Palo Alto Networks, Inc. (PANW) Cash Flow Statement
Where PANW’s cash came from and went, FY2026
July 31, 2026 · U.S. dollars- Cash from operations
- $4.55B +22.5% vs FY2025
- Capital expenditures
- $440.0M 3.8% of revenue
- Free cash flow
- $4.11B 35.8% margin
- Returned to shareholders
- $1.00B 24% of free cash flow
- Change in cash
- $244.0M cash at year-end $2.52B
Cash from operations
$4.55B
Capital expenditures
−$440.0M
Investments (net)
+$2.00B
Acquisitions & other
−$4.66B
Share buybacks (net)
−$1.00B
Net borrowing (repayment)
−$150.0M
Other financing
−$52.0M
Change in cash
$244.0M
Drawn to scale: where the cash came from and how it was used. Hover for values.
PANW operating cash flow, capex and free cash flow
Operating cash flowCapital expendituresFree cash flowFCF margin (right axis)
PANW cash flow trends, FY2017–FY2026
| Metric | Trend | Then | Latest | Change |
|---|---|---|---|---|
| Operating cash flow | $868.5MFY2017 | $4.55BFY2026 | +20.2%/yr | |
| Capital expenditures | $163.4MFY2017 | $440.0MFY2026 | +11.6%/yr | |
| Free cash flow | $705.1MFY2017 | $4.11BFY2026 | +21.6%/yr | |
| Free cash flow margin | 40.0%FY2017 | 35.8%FY2026 | −4.2 pts | |
| Operating cash flow / net income | 6.32FY2023 | 14.83FY2026 | +8.51 | |
| Stock-based compensation | $474.5MFY2017 | $1.77BFY2026 | +15.8%/yr | |
| Dividends paid | $0FY2017 | $258.8MFY2023 | — | |
| Share buybacks (net) | $411.0MFY2017 | $1.00BFY2026 | +10.4%/yr | |
| Capex / revenue | 9.3%FY2017 | 3.8%FY2026 | −5.4 pts |
Change is the average annual growth (CAGR) or the difference between the first and latest year.
PANW cash flow by activity
OperatingInvestingFinancingChange in cash
PANW net income vs operating cash flow
Net incomeOperating cash flow
Operating cash flow above net income usually means earnings are backed by cash (depreciation and stock-based pay are non-cash expenses).
PANW cash flow statement
| FY2026 | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | FY2020 | FY2019 | FY2018 | FY2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating activities | ||||||||||
| Net income | $307.0M | $1.13B | $2.58B | $439.7M | −$267.0M | −$498.9M | −$267.0M | −$81.9M | −$147.9M | −$216.6M |
| Depreciation & amortization | $801.0M | $302.3M | $283.3M | $282.2M | $282.6M | $304.9M | $253.5M | $153.8M | $96.4M | $59.8M |
| Stock-based compensation | $1.77B | $1.30B | $1.08B | $1.07B | $1.01B | $894.5M | $658.4M | $567.7M | $496.7M | $474.5M |
| Change in working capital | $579.0M | $922.8M | $910.3M | $550.8M | $520.8M | $348.6M | $71.8M | $227.5M | $521.4M | $502.7M |
| Other non-cash items | $1.09B | $61.9M | −$1.59B | $430.3M | $437.2M | $453.9M | $319.0M | $188.5M | $70.4M | $48.1M |
| Cash from operating activities | $4.55B | $3.72B | $3.26B | $2.78B | $1.98B | $1.50B | $1.04B | $1.06B | $1.04B | $868.5M |
| Investing activities | ||||||||||
| Capital expenditures | −$440.0M | −$246.2M | −$156.8M | −$146.3M | −$192.8M | −$116.0M | −$214.4M | −$131.2M | −$112.0M | −$163.4M |
| Investments (net) | $2.00B | −$2.20B | −$1.51B | −$2.65B | −$1.15B | −$587.3M | $771.9M | −$927.5M | −$33.9M | −$218.5M |
