68% | -11.14% | 27.68% | 122.53% | -55.08% | 36% | 24496.62% | - |
| Net Income | 0 | 2.32M | 10.07M | 15.7M | 14.77M | 6.03M | -4.46M | 10.44M | 10.82M | 18.46M | 15.7M | 10.55M | -35.66M | -46.89M | -479.43K | -33.97K |
| Depreciation & Amortization | 0 | 17.76M | 21.23M | 25.14M | 27.38M | 31.34M | 33.55M | 28.4M | 26.24M | 23.04M | 22.24M | 19.93M | 14.32M | 10.53M | 8.65M | 7.24M |
| Stock-Based Compensation | 0 | 1.34M | 1.39M | 1.83M | 2.27M | 2.24M | 2.65M | 2.67M | 3.16M | 4.33M | 5.54M | 4.62M | 4.68M | 5.28M | 0 | 0 |
| Deferred Taxes | 0 | 366K | 1.28M | 417K | -1.61M | 1.85M | -1.62M | 4.43M | 9.74M | -395K | 5.74M | 1.19M | 3.79M | -2.55M | 0 | 0 |
| Other Non-Cash Items | 39.19M | 27.83M | 27.11M | 26.63M | 25.94M | 26.65M | -906K | 4.15M | 5.86M | 3.32M | 3.43M | 8.21M | 61.45M | 85.1M | 26.36M | -7.24M |
| Working Capital Changes | -33.39M | -22.51M | 973K | -67.01M | -29.05M | -2.52M | 9.36M | -31.91M | -10.12M | 4.79M | 7.61M | 2.71M | -27.36M | -4.25M | 187.63K | -108.36K |
| Change in Receivables | -376K | -203K | 528K | -209K | -226K | 394K | -286K | -703K | 33K | -448K | -254K | -514K | -189K | -270K | 0 | 0 |
| Change in Inventory | -3.13M | 7.41M | 27.27M | -23.78M | -22.88M | 23.32M | 12.47M | -24.84M | -10.96M | -4.42M | -1.02M | -1.1M | -20.87M | -280K | 0 | 0 |
| Change in Payables | 1.26M | 826K | 123K | -8.06M | 15.87M | -3.21M | -4.5M | -8.2M | 12.05M | 4.2M | 945K | -5.17M | 2.01M | 1.12M | -77.02K | 46.5K |
| Cash from Investing | -9.37M | -14.34M | -15.26M | -14.03M | -11.07M | -1.97M | -26.39M | -34.14M | -40.55M | -27.25M | -18.99M | -40.55M | -52.95M | -29.06M | -18.56M | -124.97M |
| Capital Expenditures | -9.56M | -14.54M | -15.31M | -14.03M | -11.07M | -1.97M | -27M | -35.29M | -40.56M | -27.26M | -18.99M | -41.23M | -52.87M | -29.05M | -18.56M | -14.39M |
| CapEx % of Revenue | 2.84% | 4.19% | 4.06% | 3.55% | 2.99% | 0.61% | 7.93% | 9.88% | 11.77% | 8.41% | 6.48% | 16.03% | 23.03% | 15.91% | 12.15% | 10.64% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 111K | 7K | 4K | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 198K | 202K | 58K | 0 | 0 | 0 | 610K | 0 | 0 | 0 | 0 | 677K | -86K | -11K | 0 | 14.39M |
| Cash from Financing | -7.26M | -503K | -45.93M | 9.11M | -28.9M | -63.33M | -8.62M | 14.93M | -10.62M | -30.53M | -36.69M | -2.65M | 30.52M | -21.45M | -24M | 125.97M |
| Debt Issued (Net) | 25M | 0 | -45.4M | 40.4M | 5M | -63.16M | 9.8M | 25.83M | -1.57M | -27.82M | -36.02M | -3.41M | 21.85M | -393K | -466K | 1.26M |
| Equity Issued (Net) | -31.98M | -503K | -532K | -30.17M | -953K | -167K | -10.46M | -119K | -318K | -56K | 276K | 35K | -46M | 15M | -1.49M | 125.97M |
| Dividends Paid | 0 | 0 | 0 | 0 | -32.95M | 0 | -7.71M | -10.4M | -10.37M | 0 | 0 | 0 | 0 | -26.31M | 0 | 0 |
| Share Repurchases | -31.98M | -503K | -532K | -30.17M | -953K | -167K | -10.46M | -119K | -318K | -56K | 0 | 0 | -46M | 0 | -1.49M | 0 |
| Other Financing | -284K | 0 | 4K | -1.11M | 0 | 0 | -256K | -374K | 1.64M | -2.65M | -939K | 726K | 54.67M | -9.76M | -22.04M | -1.26M |
| Net Change in Cash | -10.84M | 12.34M | 861K | -2.25M | -259K | 353K | 3.54M | -1.09M | -5.47M | -4.26M | 4.57M | 4M | -1.23M | -3.3M | -7.83M | 865.36K |
| Free Cash Flow | -3.77M | 12.57M | 46.75M | -11.31M | 28.62M | 63.63M | 11.56M | -17.12M | 5.13M | 26.3M | 41.27M | 5.97M | -31.66M | 18.17M | 16.16M | -142.32K |
| FCF Margin % | -1.12% | 3.62% | 12.39% | -2.87% | 7.72% | 19.57% | 3.4% | -4.79% | 1.49% | 8.11% | 14.09% | 2.32% | -13.79% | 9.95% | 10.58% | -0.11% |
| FCF Growth % | -130.01% | -73.11% | 513.25% | -139.52% | -55.02% | 450.27% | 167.55% | -433.34% | -80.47% | -36.28% | 591.06% | 118.86% | -274.24% | 12.43% | 11455.16% | - |
