Free cash flow generation remains inconsistent, fluctuating from a peak margin of 16.9% in 2023Q2 to a low of -8.6% in 2024Q4, reflecting ongoing challenges in maintaining stable operational cash conversion.
| Metric | TTM | 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 |
|---|
| Cash from Operations | 363M | 535M | 1.09B | 409M | 1.17B | 2.23B | 1.32B | 1.16B | 1.2B | 1.18B | 1.03B | 1.23B | 973M | 1.21B |
| Operating CF Margin % | - | 5.95% | 11.58% | 4.14% | 10.3% | 19.47% | 12.03% | 10.25% | 13.7% | 13.57% | 11.76% | 13.96% | 11.28% | 14.16% |
| Operating CF Growth % | -178.71% | -51.1% | 167.48% | -65.01% | -47.67% | 68.99% | 14.36% | -3.83% | 2.04% | 14.59% | -16.35% | 26.31% | -19.32% | - |
| Net Income | -3.46B | -190M | 159M | 47M | 787M | 844M | 767M | 882M | 901M | 604M | 628M | 594M | 588M | 624M |
| Depreciation & Amortization | -324M | 351M | 372M | 289M | 429M | 453M | 383M | 316M | 426M | 505M | 495M | 494M | 480M | 464M |
| Stock-Based Compensation | 12M | 20M | 37M | 36M | 44M | 37M | 39M | 46M | 39M | 32M | 31M | 44M | 38M | 34M |
| Deferred Taxes | 175M | 308M | 0 | -61M | 273M | 0 | -97M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Cash Items | 2.87B | 101M | 390M | -51M | -2M | 351M | 344M | 165M | -127M | 90M | 87M | 164M | -52M | 118M |
| Working Capital Changes | -4M | -55M | 136M | 149M | -362M | 549M | -114M | -253M | -37M | -53M | -213M | -67M | -81M | -48M |
| Change in Receivables | -268M | 142M | 38M | 144M | 71M | 229M | -10M | -110M | -127M | 117M | -178M | -96M | -63M | -50M |
| Change in Inventory | 100M | -53M | 184M | 296M | -388M | 115M | 68M | -113M | -43M | -38M | -68M | 20M | -14M | 2M |
| Change in Payables | -129M | 0 | -1M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -257M | -206M | -47M | 638M | -255M | -279M | -407M | -413M | -181M | -221M | -285M | -211M | -270M | -344M |
| Capital Expenditures | 30M | 0 | -182M | -216M | -210M | -218M | -291M | -228M | -152M | -179M | -215M | -183M | -214M | -246M |
| CapEx % of Revenue | 0.35% | 1.92% | 1.93% | 2.18% | 1.85% | 1.9% | 2.65% | 2.02% | 1.73% | 2.06% | 2.46% | 2.08% | 2.48% | 2.89% |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 22M | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -287M | -206M | 135M | 854M | -45M | -61M | -116M | -185M | -51M | -42M | -70M | -28M | -56M | -98M |
| Cash from Financing | 949M | -321M | -1.09B | -1.17B | -1.06B | -1.85B | -894M | -485M | -1.04B | -981M | -760M | -1.08B | -763M | -862M |
| Debt Issued (Net) | 55M | -438M | -598M | 184M | 303M | -549M | -3M | -566M | -116M | -228M | 797M | 800M | 337M | 0 |
| Equity Issued (Net) | 1000K | -1000K | 0 | -1000K | -1000K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Dividends Paid | -133M | -108M | -437M | -1.27B | -963M | -1.18B | -879M | -367M | -866M | -703M | -1.49B | -1.76B | -1B | -1.82B |
| Share Repurchases | -1M | -1M | 0 | -5M | -17M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Financing | 1.03B | 226M | -53M | -74M | -380M | -121M | -12M | 448M | -56M | -50M | -72M | -117M | 592M | 955M |
| Net Change in Cash | 1.06B | -7M | -45M | -152M | -171M | 121M | 19M | 260M | -4M | -33M | -20M | -110M | 413M | -20M |
| Free Cash Flow | -142M | 362M | 912M | 193M | 959M | 2.02B | 1.03B | 928M | 1.05B | 999M | 813M | 1.05B | 759M | 960M |
| FCF Margin % | -1.66% | 4.02% | 9.65% | 1.95% | 8.45% | 17.57% | 9.38% | 8.23% | 11.97% | 11.51% | 9.3% | 11.88% | 8.8% | 11.27% |
| FCF Growth % | -128.86% | -60.31% | 372.54% | -79.87% | -52.43% | 95.54% | 11.1% | -11.62% | 5.11% | 22.88% | -22.28% | 37.81% | -20.94% | - |
| FCF per Share | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| FCF Conversion (FCF/Net Income) | 0.04x | -0.50x | 6.88x | -0.22x | 1.49x | 2.65x | 1.72x | 1.31x | 1.33x | 1.95x | 1.64x | 2.07x | 1.65x | 1.93x |
| Interest Paid | 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 | 0 | 0 | 0 | 0 | 0 |
Secular linear viewership decline
As reported in recent financial filings, the relationship between net income and operating cash flow is highly erratic, with the OCF/NI ratio swinging from -1.10 in 2025Q1 to 1.85 in 2025Q3, signaling significant volatility in the underlying quality of reported earnings.
The extreme variance in the conversion of net income to cash suggests that headline earnings are frequently distorted by non-cash charges or significant accounting adjustments. Investors should monitor whether this disconnect stems from recurring impairment events or shifts in the timing of working capital requirements that mask the true cash-generating capacity of the broadcasting segment.
Based on the provided cash flow data, free cash flow margins have demonstrated extreme instability, ranging from a peak of 16.9% in 2023Q2 to a low of -8.6% in 2024Q4, reflecting the company's struggle to maintain consistent cash generation amidst a shrinking revenue base.
The inability to sustain positive FCF margins suggests that the business model is highly sensitive to seasonal fluctuations and potential inventory-related cash outflows. The recent trend of low single-digit FCF margins in 2025 indicates that the company is operating with very little cushion to absorb further operational shocks or competitive pricing pressure.
According to recent SEC filings, the company's capital intensity remains relatively low, with CapEx/Revenue ratios consistently hovering between 1.3% and 2.3%, suggesting that management is prioritizing cash preservation over significant reinvestment in the aging broadcasting and fulfillment infrastructure.
While low capital intensity may support short-term cash flow, it warrants further investigation into whether the company is under-investing in the digital pivot required to offset linear viewership declines. The reliance on legacy assets may eventually necessitate a step-up in maintenance spending, which would further pressure already strained free cash flow.
As evidenced by the quarterly cash flow statements, working capital changes have been highly inconsistent, with swings from a $224 million inflow in 2023Q2 to a $179 million outflow in 2023Q3, indicating significant friction in managing inventory and receivables cycles.
These fluctuations suggest that the company's 'Easy Pay' installment model and inventory management are prone to periodic cash traps. The lack of a stable working capital trend implies that the company may be using aggressive inventory management to smooth out cash flow, which could lead to future liquidity constraints if consumer demand weakens.
Quick answers to the most common questions about buying QVCD stock.
QVC, Inc. 6.375% Senior Secured (QVCD) generated $535.0M in net cash from operating activities in 2024. This reflects the cash generated directly from core business operations.
QVC, Inc. 6.375% Senior Secured (QVCD) generated $362.0M in free cash flow in 2024. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
QVC, Inc. 6.375% Senior Secured (QVCD) spent $0.0M on capital expenditures in 2024. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2024, QVC, Inc. 6.375% Senior Secured (QVCD) returned $108.0M to shareholders via cash dividends and spent $1.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.