| Acquisitions & other investing | −$4.66B | $246.2M | $156.8M | $761.4M | $412.2M | −$777.3M | −$269.5M | −$767.2M | −$374.1M | −$90.7M |
| Cash from investing activities | −$3.10B | −$2.20B | −$1.51B | −$2.03B | −$933.4M | −$1.48B | $288.0M | −$1.83B | −$520.0M | −$472.6M |
| Financing activities | ||||||||||
| Dividends paid | — | — | — | −$258.8M | −$136.6M | −$104.0M | −$2.27B | −$71.7M | $0 | $0 |
| Share repurchases & issuance (net) | −$1.00B | −$183.8M | −$566.7M | −$272.7M | −$892.3M | −$1.18B | −$1.20B | −$330.0M | −$259.1M | −$411.0M |
| Net borrowing (repayment) | −$150.0M | −$965.6M | −$1.03B | −$1.69B | −$600,000 | −$900,000 | $1.98B | −$3.7M | $1.68B | $1.68B |
| Shares issued | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Other financing | −$52.0M | $370.5M | $257.3M | $497.2M | $222.9M | $179.0M | $2.16B | −$368.5M | −$177.7M | −$1.66B |
| Cash from financing activities | −$1.20B | −$778.9M | −$1.34B | −$1.73B | −$806.6M | −$1.10B | $673.0M | −$773.9M | $1.25B | −$386.0M |
| Summary | ||||||||||
| Net change in cash | $244.0M | $732.4M | $404.6M | −$982.6M | $244.7M | −$1.08B | $2.00B | −$1.54B | $1.76B | $9.9M |
| Cash at end of period | $2.52B | $2.28B | $1.55B | $1.14B | $2.12B | $1.88B | $2.96B | $965.0M | $2.51B | $744.3M |
| Free cash flow | $4.11B | $3.47B | $3.10B | $2.63B | $1.79B | $1.39B | $821.3M | $924.4M | $925.0M | $705.1M |
| Free cash flow margin | 35.8% | 37.6% | 38.6% | 38.2% | 32.6% | 32.6% | 24.1% | 31.9% | 40.7% | 40.0% |
| Capex / revenue | 3.8% | 2.7% | 2.0% | 2.1% | 3.5% | 2.7% | 6.3% | 4.5% | 4.9% | 9.3% |
| Operating cash flow / net income | 14.83 | 3.28 | 1.26 | 6.32 | — | — | — | — | — | — |
| Jul '26 | Apr '26 | Jan '26 | Oct '25 | Jul '25 | Apr '25 | Jan '25 | Oct '24 | Jul '24 | Apr '24 | Jan '24 | Oct '23 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating activities | ||||||||||||
| Net income | −$282.0M | −$177.0M | $432.0M | $334.0M | $1.13B | $262.1M | $267.3M | $350.7M | $357.7M | $278.8M | $1.75B | $194.2M |
| Depreciation & amortization | $473.0M | $483.0M | $91.0M | $89.0M | $42.7M | $88.1M | $87.6M | $83.9M | $76.1M | $185.4M | $68.6M | $64.3M |
| Stock-based compensation | $90.0M | $643.0M | $301.0M | $370.0M | $354.4M | $325.9M | $320.5M | $294.3M | $268.9M | $263.5M | $272.0M | $271.0M |
| Change in working capital | $176.0M | −$57.0M | −$385.0M | $845.0M | $244.8M | −$53.0M | −$68.9M | $799.9M | −$97.5M | −$70.8M | $186.0M | $892.6M |
| Other non-cash items | $900.0M | −$21.0M | $115.0M | $133.0M | −$755.0M | $5.6M | −$49.6M | −$19.2M | −$92.5M | −$128.0M | −$1.58B | $103.9M |
| Cash from operating activities | $1.36B | $871.0M | $554.0M | $1.77B | $1.02B | $628.7M | $556.9M | $1.51B | $512.7M | $528.9M | $690.0M | $1.53B |
| Investing activities | ||||||||||||
| Capital expenditures | −$103.0M | −$83.0M | −$170.0M | −$84.0M | −$86.3M | −$68.3M | −$47.5M | −$44.1M | −$47.4M | −$37.4M | −$35.2M | −$36.8M |
| Investments (net) | −$803.0M | $302.0M | $3.40B | −$983.0M | −$762.5M | −$517.6M | −$380.8M | −$543.8M | −$168.5M | $113.1M | −$1.33B | −$129.0M |
| Acquisitions & other investing | −$100.0M | −$1.99B | −$2.58B | $84.0M | $86.3M | $68.3M | $47.5M | $44.1M | $47.4M | $37.4M | $35.2M | $36.8M |
