Free cash flow remains volatile, evidenced by a swing from a negative 5.3% margin in 2024Q4 to a 35.1% peak in 2025Q3, complicating the sustainability of aggressive share repurchases like the $120.8 million buyback in 2025Q1.
| 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 |
|---|
| Cash from Operations | 189.15M | 153.06M | 157.61M | 121.6M | 76.24M | 48.88M | 65.53M | 38.58M | 38.77M | 27.05M | 22.17M | 13.05M | 14.37M | 10.91M |
| Operating CF Margin % | - | 21.97% | 25.19% | 26.43% | 21.32% | 17.3% | 26.34% | 19.32% | 25.31% | 20.29% | 21.45% | 16.73% | 21.3% | 18.49% |
| Operating CF Growth % | 693.71% | -2.88% | 29.61% | 59.5% | 55.98% | -25.41% | 69.84% | -0.48% | 43.33% | 22.03% | 69.89% | -9.21% | 31.76% | - |
| Net Income | 111.88M | 174.27M | 108.72M | 70.17M | 52.95M | 42.66M | 23.31M | 20.48M | 21.72M | 27.3M | 15.43M | 10.11M | 8.99M | 7.53M |
| Depreciation & Amortization | 26.47M | 25.07M | 19.49M | 13.24M | 10.9M | 7.94M | 7.52M | 5.48M | 4.31M | 3.38M | 3.01M | 2.68M | 2.9M | 3.03M |
| Stock-Based Compensation | 17.11M | 24.88M | 22.06M | 15.56M | 4.2M | 9.63M | 8.56M | 6.97M | 3.73M | 1.85M | 1.23M | 1.16M | 960K | 748K |
| Deferred Taxes | 22.68M | 35.87M | -1.81M | -1.55M | -3.25M | 2.95M | -4K | -426K | -1.05M | -3.5M | -714K | -1.05M | -1.53M | -917K |
| Other Non-Cash Items | 19.78M | -91.59M | 1.11M | 2.14M | 3.92M | -2.1M | 12.14M | 1.59M | 1.98M | 292K | -726K | -463K | -659K | -326K |
| Working Capital Changes | -8.77M | -15.42M | 8.04M | 22.04M | 7.53M | -12.21M | 14.01M | 4.49M | 8.08M | -2.27M | 3.93M | 613K | 3.71M | 841K |
| Change in Receivables | -5.07M | -1.16M | -7.25M | -2.95M | -2.47M | -2.13M | 246K | 496K | -1.2M | -1.37M | 205K | -1M | -616K | -152K |
| Change in Inventory | 0 | 0 | 0 | 669K | 0 | 0 | 0 | 475K | -349K | -670K | 32K | -2K | -806K | -1.73M |
| Change in Payables | -4.25M | 3.36M | 2.93M | 10.63M | 5.1M | -268K | 1.51M | 3.09M | 7M | -876K | 3.65M | 1.17M | 2.68M | 1.48M |
| Cash from Investing | -75.68M | -17.46M | -62.48M | -52.15M | -28.68M | -29.85M | -7.99M | -23.73M | -10.5M | -6.48M | -2.06M | -1.92M | -363K | -2.14M |
| Capital Expenditures | -57.14M | -47.44M | -51.93M | -40.83M | -23.94M | -28.02M | -6.05M | -22.49M | -3.98M | -2.54M | -2.06M | -1.92M | -1.51M | -2.15M |
| CapEx % of Revenue | 8.05% | 6.81% | 8.3% | 8.88% | 6.7% | 9.92% | 2.43% | 11.26% | 2.6% | 1.9% | 1.99% | 2.46% | 2.24% | 3.64% |
| Acquisitions | -9.31M | -1.2M | -10.05M | -10.83M | -7.81M | -4.88M | -6.74M | -1.25M | -6.52M | -3.95M | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -9.22M | 15.97M | 0 | 320K | 4.06M | 7.21M | 4.8M | 0 | 0 | -3.95M | 0 | 0 | 1.15M | 2K |
| Cash from Financing | -221.79M | -266.73M | 144.76M | -155.49M | 103.25M | -23.39M | -19.45M | -14.62M | -13.72M | -20.25M | -27.05M | -10.16M | -7.46M | -9.84M |
| Debt Issued (Net) | 0 | 0 | 500M | -3.65M | 246.97M | -2.4M | 162.4M | -2.4M | 186.25M | -17.5M | 55.75M | 1.78M | -8.78M | 30.5M |
| Equity Issued (Net) | -100.58M | -220.49M | -314.66M | -125.4M | -315K | 0 | 0 | 689K | -183K | 0 | 0 | 34.99M | 0 | 0 |
| Dividends Paid | -32.84M | -32.38M | -28.87M | -24.91M | -141.28M | -19.82M | -163.79M | -11.74M | -190.74M | -4.07M | -83.27M | -48M | 0 | -38.53M |
| Share Repurchases | -179.6M | -221.86M | -314.66M | -125.4M | -315K | 0 | 0 | 0 | -183K | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -88.38M | -13.86M | -11.7M | -1.53M | -2.13M | -1.17M | -18.06M | -1.15M | -9.05M | 1.32M | 468K | 1.06M | 1.32M | -1.81M |
| Net Change in Cash | -113.82M | -131.12M | 239.9M | -86.04M | 150.81M | -4.36M | 38.09M | 235K | 14.55M | 313K | -6.94M | 967K | 6.55M | -1.08M |
| Free Cash Flow | 132.01M | 105.62M | 105.68M | 80.77M | 52.3M | 20.86M | 59.48M | 16.1M | 34.79M | 24.51M | 20.11M | 11.13M | 12.86M | 8.76M |
| FCF Margin % | 18.61% | 15.16% | 16.89% | 17.56% | 14.63% | 7.38% | 23.9% | 8.06% | 22.71% | 18.39% | 19.46% | 14.28% | 19.07% | 14.85% |
