Free cash flow remains highly erratic, swinging from a negative 36.6% margin in 2026Q1 to a positive 25.0% margin in 2026Q4 due to massive seasonal working capital shifts.
| Metric | Mar'26 | Mar'25 | Mar'24 | Mar'23 | Mar'22 | Mar'21 | Mar'20 | Mar'19 | Mar'18 | Mar'17 | Mar'16 | Mar'15 | Mar'14 | Mar'13 | Mar'12 | Mar'11 | Mar'10 | Mar'09 | Mar'08 | Mar'07 | Mar'06 | Mar'05 | Mar'04 | Jun'03 | Jun'01 | Jun'00 | Jun'99 | Jun'98 | Jun'97 | Jun'96 |
|---|
| Cash from Operations | 129.1M | 326.97M | -74.63M | -10.56M | 44.88M | 220.41M | 10.9M | 164.52M | 83.25M | 250.31M | 183.59M | 226.5M | -3.5M | 234.47M | 199.79M | 54.22M | 162.23M | 99.07M | 97.07M | 296.41M | 56.36M | -87.12M | -44.85M | 170.38M | 161.2M | 177.83M | 332.4M | 133.4M | -1.5M | 147.5M |
| Operating CF Margin % | 4.41% | 11.09% | -2.72% | -0.41% | 2.13% | 11.11% | 0.57% | 7.39% | 4.09% | 12.09% | 8.66% | 9.97% | -0.14% | 9.52% | 8.16% | 2.11% | 6.51% | 3.88% | 4.52% | 14.77% | 1.61% | -2.66% | -1.7% | 6.82% | 5.34% | 5.23% | 8.3% | 3.11% | -0.04% | 4.13% |
| Operating CF Growth % | -60.52% | 538.12% | -606.94% | -123.52% | -79.64% | 1922.7% | -93.38% | 97.64% | -66.74% | 36.34% | -18.94% | 6565.8% | -101.49% | 17.36% | 268.49% | -66.58% | 63.76% | 2.06% | -67.25% | 425.92% | 164.69% | -94.24% | -126.32% | 5.7% | -9.36% | -46.5% | 149.18% | 8993.33% | -101.02% | 143.8% |
| Net Income | 55.99M | 95.05M | 119.6M | 130.24M | 103.6M | 96.31M | 78M | 110.13M | 116.17M | 112.51M | 118.15M | 120.46M | 155.16M | 140.92M | 100.82M | 164.55M | 170.34M | 131.74M | 119.16M | 44.35M | 7.94M | 96.01M | 110.59M | 106.66M | 112.67M | 113.81M | 127.3M | 141.3M | 100.9M | 71.4M |
| Depreciation & Amortization | 53.44M | 59.77M | 58.33M | 57.3M | 52.52M | 44.73M | 38.38M | 37.1M | 34.84M | 35.91M | 37.64M | 37.32M | 38.9M | 45.12M | 43.87M | 45.27M | 43.5M | 41.79M | 43.24M | 48.3M | 68.14M | 74.13M | 53.5M | 54.99M | 56.4M | 52.02M | 52.8M | 51.1M | 51.6M | 12.8M |
| Stock-Based Compensation | 7.12M | 8.53M | 12.06M | 8.42M | 6.19M | 6.11M | 5.63M | 8.15M | 7.61M | 6.47M | 5.21M | 6.23M | 6.28M | 6.17M | 5.99M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | -961K | 1.08M | -5.4M | -36.89M | -2.47M | -2.33M | -8.7M | 3.87M | -11.13M | 16.63M | 15.05M | -13.66M | -2.18M | 11.79M | 6.77M | -1.04M | 13.76M | 20.48M | 19.71M | -654K | -35.49M | -10.58M | -11.9M | 4.84M | -5.39M | -51.73M | 14M | 14.4M | 22.9M | -3.8M |
| Other Non-Cash Items | 102.66M | 68.42M | 43.55M | 32.61M | 35.73M | 17.41M | 24.76M | 29.01M | 3.54M | 19.57M | 46.7M | 33.05M | -40.52M | -9.46M | 78.93M | 169.14M | 24.05M | 35.9M | 20.07M | 62.71M | 34.43M | 9.5M | 5.45M | -1.37M | 11.36M | 6.52M | -100K | -13.9M | 7.9M | 49.5M |
| Working Capital Changes | -89.14M | 94.12M | -302.76M | -202.23M | -150.68M | 58.19M | -127.18M | -23.75M | -67.78M | 59.23M | -39.15M | 43.09M | -161.14M | 39.93M | -36.59M | -176.57M | -95.68M | -170.25M | -114.8M | 56.05M | -99.87M | -253.9M | -202.5M | 5.26M | -13.84M | 57.21M | 139.9M | -59.5M | -184.8M | 17.6M |
