Operating cash flow conversion is strong with a 1.57 OCF/Net Income ratio in 2027Q1, but the 19.4% FCF margin appears artificially elevated due to $0 capital expenditures, masking typical quarterly CapEx needs of $12-16M.
Worthington Industries, Inc. (WOR) cash flow statement — 30-year operating, investing & financing cash flows
| Metric | TTM | May'26 | May'25 | May'24 | May'23 | May'22 | May'21 | May'20 | May'19 | May'18 | May'17 | May'16 | May'15 | May'14 | May'13 | May'12 | May'11 | May'10 | May'09 | May'08 | May'07 | May'06 | May'05 | May'04 | May'03 | May'02 | May'01 | May'00 | May'99 | May'98 | May'97 |
|---|
| Cash from Operations | 251.79M | 226.12M | 209.74M | 289.98M | 625.36M | 70.11M | 274.38M | 336.73M | 197.86M | 281.35M | 335.67M | 413.38M | 214.38M | 229.05M | 272.98M | 173.65M | 71.89M | 110.42M | 271.15M | 180.52M | 180.43M | 227.07M | 32.27M | 79.37M | 180.72M | 135.26M | 321.45M | 138.91M | 103.7M | 200.9M | 78.4M |
| Operating CF Margin % | - | 16.37% | 18.18% | 23.28% | 44.09% | 1.34% | 8.65% | 11.01% | 5.26% | 7.86% | 11.14% | 14.66% | 6.33% | 7.33% | 10.45% | 6.85% | 2.94% | 5.68% | 10.3% | 5.89% | 6.07% | 7.84% | 1.05% | 3.34% | 8.14% | 7.75% | 17.6% | 7.08% | 5.88% | 12.37% | 4.1% |
| Operating CF Growth % | 90.68% | 7.81% | -27.67% | -53.63% | 791.95% | -74.45% | -18.52% | 70.18% | -29.67% | -16.18% | -18.8% | 92.83% | -6.41% | -16.09% | 57.2% | 141.53% | -34.89% | -59.28% | 50.2% | 0.05% | -20.54% | 603.62% | -59.34% | -56.08% | 33.61% | -57.92% | 131.41% | 33.95% | -48.38% | 156.25% | -43.35% |
| Net Income | 163.51M | 154.74M | 94.97M | 117.82M | 269.17M | 399.26M | 741.45M | 84.44M | 163.27M | 200.85M | 217.94M | 157.63M | 87.26M | 160.15M | 136.84M | 125.35M | 124.03M | 45.24M | -108.21M | 107.08M | 113.91M | 145.99M | 179.41M | 86.75M | 75.18M | 6.5M | 35.56M | 94.15M | 62.7M | 99.6M | 93.3M |
| Depreciation & Amortization | 59.81M | 57.27M | 48.26M | 80.7M | 112.8M | 98.83M | 87.65M | 92.68M | 95.6M | 103.36M | 86.79M | 84.7M | 85.09M | 79.73M | 66.47M | 55.87M | 61.06M | 64.65M | 64.07M | 63.41M | 61.47M | 59.12M | 57.87M | 67.3M | 69.42M | 68.89M | 70.58M | 71M | 78.5M | 61.5M | 51.4M |
| Stock-Based Compensation | 14.3M | 13.73M | 16.19M | 16.69M | 19.18M | 16.1M | 19.13M | 11.88M | 11.73M | 13.76M | 14.35M | 15.84M | 17.92M | 22.02M | 13.27M | 11.74M | 6.17M | 4.57M | 5.77M | 4.17M | 3.48M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 8.51M | 8.44M | -18.44M | 2.76M | -15.53M | 19.18M | 4.82M | -1.31M | 17.43M | -38.24M | 18.44M | 7.35M | -39.96M | -25.92M | 1.8M | 775K | 7.48M | -6.11M | -25.48M | -3.23M | -3.07M | -12.64M | -1.5M | -22.51M | 16.41M | -16.72M | 9.08M | -16.34M | -18.1M | 22.1M | 3.3M |
| Other Non-Cash Items | 1.62M | 10.28M | 68.02M | 81.33M | 80.12M | -125.7M | -599.68M | 90.35M | 8.76M | 37.34M | 197K | -23.04M | 84.19M | 11.85M | -7.74M | -6.82M | -35.04M | 27.21M | 128.26M | 5.32M | 72.38M | -26.61M | -8.14M | 42.09M | 16.42M | 77.54M | -2.1M | 24.51M | 200K | -36.1M | -9.6M |
| Working Capital Changes | 5.06M | -18.34M | 748K | -9.33M | 159.63M | -337.56M | 21M | 58.68M | -98.95M | -35.73M | -2.05M | 170.91M | -20.11M | -18.79M | 62.34M | -13.27M | -91.81M | -25.15M | 206.74M | 3.77M | -67.73M | 48.34M | -195.38M | -94.27M | 3.29M | -950K | 208.33M | -34.41M | -39.8M | 35M | -60M |
