Free cash flow remains deeply negative with quarterly burn rates consistently exceeding $4 million, further exacerbated by a reliance on stock-based compensation, which reached $3.3 million in 2026Q3, to mask operational cash outflows.
| Cash from Operations | -18.14M | -38.22M | -56.02M | -33.01M | -23.13M | -19.64M | -15.25M | 1.34M | -7.12M | -692K | -28.68K | -1.88M | -804K |
| Operating CF Margin % | -236.28% | -1031.53% | -4833.05% | - | - | -2249.6% | -1097.04% | 17.36% | - | - | - | - | - |
| Operating CF Growth % | 52.52% | 31.77% | -69.7% | -42.69% | -17.8% | -28.78% | -1237.17% | 118.84% | -928.76% | -2313% | 98.48% | -134.2% | - |
| Net Income | -33.25M | -48.48M | -60.24M | -59.4M | -43.18M | -22.88M | -19.94M | -6.56M | -18.04M | -3.72M | -29.75K | -4.62M | -1.57M |
| Depreciation & Amortization | 3.44M | 3.57M | 2.35M | 1.17M | 588K | 211K | 159.4K | 64.79K | 38K | 25K | 26K | 20K | 15K |
| Stock-Based Compensation | 5.28M | 9.15M | 0 | 19.56M | 0 | 4.89M | 3.58M | 2.4M | 4.38M | 365K | 447K | 241K | 215K |
| Deferred Taxes | 0 | 0 | 0 | 0 | 0 | 37K | 2.08M | 3.5M | 5.41M | 5K | 0 | 0 | 0 |
| Other Non-Cash Items | 4.03M | 3.7M | 17.91M | 271K | 7.62M | -703K | 9.85K | -197.01K | 6.97M | 1.66M | 1.15M | 2.47M | 255K |
| Working Capital Changes | 2.35M | -6.15M | -16.04M | 5.39M | 11.84M | -1.2M | -1.13M | 2.13M | -464K | 980K | 1.07K | 5K | 285K |
| Change in Receivables | -468K | -390K | 101K | -98K | 103K | -425K | 0 | 0 | -31K | -67K | 38K | -3K | -20K |
| Change in Inventory | 1.11M | -466K | -998K | -781K | 0 | 0 | 0 | 0 | 0 | 291K | 0 | 0 | 0 |
| Change in Payables | 267K | 399K | -467K | 838K | -327K | -967.75K | 1.09M | 322.63K | 141K | 404K | 634 | 0 | 0 |
| Cash from Investing | -3.67M | 14.9M | -12.23M | -20.59M | -1.45M | -890K | 4.42M | -1.79M | -1.15M | 14K | -7K | -18K | 298K |
| Capital Expenditures | -1.02M | -5.88M | -5.75M | -3.88M | -1.38M | -890K | -43.63K | -56.48K | -244K | 0 | -7K | -18K | -73K |
| CapEx % of Revenue | 13.35% | 158.79% | 495.69% | - | - | 101.95% | 3.14% | 0.73% | - | - | - | - | - |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | -4.47M | 0 | 0 | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | 0 | 10K | 0 | 1K | -70K | 0 | 4.47M | -1.74M | -301K | 14K | 0 | 0 | 371K |
| Cash from Financing | 29.09M | 16.65M | 43.17M | 2.7M | 79.45M | 30.33M | 34.93M | 1.07M | 9.46M | 556K | 20K | 2.04M | 362K |
| Debt Issued (Net) | 12.8M | -6.73M | 14.98M | -1.01M | 371K | 221K | 5.07M | 263.6K | -403K | 184K | 1.24M | 1.83M | 0 |
| Equity Issued (Net) | 16.29M | 23.01M | 28.18M | 3.71M | 79.04M | 23.44M | 29.93M | 0 | 9.86M | 0 | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -25K | 0 | 0 | 0 | 0 |
| Other Financing | 0 | 365K | 0 | 0 | 35K | 6.67M | -70.62K | 807.89K | 1K | 372K | -1.22M | 209K | 362K |
| Net Change in Cash | 7.47M | -6.71M | -27.68M | -50.94M | 54.96M | 9.8M | 24.11M | 618.9K | 1.19M | -122K | -8.68K | 138K | -144K |
| Free Cash Flow | -19.17M | -44.1M | -61.76M | -36.89M | -24.51M | -20.53M | -15.29M | 1.28M | -7.36M | -692K | -35.68K | -1.9M | -877K |
| FCF Margin % | -249.63% | -1190.31% | -5328.73% | - | - | -2351.55% | -1100.18% | 16.63% | - | - | - | - | - |
| FCF Growth % | 56.53% | 28.59% | -67.43% | -50.47% | -19.41% | -34.23% | -1290.56% | 117.45% | -964.02% | -1839.57% | 98.12% | -116.76% | - |
| FCF per Share | -2.31 | -13.03 | -37.25 | -24.61 | -19.10 | -22.80 | -26.58 | 3.02 | -24.53 | -0.24 | -0.01 | -0.66 | -0.30 |