| Change in Receivables | 39.16M | -129.99M | 0 | -74.66M | -123.1M | -26.17M | 48.53M | -8.37M | 38.26M | -14.35M | -2.81M | 49.41M | -89.54M | -5.43M | 53.49M | 67.21M | 11.1M | 70.37M | 3.03M | -33.72M | -11.07M | 65.68M | -61.88M | -45.64M | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -89.52M | 244.73M | 9.23M | -41.87M | -261.91M | 43.2M | -94.54M | 33.8M | -116.43M | 52.14M | -7.37M | 37.75M | -47.49M | 6.58M | 31.91M | 75.15M | -215.87M | -16.87M | 39.93M | 97.11M | -149.64M | -155.88M | -85.96M | -80.55M | -16.05M | 31.2M | 145.4M | -15.4M | -130.5M | -26M |
| Change in Payables | -12.62M | -8.7M | 20.81M | -84.59M | 123.1M | 26.17M | -48.53M | -54.91M | 13.08M | 28.64M | -13.68M | -63.26M | -27.34M | 11.17M | -53.49M | -67.21M | 14.68M | -70.37M | -3.03M | 33.72M | 74.7M | -65.68M | -44.63M | 45.64M | 45.64M | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -42.96M | -58.82M | -60M | -50.35M | -142.66M | -217.27M | -106.36M | -34.7M | -29.39M | -33.85M | -50.93M | -54M | -42.07M | -26.25M | -9.88M | 1.65M | -52.02M | 42.12M | -24M | 358.08M | -63.76M | -128.35M | -176.13M | -120.23M | -59.36M | -22.95M | -77.8M | -108.7M | -41.9M | -50.4M |
| Capital Expenditures | -48.83M | -62.6M | -66.01M | -54.67M | -53.2M | -66.15M | -35.23M | -38.76M | -34.04M | -35.63M | -47.15M | -58.38M | -45.85M | -30.78M | -38.17M | -39.13M | -57.58M | -35.66M | -27.7M | -25.18M | -74.22M | -105.76M | -115.4M | -110.79M | -61.15M | -60.84M | -69.2M | -96.7M | -58.8M | -35.3M |
| CapEx % of Revenue | 1.67% | 2.12% | 2.4% | 2.13% | 2.53% | 3.34% | 1.84% | 1.74% | 1.67% | 1.72% | 2.22% | 2.57% | 1.8% | 1.25% | 1.56% | 1.52% | 2.31% | 1.4% | 1.29% | 1.25% | 2.11% | 3.23% | 4.38% | 4.43% | 2.03% | 1.79% | 1.73% | 2.26% | 1.43% | 0.99% |
| Acquisitions | 5.87M | 3.78M | 0 | 3.25M | -102.46M | -161.75M | -80.18M | 2.06M | 5.19M | 2.17M | -5.96M | 0 | 0 | 0 | 0 | 0 | 0 | 15.08M | 26.56M | 385.55M | -14.34M | -16.03M | -71.86M | -13.35M | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 0 | 6.01M | 1.08M | 13M | 10.64M | 9.04M | 2M | 4.64M | 1.78M | 2.19M | 4.38M | 3.78M | 4.54M | 28.3M | 40.78M | 5.55M | 3.5M | 12.85M | -2.29M | 24.79M | -6.57M | 11.13M | 3.91M | 1.78M | 5.83M | -8.6M | -41.1M | 16.9M | -15.1M |
| Cash from Financing | -284.34M | -63.23M | 125.67M | 38.95M | -16.76M | 91.39M | -94.15M | -65.79M | -104.65M | -251.24M | -61.71M | -86.13M | -158.08M | -101.96M | -67.32M | -161.55M | -79.04M | -111.99M | -245.68M | -362.74M | 15.83M | 234.31M | 206M | -101.73M | -53.65M | -185.93M | -241.6M | -53.7M | -61.8M | -39.6M |
| Debt Issued (Net) | -170.07M | 37.7M | 223M | 124.71M | 79.29M | 179.4M | 24.11M | 12.04M | -18.16M | -5.35M | 4.88M | 16.37M | -79.98M | -34.62M | -13.64M | -54.35M | 14.46M | 59.93M | -183.96M | -348.94M | -133.35M | 193.18M | 0 | 296.13M | -23.73M | 7.42M | -43.87M | -109.9M | 7.7M | -21.9M |
| Equity Issued (Net) | 0 | 0 | -4.74M | -3.45M | -3.05M | 0 | -33.46M | -1.44M | -21.61M | -178.37M | 0 | -32.54M | -13.69M | -4.53M | -3.87M | -46.93M | -31.46M | -111.04M | 7.67M | 70.44M | 196.64M | 4.87M | 0 | -50.68M | -38.2M | -23.31M | -97.75M | -90.7M | -15.5M | 600K |
| Dividends Paid | -81.3M | -79.69M | -78.4M | -77.39M | -76.44M | -75.18M | -75.37M | -69.88M | -54.7M | -60.89M | -62.14M | -62.16M | -61.57M | -60.85M | -59.66M | -60.27M | -60.73M | -60.89M | -63.45M | -60.11M | -46.49M | -41.45M | -3.65M | -3.65M | -4.61M | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | -4.74M | -3.45M | -3.05M | 0 | -33.46M | -1.44M | -21.61M | -178.37M | 0 | -31.23M | -14.14M | -8.48M | -4M | -46.93M | -32.19M | -111.07M | -16.7M | 0 | 0 | 0 | -54.61M | -54.61M | -45.68M | -40.67M | -98.76M | -93M | -19.8M | 0 |