| Change in Receivables | 35.5M | 7.71M | -22.26M | 50.08M | 150.24M | -151.33M | -220.58M | 147.22M | 73.35M | -53.07M | -39.93M | 66.12M | 32.01M | -49.21M | 18.8M | 956K | 0 | -114.89M | 226.69M | 6.97M | 8.31M | 11.62M | -50.66M | 0 | 60.01M | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | -11.03M | -11.56M | 11.5M | 63.6M | 160.12M | -118.49M | -169.74M | 62.13M | -33.65M | -84.65M | -34.6M | 66.35M | 54.11M | -38.01M | 77.11M | 17.31M | -24.26M | -64.5M | 329.89M | -144.47M | 19.59M | -33.79M | -59.24M | -94.07M | -13.68M | 7.56M | 63.89M | -29.11M | -5M | 8M | -70.3M |
| Change in Payables | 6.89M | 3.82M | 619K | -65.4M | -150.4M | 12.23M | 315.22M | -142.68M | -116.88M | 105.98M | 67.49M | 20.18M | -83.19M | 69.68M | -47.48M | -45.85M | 0 | 125.61M | -321.8M | 138.82M | -99.28M | 79.11M | -72.93M | 0 | -49.51M | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -268.75M | -360.07M | -135.1M | -140.81M | -71.78M | -438.19M | 468.51M | -116.22M | 11.47M | -337.4M | -62.96M | -127.04M | -203.07M | -46.19M | -201.98M | -188.6M | -39.28M | -81.95M | -70.06M | -70.76M | -95.57M | -37.68M | -23.45M | -24.43M | -111.86M | -49.64M | -63.91M | -69.98M | 57.2M | -270.7M | -248.3M |
| Capital Expenditures | -42.72M | 0 | -50.58M | -83.53M | -86.37M | -94.6M | -82.18M | -95.5M | -84.5M | -76.09M | -68.39M | -97.04M | -96.25M | -71.34M | -44.59M | -31.71M | -22.02M | -34.32M | -64.15M | -47.52M | -57.69M | -76.56M | -46.32M | -29.6M | -24.97M | -39.1M | -62.9M | -71.54M | -141.9M | -309.4M | -172.9M |
| CapEx % of Revenue | 3.01% | 1.86% | 4.38% | 6.71% | 6.09% | 1.8% | 2.59% | 3.12% | 2.25% | 2.12% | 2.27% | 3.44% | 2.84% | 2.28% | 1.71% | 1.25% | 0.9% | 1.77% | 2.44% | 1.55% | 1.94% | 2.64% | 1.5% | 1.24% | 1.12% | 2.24% | 3.44% | 3.65% | 8.05% | 19.05% | 9.04% |
| Acquisitions | -214.31M | -304.15M | -95.02M | -42.03M | -20.29M | -383.52M | -129.62M | -30.75M | -10.4M | -285.03M | 5.42M | -39.8M | -113.52M | -11.52M | -175.22M | -239.85M | -31.7M | -63.58M | -12.79M | -2.23M | -31.73M | 37.83M | -65.12M | 0 | -114.7M | 0 | -2.04M | -1.11M | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -11.62M | -55.92M | 13.46M | -12.95M | -142K | 39.94M | 45.85M | 10.04M | 106.38M | 23.71M | 5.42M | 9.8M | 6.71M | 36.66M | 17.84M | 82.97M | 26.77M | 15.95M | 6.88M | 1.02M | 17.24M | 3.23M | 87.99M | 5.17M | 27.81M | -10.54M | 1.03M | 2.67M | 199.1M | 38.7M | -70M |
| Cash from Financing | -95.09M | -88.4M | -68.79M | -359.89M | -133.13M | -237.75M | -249.78M | -165.68M | -238.94M | -100.05M | -78.81M | -233.22M | -170.32M | -44.16M | -60.64M | -192K | -35.47M | -25.77M | -218.53M | -74.27M | -102.8M | -190.42M | 46.45M | -54.1M | -68.22M | -85.31M | -257.88M | -76.04M | -157.1M | 66.4M | 159.5M |
| Debt Issued (Net) | -1.97M | -1.85M | 0 | -221.7M | -51.87M | -565K | -622K | -53.45M | -1.39M | 165.61M | -3.4M | -85.78M | -72.28M | 142.73M | -19.93M | 103.16M | 132.96M | 7.95M | -149.63M | 103.8M | 23.96M | -135.73M | 97.03M | -2.38M | -13.49M | -29.39M | -194.98M | 32.32M | -19.1M | 84.1M | 192.2M |