| FCF Growth % | 47.57% | -0.05% | 30.85% | 54.44% | 150.75% | -64.93% | 269.5% | -53.73% | 41.91% | 21.9% | 80.65% | -13.44% | 46.8% | - |
| FCF per Share | 4.78 | 3.76 | 3.60 | 2.71 | 1.75 | 0.70 | 2.00 | 0.54 | 1.18 | 0.83 | 0.69 | 0.40 | 0.45 | 0.30 |
| FCF Conversion (FCF/Net Income) | 1.18x | 0.88x | 1.45x | 1.73x | 1.44x | 1.15x | 2.81x | 1.88x | 1.79x | 1.13x | 1.61x | 1.29x | 1.60x | 1.45x |
| Interest Paid | 0 | 0 | 22.7M | 22.74M | 20.48M | 15.04M | 14.55M | 16.93M | 7.6M | 4.84M | 4.78M | 3.41M | 3.41M | 2.48M |
| Taxes Paid | 0 | 0 | 38.84M | 27.92M | 13.58M | 10.42M | 7.26M | 5.41M | 2.95M | 10.1M | 7.23M | 5.36M | 6.16M | 4.66M |
Aggressive capital return leverage
As reported in recent financial statements, Wingstop's OCF/NI ratio has exhibited extreme volatility, ranging from a low of 0.25 in 2025Q2 to a high of 2.68 in 2024Q3, suggesting that net income is an unreliable proxy for the company's actual cash-generating capacity on a quarterly basis.
The significant divergence between net income and operating cash flow indicates that non-cash items and working capital swings frequently distort the headline earnings figure. Investors should monitor whether this volatility stems from the timing of franchise fee recognition or underlying operational friction, as the lack of consistent conversion suggests a complex cash profile.
Based on quarterly data, Wingstop's free cash flow trajectory has been inconsistent, with margins swinging from a negative 5.3% in 2024Q4 to a peak of 35.1% in 2025Q3, reflecting the lumpy nature of capital expenditures and working capital requirements inherent in their current expansion phase.
The erratic FCF margins suggest that the company's ability to self-fund its growth is highly sensitive to quarterly operational timing rather than a steady-state cash generation model. This inconsistency warrants further investigation into whether the business can maintain positive free cash flow if unit growth rates begin to normalize.
According to SEC filings, Wingstop experienced a massive working capital outflow of $32.8 million in 2025Q2, which directly contributed to a temporary cash flow crunch, highlighting the sensitivity of the company's liquidity to short-term fluctuations in accounts receivable and accrued liabilities within the franchise system.
These sharp reversals in working capital suggest that the company's cash position is susceptible to the payment cycles of its franchisees. Analysts should interpret these swings as a potential indicator of underlying friction in the royalty collection process or seasonal inventory build-ups that may not be immediately apparent in the income statement.
As evidenced by the $120.8 million share repurchase in 2025Q1 and consistent dividend payments, Wingstop appears to prioritize returning capital to shareholders, even during periods where free cash flow generation is insufficient to cover these outflows, potentially relying on debt or existing cash reserves.
The company's commitment to aggressive buybacks, despite the volatility in quarterly free cash flow, suggests a management preference for financial engineering over maintaining a conservative cash buffer. This strategy may leave the balance sheet vulnerable if the pace of system-wide sales growth faces unexpected headwinds in the coming quarters.
Quick answers to the most common questions about buying WING stock.
Wingstop Inc. (WING) generated $153.1M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Wingstop Inc. (WING) generated $105.6M 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.
Wingstop Inc. (WING) spent $47.4M 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, Wingstop Inc. (WING) returned $32.4M to shareholders via cash dividends and spent $221.9M on share repurchases. This shows the company's commitment to returning capital to its equity investors.