| Other Financing | -32.98M | -21.25M | -14.18M | -4.92M | -16.56M | -12.83M | -9.44M | -6.5M | -10.18M | -6.64M | -7.39M | -7.8M | -2.85M | -1.96M | 9.75M | -100K | -1.3M | -104K | -981K | -1.07M | -3.75M | 77.72M | 209.66M | -35.79M | -35.19M | 0 | 0 | -41M | 0 | 22.4M |
| Net Change in Cash | -197.94M | 204.52M | -9.1M | -22.96M | -115.57M | 95.79M | -190.13M | 63.43M | -49.87M | -35.45M | 70.66M | 85.25M | -204.33M | 106.17M | 120.69M | -104.95M | 33.33M | 26.56M | -172.41M | 291.84M | 8.01M | 19.32M | -13.34M | -51.54M | 48.15M | -31.39M | 13M | -29.1M | -105.7M | 56.7M |
| Free Cash Flow | 80.27M | 264.37M | -140.65M | -65.23M | -8.32M | 154.26M | -24.33M | 125.76M | 49.21M | 214.69M | 136.44M | 168.11M | -49.35M | 203.68M | 161.61M | 15.09M | 104.66M | 63.41M | 69.36M | 271.23M | -17.86M | -192.88M | -160.25M | 59.59M | 100.05M | 117M | 263.2M | 36.7M | -60.3M | 112.2M |
| FCF Margin % | 2.74% | 8.97% | -5.12% | -2.54% | -0.4% | 7.78% | -1.27% | 5.65% | 2.42% | 10.37% | 6.43% | 7.4% | -1.94% | 8.27% | 6.6% | 0.59% | 4.2% | 2.48% | 3.23% | 13.51% | -0.51% | -5.89% | -6.08% | 2.38% | 3.32% | 3.44% | 6.57% | 0.86% | -1.47% | 3.14% |
| FCF Growth % | -69.64% | 287.97% | -115.61% | -683.93% | -105.39% | 734.03% | -119.35% | 155.57% | -77.08% | 57.35% | -18.84% | 440.64% | -124.23% | 26.03% | 971.06% | -85.58% | 65.05% | -8.58% | -74.43% | 1619% | 90.74% | -20.36% | -368.91% | -40.44% | -14.48% | -55.55% | 617.17% | 160.86% | -153.74% | 372.33% |
| FCF per Share | 3.19 | 10.52 | -5.62 | -2.62 | -0.33 | 6.22 | -0.97 | 4.96 | 1.93 | 9.03 | 4.90 | 5.96 | -1.74 | 7.15 | 5.70 | 0.63 | 3.53 | 2.08 | 2.16 | 10.41 | -0.69 | -7.50 | -6.23 | 2.23 | 3.62 | 3.87 | 7.86 | 1.04 | -1.72 | 3.20 |
| FCF Conversion (FCF/Net Income) | 3.96x | 3.44x | -0.62x | -0.09x | 0.52x | 2.52x | 0.15x | 1.58x | 0.79x | 2.35x | 1.68x | 1.98x | -0.02x | 1.77x | 2.17x | 0.35x | 0.96x | 0.75x | 0.81x | 6.68x | 7.10x | -0.91x | -0.41x | 1.54x | 1.43x | 1.56x | 2.61x | 0.94x | -0.01x | 2.04x |
| Interest Paid | 0 | 0 | 61.08M | 49.88M | 27.11M | 24.2M | 19.38M | 16.46M | 15.62M | 16.28M | 15.7M | 19.18M | 25.12M | 22.03M | 20.46M | 23.62M | 24.96M | 35.46M | 43.61M | 0 | 0 | 58.64M | 0 | 45.81M | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 38.08M | 49.07M | 33.01M | 36.44M | 30.98M | 44.86M | 58.34M | 37.29M | 38.73M | 46.04M | 65.51M | 35.91M | 51.63M | 79.72M | 82.93M | 40.18M | 48.83M | 0 | 0 | 67.2M | 0 | 62.59M | 0 | 0 | 0 | 0 | 0 | 0 |
Seasonal working capital volatility
Based on reported financial statements, the relationship between net income and operating cash flow is highly erratic, as evidenced by the extreme OCF/NI ratio of -480.34 in 2025Q1, which suggests that accounting earnings provide a poor proxy for the company's actual cash-generating capacity during seasonal cycles.
The significant divergence between net income and operating cash flow indicates that non-cash items and working capital swings dominate the bottom line. Investors should monitor this disconnect, as it implies that reported profitability may be disconnected from the underlying cash reality of the leaf merchant business.