| Equity Issued (Net) | -55.4M | -49.66M | -34.89M | -11.4M | -1.78M | -186.53M | -185.47M | -57.48M | -174.48M | -206.39M | -9.07M | -91.14M | -124.45M | -128.22M | 7.5M | -62.3M | -127.94M | 2.31M | -8.5M | -112.61M | -66.75M | 9.14M | 0 | 10.64M | 5.42M | 1.63M | -3.41M | -58.98M | -93.1M | -1.4M | 2.8M |
| Dividends Paid | -37.72M | -36.89M | -33.9M | -56.82M | -59.24M | -57.22M | -52.99M | -53.29M | -52.33M | -51.36M | -50.72M | -47.19M | -46.43M | -31.2M | -44.14M | -32.14M | -41.16M | -36.2M | -53.69M | -55.59M | -59.02M | -59.98M | -56.89M | -55.17M | -54.87M | -54.66M | -54.82M | -53.16M | -52.4M | -50.3M | -44.3M |
| Share Repurchases | -57.93M | -43.71M | -34.89M | -11.4M | -1.78M | -186.53M | -192.05M | -57.48M | -174.48M | -206.39M | -9.07M | -99.85M | -127.36M | -128.22M | -30.42M | -73.42M | -132.76M | 0 | -12.4M | -125.78M | -76.62M | 0 | 0 | 0 | 0 | 0 | -3.41M | -63M | -94.4M | -4.4M | -1.2M |
| Other Financing | -1K | 0 | 0 | -69.97M | -20.23M | 6.57M | -10.69M | -1.45M | -10.73M | -7.92M | -15.62M | -9.11M | 72.85M | -27.47M | -4.07M | -8.92M | -10.32M | -4.37M | -6.72M | -9.87M | -990K | -3.84M | 6.31M | -7.2M | -5.28M | -2.9M | -4.68M | 3.79M | 7.5M | 34M | 8.8M |
| Net Change in Cash | -112.06M | -222.35M | 5.85M | -210.72M | 420.46M | -605.83M | 493.11M | 54.84M | -29.6M | -156.11M | 193.89M | 53.12M | -159.01M | 138.69M | 10.36M | -15.14M | -2.85M | 2.7M | -17.45M | 35.49M | -17.94M | -1.03M | 55.27M | 838K | 643K | 302K | -344K | -7.1M | 3.8M | -3.4M | -10.4M |
| Free Cash Flow | 235.74M | 251.75M | 159.16M | 206.45M | 539M | -24.49M | 192.2M | 241.22M | 113.36M | 205.26M | 267.29M | 316.35M | 118.12M | 157.71M | 228.39M | 141.94M | 49.87M | 76.1M | 206.99M | 133M | 122.74M | 150.5M | -14.05M | 49.77M | 155.75M | 96.16M | 258.55M | 67.37M | -38.2M | -108.5M | -94.5M |
| FCF Margin % | 16.58% | 18.23% | 13.8% | 16.57% | 38% | -0.47% | 6.06% | 7.89% | 3.02% | 5.73% | 8.87% | 11.22% | 3.49% | 5.04% | 8.74% | 5.6% | 2.04% | 3.92% | 7.87% | 4.34% | 4.13% | 5.19% | -0.46% | 2.09% | 7.02% | 5.51% | 14.16% | 3.43% | -2.17% | -6.68% | -4.94% |
| FCF Growth % | 51.59% | 58.17% | -22.9% | -61.7% | 2301.07% | -112.74% | -20.32% | 112.79% | -44.77% | -23.21% | -15.51% | 167.82% | -25.1% | -30.95% | 60.91% | 184.61% | -34.47% | -63.24% | 55.63% | 8.36% | -18.45% | 1171.42% | -128.22% | -68.05% | 61.98% | -62.81% | 283.79% | 276.36% | 64.79% | -14.81% | -421.43% |
| FCF per Share | 4.79 | 5.13 | 3.17 | 4.10 | 10.91 | -0.48 | 3.56 | 4.31 | 1.93 | 3.26 | 4.12 | 4.89 | 1.72 | 2.20 | 3.20 | 2.02 | 0.66 | 0.96 | 2.62 | 1.62 | 1.41 | 1.69 | -0.16 | 0.57 | 1.80 | 1.12 | 3.02 | 0.76 | -0.41 | -1.12 | -0.97 |
| FCF Conversion (FCF/Net Income) | 1.44x | 1.45x | 2.18x | 2.62x | 2.44x | 0.18x | 0.38x | 4.27x | 1.29x | 1.44x | 1.64x | 2.88x | 2.79x | 1.51x | 2.00x | 1.50x | 0.62x | 2.44x | -2.51x | 1.69x | 1.58x | 1.56x | 0.18x | 0.91x | 2.40x | 20.80x | 9.04x | 1.48x | 1.89x | 1.70x | 0.84x |
| Interest Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 34.84M | 29.83M | 30.43M | 36.19M | 24.2M | 22.61M | 18.28M | 17.36M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 44.82M | 55.65M | 50.75M | 67.83M | 82M | 64.26M | 46.45M | 53.19M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Quick answers to the most common questions about buying WOR stock.
