Free cash flow remains deeply negative, with a margin of -192.8% in 2024Q4, highlighting a persistent inability to convert operations into cash despite capital expenditures consuming up to 68.8% of revenue in the same period.
| Cash from Operations | -6.8M | -6.88M | -6.97M | -6.93M | -4.15M | -1.95M | 640.25K | -152.26K |
| Operating CF Margin % | - | -46.42% | -48.47% | -20.75% | -12.96% | -12.35% | 5.79% | -1.46% |
| Operating CF Growth % | -35.24% | 1.36% | -0.56% | -67.26% | -112.89% | -404.18% | 520.5% | - |
| Net Income | -9.09M | 0 | -14.01M | -7.19M | -5.79M | -1.01M | 1.17M | -326.69K |
| Depreciation & Amortization | 2.09M | 0 | 1.75M | 1.35M | 553.75K | 198.52K | 462.87K | 115.06K |
| Stock-Based Compensation | 262.46K | 0 | 1.18M | 1.9M | 1.45M | 309.83K | 0 | 0 |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 941.03K | -5.48M | 1.98M | -1.78M | 591.21K | 83.49K | -628.83K | 0 |
| Working Capital Changes | -1M | -1.4M | 2.14M | -1.22M | -946.33K | -1.53M | -364.87K | 59.38K |
| Change in Receivables | -384.46K | 0 | 80.16K | -65.99K | -9.03K | -5.14K | -3.27K | 74.45K |
| Change in Inventory | -417.12K | -66.67K | 2.7M | -1.3M | -2.21M | -913.51K | -232.52K | 163.06K |
| Change in Payables | 1.72K | -1.1M | -183.95K | 333.35K | 864.82K | 401.58K | -64.36K | -103.19K |
| Cash from Investing | -909.52K | -1.59M | -1.86M | -6.63M | -195.6K | -8.04M | -200.45K | -675.74K |
| Capital Expenditures | -1.44M | 0 | -6.34M | -5.16M | -3.37M | -1.94M | -525.2K | -675.74K |
| CapEx % of Revenue | 9.47% | 14.56% | 44.07% | 15.44% | 10.52% | 12.3% | 4.75% | 6.48% |
| Acquisitions | 0 | 0 | 0 | 0 | 175K | 0 | 349.74K | 0 |
| Investments | - | - | - | - | - | - | - | - |
| Other Investing | 527.48K | -1.59M | 17.14K | -18.9K | -3.01M | 0 | -25K | 0 |
| Cash from Financing | 8.26M | 2.41M | -213.74K | 6.82M | 20.87M | 16.07M | 236.44K | 1.02M |
| Debt Issued (Net) | -65.95K | -115.45K | -213.74K | -90.15K | 0 | 608.22K | 165.99K | -117.53K |
| Equity Issued (Net) | 8.36M | 2.56M | 0 | 6.91M | 20.94M | 15.75M | 262.16K | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | -21.38K | 0 | 0 | 0 | 0 |
| Other Financing | -30K | -30K | 0 | 0 | -69.48K | -286.47K | -191.71K | 1.14M |
| Net Change in Cash | 546.37K | -6.06M | -9.05M | -6.75M | 16.53M | 6.08M | 676.24K | 191.82K |
| Free Cash Flow | -8.24M | -9.04M | -13.32M | -12.1M | -7.51M | -3.89M | 115.06K | -828K |
| FCF Margin % | -54.31% | -60.97% | -92.54% | -36.19% | -23.48% | -24.65% | 1.04% | -7.94% |
| FCF Growth % | 32.12% | 32.14% | -10.07% | -61.05% | -93.19% | -3479.4% | 113.9% | - |
| FCF per Share | -50.89 | -169.87 | -491.09 | -47.02 | -36.45 | -20.55 | 0.57 | -4.11 |
| FCF Conversion (FCF/Net Income) | 0.91x | 0.80x | 0.63x | 0.96x | 0.81x | 1.93x | 0.55x | 0.47x |
| Interest Paid | 100.96K | 0 | 0 | 0 | 0 | 165.19K | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Imminent liquidity and solvency risk
As reported in financial statements, VEEE consistently records negative net income alongside operating cash flow deficits, with the OCF/NI ratio fluctuating wildly, suggesting that the company's accrual-based losses are being compounded by a fundamental inability to generate cash from its core manufacturing operations.
The lack of a stable relationship between net income and operating cash flow indicates that the company is not merely suffering from accounting-based non-cash charges, but from a structural cash burn. Investors should monitor the fact that even when net losses appear to narrow, the cash outflow remains significant, implying that the business model requires constant external capital to sustain its current scale.
Based on recent SEC filings, VEEE's free cash flow margins remain deeply negative, reaching a low of -192.8% in 2024Q4, which highlights a trajectory of sustained cash depletion that shows no signs of stabilizing as the company attempts to fund its electric boat initiatives.
The persistent negative FCF margin suggests that the company's capital requirements for its electric propulsion pivot are far exceeding the cash-generating capacity of its legacy gas-powered boat business. This trajectory appears unsustainable without a fundamental shift in either operational efficiency or a significant reduction in R&D-related cash outflows.
According to the company's reported figures, capital expenditures as a percentage of revenue have been highly volatile, peaking at 68.8% in 2024Q4, which indicates that the firm is aggressively reinvesting in assets despite failing to achieve the necessary scale to justify such high capital intensity.
The high ratio of CapEx to revenue suggests that the company is attempting to build out manufacturing or R&D infrastructure that its current revenue base cannot support. This level of capital intensity is particularly concerning given the company's thin gross margins and the lack of clear evidence that these investments are translating into competitive advantages.
As evidenced by quarterly data, working capital changes have swung from a $2.1 million inflow in 2023Q4 to a $950.4K outflow in 2025Q3, reflecting erratic inventory management and collection cycles that complicate the company's ability to maintain a predictable cash position.
The volatility in working capital suggests that the company may be struggling to manage its dealer inventory levels effectively, potentially leading to periods of cash-heavy inventory accumulation. This instability in the cash conversion cycle warrants further investigation into whether the company is forced to offer extended payment terms to move its product in a cooling market.
Quick answers to the most common questions about buying VEEE stock.
Twin Vee Powercats Co. (VEEE) generated $-6.9M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Twin Vee Powercats Co. (VEEE) reported negative free cash flow of $9.0M in 2025, indicating capital requirements exceeded cash from operations.
Twin Vee Powercats Co. (VEEE) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.