As reported in recent filings, working capital changes are the primary driver of cash flow volatility, with a massive $226.8 million outflow in 2026Q1 followed by a $126.8 million inflow in 2026Q4, highlighting the intense liquidity demands inherent in financing global tobacco crop procurement cycles.
The company's cash position is heavily tethered to the timing of harvest and inventory liquidation, which creates recurring periods of significant cash burn. This cyclicality necessitates careful management of revolving credit facilities to ensure that liquidity remains sufficient during the peak procurement phases of the year.
According to the provided data, free cash flow margins have fluctuated wildly from a negative 36.6% in 2026Q1 to a positive 25.0% in 2026Q4, illustrating that the company's ability to generate sustainable free cash flow is highly dependent on the timing of seasonal inventory turnover.
The lack of a consistent free cash flow trajectory suggests that the business model remains vulnerable to timing mismatches between cash outflows for inventory and cash inflows from customers. This inconsistency complicates the assessment of the company's long-term ability to fund its dividend and strategic growth initiatives.
Based on the reported figures, capital expenditures have remained relatively stable, with CapEx/Revenue ratios consistently hovering between 1.1% and 3.8% over the last ten quarters, suggesting that the company's core processing infrastructure does not require aggressive, ongoing reinvestment to maintain its current operational capacity.
The relatively low capital intensity indicates that the company's primary financial burden is working capital rather than fixed asset replacement. This allows for a degree of flexibility in capital allocation, provided that the seasonal inventory financing requirements do not overwhelm the company's available liquidity.
As indicated by the financial statements, the company has maintained consistent dividend payments of approximately $20 million per quarter despite significant fluctuations in operating cash flow, which suggests a rigid capital allocation policy that may prioritize shareholder returns over the flexibility needed for operational pivots.
The persistence of dividend payments during periods of negative free cash flow warrants further investigation into the sustainability of this policy. Investors should consider whether this commitment limits the company's capacity to invest in the Ingredients segment or respond to potential supply chain disruptions.
Quick answers to the most common questions about buying UVV stock.
Universal Corporation (UVV) generated $129.1M in net cash from operating activities in 2026. This reflects the cash generated directly from core business operations.
Universal Corporation (UVV) generated $80.3M in free cash flow in 2026. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Universal Corporation (UVV) spent $48.8M on capital expenditures in 2026. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2026, Universal Corporation (UVV) returned $81.3M to shareholders via cash dividends. This shows the company's commitment to returning capital to its equity investors.