Worthington Industries, Inc. (WOR) generated $226.1M in net cash from operating activities in 2026. This reflects the cash generated directly from core business operations.
Worthington Industries, Inc. (WOR) generated $251.7M 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.
Worthington Industries, Inc. (WOR) spent $0.0M 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, Worthington Industries, Inc. (WOR) returned $36.9M to shareholders via cash dividends and spent $43.7M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
Cyclical Working Capital Volatility
Metrics are mathematically derived from official filings.
Strong Cash Conversion Amidst Earnings Noise
According to recent SEC filings, WOR's operating cash flow exceeded net income by 57% in 2027Q1, with an OCF/NI ratio of 1.57, highlighting a persistent quality of earnings gap that suggests non-cash charges or working capital efficiencies are boosting cash flow beyond net profit.
The company's cash conversion quality has been remarkably strong, with OCF consistently surpassing net income across most quarters, indicating that accounting profits are translating into hard cash. However, the extreme volatility in the OCF/NI ratio (from 1.17 to 16.10) implies that the underlying drivers—such as non-cash adjustments or working capital timing—can swing dramatically quarter-to-quarter, warranting close scrutiny of the cash flow statement's composition.
FCF Trajectory Volatile Yet Structurally Strong
As reported in financial statements, WOR's free cash flow margin reached a cycle high of 23.1% in 2026Q3 and remains robust at 19.4% in 2027Q1, suggesting that despite cyclical revenue pressures, the company's core operations generate substantial cash relative to its sales.
The FCF margin has been on an upward trajectory, expanding from 10.6% in 2024Q4 to 19.4% in 2027Q1, driven by both improved operating cash generation and intermittent capital discipline. This trend indicates that Worthington's business model is capable of high cash yields during cyclical upswings, but the sharp quarterly fluctuations (e.g., a drop to 9.2% in 2026Q1) reveal that free cash flow is not immune to the industry's inherent volatility and working capital swings.
Discretionary CapEx Pause Inflates Near-Term FCF
Based on recent financial disclosures, WOR reported zero capital expenditures in 2027Q1, a stark departure from its typical quarterly spend of $12-16 million, which artificially boosted free cash flow and raises questions about deferred maintenance or growth investments.
The company's capital intensity has been moderate, with a CapEx/Revenue ratio averaging around 4% over the past two years, but the complete halt in spending in the most recent quarter is anomalous. This pause may be a tactical cash preservation move or reflect a temporary lull in project timing, but if sustained, it could signal underinvestment in the asset base necessary for future production capacity.
Working Capital Swings Dominate OCF Volatility
In 2026Q3, a $10.1 million use of cash from working capital, as reported in the cash flow statement, significantly dampened operating cash flow despite solid net income, underscoring how inventory and receivables management are primary drivers of quarter-to-quarter cash flow variability.
Working capital changes have been erratic, ranging from a $16.5 million use in 2024Q4 to a $7.5 million source in 2026Q4, creating significant noise in the underlying operating cash flow trend. This volatility suggests that the company's cash conversion cycle is sensitive to both customer payment patterns and inventory positioning within the metal fabrication supply chain, making it a critical metric for assessing near-term liquidity.
Balanced Capital Returns Amid Acquisition Push
According to recent cash flow statements, WOR has consistently returned cash via dividends (averaging $8.8M per quarter) and share repurchases (averaging $11.4M per quarter) while also funding acquisitions, such as the $212.2M deal in 2026Q3, indicating a dual focus on shareholder returns and inorganic growth.
The company's deployment strategy reveals a clear pattern: prioritizing steady dividends and share buybacks while making larger, episodic acquisitions that consume significant free cash flow. The net acquisition outflow of $212.2 million in 2026Q3, for example, was partially funded by working capital releases, suggesting that management is leveraging strong cash conversion periods to pursue strategic expansion without over-leveraging the balance sheet.
Cash Flow Adjustments Mask True Economics
Based on reported filings, WOR's stock-based compensation averaged $3.7M per quarter over the last ten periods, adding back to operating cash flow and inflating it by roughly 8% relative to net income, a factor that must be considered when assessing cash generation quality.
The cash flow statement adds back non-cash expenses like stock-based compensation, which can overstate operating cash generation if not adjusted for. Additionally, the complete absence of capital expenditures in 2027Q1 may mask underlying maintenance needs, as the company's D&A of $15.6M suggests ongoing asset consumption that typically requires replacement spending.