| FCF per Share | -0.09 | 0.29 | 1.07 | -0.23 | 0.56 | 1.26 | 0.23 | -0.33 | 0.10 | 0.51 | 0.80 | 0.12 | -0.64 | 0.51 | 0.50 | -0.01 |
| FCF Conversion (FCF/Net Income) | -1.29x | 11.68x | 6.16x | 0.17x | 2.69x | 10.88x | -8.64x | 1.74x | 4.22x | 2.90x | 3.84x | 4.48x | -0.59x | -1.01x | 1.11x | -0.00x |
| Interest Paid | 239K | 306K | 0 | 1.26M | 632K | 1.98M | 3.73M | 2.63M | 1.82M | 1.81M | 2.69M | 3.15M | 2.52M | 349K | 443K | 469K |
| Taxes Paid | 597K | 2.35M | 0 | 2.23M | 5.3M | 1.61M | 471K | 1.51M | 7.6M | 15.16M | 22K | 2.79M | 15.01M | 195K | 527K | 543K |
Fixed cost absorption failure
As reported in recent financial filings, the persistent gap between net income and operating cash flow, highlighted by an OCF/NI ratio of 1.59 in 2025Q4, suggests that reported earnings are failing to capture the underlying cash volatility inherent in the company's current showroom-heavy retail operating model.
The significant divergence between accounting profits and cash generation indicates that non-cash adjustments and working capital swings are masking the true cash-burn profile of the business. Investors should monitor whether this disconnect persists, as it may imply that the company's earnings quality is deteriorating alongside its top-line contraction.
Based on the provided quarterly data, the free cash flow trajectory has shifted into negative territory, with a -4.3% FCF margin in 2025Q4, reflecting a broader trend of cash outflows that have accelerated as the company struggles to maintain profitability amidst declining revenue and high fixed costs.
The transition from positive FCF in early 2024 to consistent outflows in recent quarters suggests that the business model is currently unable to self-fund its operations. This trend warrants further investigation into whether management can rationalize the cost base before liquidity constraints become a more pressing concern for the firm.
According to recent cash flow statements, working capital has become a significant drag on liquidity, with a $12.1M outflow in 2025Q4, indicating that inventory management and collection cycles are failing to provide the necessary cash buffer to offset the company's ongoing operational losses and high fixed-cost obligations.
The recurring negative working capital changes suggest that the company may be struggling to optimize its inventory levels relative to the current sales environment. This inefficiency appears to be exacerbating the cash burn, as capital remains tied up in assets that are not converting to cash at a sufficient velocity.
As indicated by the latest financial disclosures, the company's capital expenditure reached 10.2% of revenue in 2025Q4, a notable increase that suggests a continued commitment to store-level investment despite the broader contraction in top-line performance and the resulting pressure on the company's overall cash flow position.
Maintaining high capital intensity during a period of revenue decline may indicate that the company is prioritizing long-term showroom maintenance over immediate cash preservation. Analysts should evaluate whether these investments are generating sufficient returns or if they represent a sunk cost that further strains the balance sheet.
Quick answers to the most common questions about buying TTSH stock.
Tile Shop Holdings, Inc. (TTSH) generated $5.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Tile Shop Holdings, Inc. (TTSH) reported negative free cash flow of $3.8M in 2025, indicating capital requirements exceeded cash from operations.
Tile Shop Holdings, Inc. (TTSH) spent $9.6M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Tile Shop Holdings, Inc. (TTSH) spent $32.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.