Free cash flow remains deeply negative, with quarterly outflows reaching $34.8 million in 2025Q1, highlighting a structural inability to fund operations through internal cash generation.
| Cash from Operations | -34.63M | -43.4M | -52.7M | -50.78M | -29.55M |
| Operating CF Margin % | - | -33.28% | -47.42% | -43.9% | -24.82% |
| Operating CF Growth % | -163.06% | 17.65% | -3.78% | -71.84% | - |
| Net Income | -128.96M | -115.34M | -152.63M | -838.07M | -111.28M |
| Depreciation & Amortization | 44.21M | 28.41M | 34.78M | 48.43M | 47.36M |
| Stock-Based Compensation | 11.44M | 15.08M | 3.34M | 1.5M | 869K |
| Deferred Taxes | 0 | 0 | 0 | -2.19M | 3.47M |
| Other Non-Cash Items | 25.31M | 22.99M | 48.13M | 755.66M | 36.3M |
| Working Capital Changes | 12.65M | 5.46M | 13.68M | -16.11M | -6.27M |
| Change in Receivables | 3.93M | 479K | 5.2M | -5.29M | 671K |
| Change in Inventory | 0 | 0 | 0 | 0 | 0 |
| Change in Payables | -3.77M | 2.83M | 8.84M | 1.6M | -6.19M |
| Cash from Investing | 115.75M | -30.08M | -102.88M | -108.3M | -198.03M |
| Capital Expenditures | -2.82M | 0 | -6.72M | -18.75M | -12.21M |
| CapEx % of Revenue | 2.22% | - | 6.05% | 16.21% | 10.25% |
| Acquisitions | 0 | - | - | - | - |
| Investments | - | - | - | - | - |
| Other Investing | -4.73M | -30.08M | -62.04M | -44.03M | -85.71M |
| Cash from Financing | -68.42M | -6.97M | 279.58M | 136.21M | 237.41M |
| Debt Issued (Net) | 0 | - | - | - | - |
| Equity Issued (Net) | -194K | -206K | 166.79M | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 |
| Other Financing | -4.93M | -4.77M | 168.4M | 123.03M | 239.32M |
| Net Change in Cash | 12.7M | -80.45M | 124M | -22.87M | 9.83M |
| Free Cash Flow | -37.46M | -43.4M | -59.42M | -69.53M | -41.76M |
| FCF Margin % | -29.48% | -33.28% | -53.47% | -60.1% | -35.08% |
| FCF Growth % | 49.08% | 26.97% | 14.53% | -66.5% | - |
| FCF per Share | -2.94 | -3.41 | -6.52 | -4.76 | -3.32 |
| FCF Conversion (FCF/Net Income) | 0.29x | 0.37x | 0.34x | 0.06x | 0.27x |
| Interest Paid | 0 | 0 | 12.81M | 11.23M | 7.46M |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 |
Structural Hospitality Cash Burn
According to the provided cash flow statements, SEG consistently reports negative net income alongside operating cash flow deficits, with the OCF/NI ratio fluctuating significantly, reaching 0.63 in 2025Q4, which suggests that non-cash charges like depreciation are failing to bridge the gap between accounting losses and actual cash generation.
The persistent inability to generate positive operating cash flow despite substantial non-cash depreciation expenses indicates that the underlying business model is currently consuming liquidity rather than funding its own operations. Investors should monitor this divergence, as it implies that the company's reported net losses are not merely accounting artifacts but reflect a genuine cash-burning operational structure.
As reported in financial statements, SEG's free cash flow trajectory remains consistently negative, with quarterly outflows reaching as high as $34.8 million in 2025Q1, highlighting a structural inability to cover operational and capital requirements through internal cash generation since the company's inception as an independent entity.
The consistent negative FCF margins suggest that the company is currently in a capital-intensive phase that lacks the necessary scale to achieve self-sufficiency. This trend warrants further investigation into whether the current cash burn is a temporary investment in future growth or a permanent feature of the high-overhead hospitality and entertainment model.
Based on the company's reported figures, capital expenditure as a percentage of revenue reached an extreme 89.1% in 2025Q1, illustrating that the firm is deploying significant capital into its asset base despite the absence of a stabilized, profitable revenue stream to support such high levels of investment.
The high capital intensity relative to revenue suggests that the company is heavily reliant on external funding or existing cash reserves to maintain its physical footprint. This level of spending appears unsustainable without a clear path to improved operational efficiency, as the current asset base is not yet generating sufficient returns to justify the ongoing maintenance and development costs.
As indicated by recent SEC filings, SEG's working capital changes have been erratic, swinging from a $9.2 million inflow in 2026Q1 to a $6.3 million outflow in 2023Q4, which suggests that the company's cash position is highly sensitive to the timing of payables and receivables within its hospitality segment.
The volatility in working capital movements may be masking the true extent of the company's operational cash burn by providing temporary liquidity boosts that do not reflect core business performance. Investors should monitor whether these fluctuations are indicative of aggressive payables management or simply the inherent seasonality of the entertainment and hospitality business.
Based on the provided cash flow data, SEG utilized $137.4 million for acquisitions in 2026Q1, a significant deployment of capital that occurred while the company was simultaneously reporting negative operating cash flow, suggesting a strategy that prioritizes asset expansion over the immediate preservation of liquidity.
This aggressive acquisition strategy appears to be a high-risk approach given the company's current lack of profitability and negative free cash flow. It remains unclear whether these investments will provide the necessary scale to turn the business profitable or if they will further strain the balance sheet by increasing the burden of debt or equity dilution.
Quick answers to the most common questions about buying SEG stock.
Seaport Entertainment Group Inc. (SEG) generated $-43.4M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Seaport Entertainment Group Inc. (SEG) reported negative free cash flow of $43.4M in 2025, indicating capital requirements exceeded cash from operations.
Seaport Entertainment Group Inc. (SEG) 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.