| Cash from investing activities | −$1.01B | −$1.77B | $651.0M | −$983.0M | −$762.5M | −$517.6M | −$380.8M | −$543.8M | −$168.5M | $113.1M | −$1.33B | −$129.0M |
| Financing activities | ||||||||||||
| Dividends paid | — | — | — | — | — | — | — | — | — | — | — | −$86.4M |
| Share repurchases & issuance (net) | $0 | −$1.00B | — | — | $0 | $0 | $0 | $0 | −$3.9M | −$500.0M | −$3.8M | −$66.7M |
| Net borrowing (repayment) | −$150.0M | $0 | $0 | $0 | −$383.3M | −$150.9M | −$112.4M | −$319.0M | — | — | — | — |
| Shares issued | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Other financing | −$47.0M | $101.0M | −$114.0M | $8.0M | $9.2M | $198.0M | −$119.8M | $99.3M | −$175.4M | −$549.4M | −$68.8M | $111.3M |
| Cash from financing activities | −$197.0M | −$899.0M | −$114.0M | $8.0M | −$374.1M | $47.1M | −$232.2M | −$219.7M | −$179.3M | −$1.05B | −$72.6M | −$41.8M |
| Summary | ||||||||||||
| Net change in cash | $149.0M | −$1.79B | $1.09B | $796.0M | −$115.8M | $158.2M | −$56.1M | $746.1M | $164.9M | −$406.9M | −$714.9M | $1.36B |
| Cash at end of period | $2.52B | $2.37B | $4.17B | $3.08B | $2.28B | $2.40B | $2.24B | $2.29B | $1.55B | $1.38B | $1.78B | $2.50B |
| Free cash flow | $1.27B | $788.0M | $384.0M | $1.69B | $860.9M | $560.4M | $509.4M | $1.47B | $465.3M | $491.5M | $654.8M | $1.49B |
| Free cash flow margin | 37.3% | 26.2% | 14.8% | 68.2% | 33.9% | 24.5% | 22.6% | 68.5% | 21.3% | 24.8% | 33.2% | 79.3% |
| Capex / revenue | 3.0% | 2.8% | 6.6% | 3.4% | 3.4% | 3.0% | 2.1% | 2.1% | 2.2% | 1.9% | 1.8% | 2.0% |
| Operating cash flow / net income | — | — | 1.28 | 5.30 | 0.90 | 2.40 | 2.08 | 4.30 | 1.43 | 1.90 | 0.39 | 7.86 |
Negative numbers are cash paid out. Quarterly columns are labeled by the month the quarter ended. Figures in U.S. dollars as reported; data from EODHD.
PANW cash generation
In fiscal 2026 (ended July 31, 2026), Palo Alto Networks generated $4.6 billion of cash from operations (up 22.5%) and spent $440.0 million on capital expenditures, leaving free cash flow of $4.1 billion, 35.8% of revenue. It returned $1.0 billion to shareholders through dividends ($0) and net share buybacks ($1.0 billion). Cash and equivalents rose by $244.0 million over the year.
Related: PANW income statement, PANW balance sheet. See the PANW stock overview for the latest quote and news.
PANW cash flow FAQ
What is Palo Alto Networks's free cash flow?
Palo Alto Networks's free cash flow was $4.1 billion in fiscal 2026: $4.6 billion of operating cash flow minus $440.0 million of capital expenditures It was $3.5 billion a year earlier..
How much cash does Palo Alto Networks generate from operations?
Palo Alto Networks generated $4.6 billion of cash from operating activities in fiscal 2026, 14.83 times its net income of $307.0 million.
How much does Palo Alto Networks spend on capital expenditures?
Palo Alto Networks spent $440.0 million on capital expenditures in fiscal 2026, 3.8% of revenue, compared with $246.2 million the year before.
How much stock does Palo Alto Networks buy back?
Palo Alto Networks spent $1.0 billion on net share repurchases in fiscal 2026.