| FCF Conversion (FCF/Net Income) | 0.55x | 0.82x | 0.93x | 0.59x | 0.54x | 0.86x | 0.76x | -0.20x | 0.39x | 0.19x | 0.96x | 0.39x | 0.49x |
| Interest Paid | 0 | 1.2M | 0 | 36K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Imminent liquidity and dilution
As reported in recent financial statements, XAIR consistently exhibits a significant divergence between net income and operating cash flow, with the OCF/NI ratio fluctuating between 0.48 and 1.00, suggesting that accounting losses are not fully mitigated by non-cash adjustments or favorable working capital movements.
The persistent gap between net income and operating cash flow indicates that the company's reported losses are largely reflective of actual cash outflows rather than non-cash accounting charges. Investors should monitor this relationship closely, as the inability to bridge this gap suggests that the underlying business model remains fundamentally cash-consumptive at this stage of commercialization.
According to the provided cash flow data, XAIR's free cash flow trajectory remains deeply negative, with quarterly burn rates consistently exceeding $4 million, underscoring the substantial capital requirements necessary to sustain the current commercial rollout and ongoing research and development initiatives for the LungFit platform.
The consistent negative free cash flow trajectory highlights the company's reliance on external financing to fund its operations. The lack of a clear path to positive cash flow generation suggests that the company may continue to face significant pressure on its liquidity position until the installed base reaches a critical mass.
Based on the quarterly cash flow filings, XAIR has experienced erratic working capital fluctuations, with changes ranging from a $1.1 million inflow in 2026Q4 to a $4.6 million outflow in 2025Q2, indicating that the company's cash conversion cycle is highly sensitive to the timing of inventory and receivables.
These swings in working capital suggest that the company's cash management is heavily influenced by the lumpy nature of hospital procurement and inventory stocking. Such volatility complicates short-term liquidity forecasting and warrants further investigation into the company's ability to manage its supply chain efficiently as it scales.
Analysis of the cash flow statement reveals that stock-based compensation, which reached $3.3 million in 2026Q3, serves as a significant non-cash add-back that masks the true extent of the company's operational cash burn, as noted in the most recent quarterly disclosures provided to investors.
The reliance on stock-based compensation as a primary adjustment to operating cash flow may obscure the true economic cost of talent acquisition and retention. Investors should be wary of how these non-cash expenses impact the perceived quality of the company's cash flow, as they do not alleviate the need for actual cash to fund ongoing operations.
Quick answers to the most common questions about buying XAIR stock.
Beyond Air, Inc. (XAIR) generated $-18.1M in net cash from operating activities in 2026. This reflects the cash generated directly from core business operations.
Beyond Air, Inc. (XAIR) reported negative free cash flow of $19.2M in 2026, indicating capital requirements exceeded cash from operations.
Beyond Air, Inc. (XAIR) spent $1.0M on capital expenditures in 2026. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.