Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was slightly lower than the previous quarter but higher than the same quarter last year. Operating cash flow improved versus the prior quarter yet free cash flow weakened compared to a year ago, resulting in a narrower free cash flow margin.
- Operating cash flow surpassed capital expenditure by a wide margin, generating positive free cash flow. The free cash flow margin reflected the proportion of revenue converted into free cash after required capital spending.
- Compared with the previous quarter, revenue was slightly lower while operating cash flow and free cash flow were both higher, leading to an improved free cash flow margin. Relative to the same quarter a year earlier, revenue was higher but operating cash flow and free cash flow were lower, causing a weakened free cash flow margin.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$96.2B
Trailing twelve-month free cash flow.
Quarter free cash flow
$24.4B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$27.9B
Cash generated by operations before capital spending.
CapEx
$3.5B
Capital spending and related asset purchases.
FCF margin
26.0%
The share of revenue converted into free cash flow.
Cash flow trend
A short quarterly history shows whether FCF is scaling with revenue or only spiking for one period.
| Period | Revenue | Operating CF | CapEx | FCF | FCF margin |
|---|---|---|---|---|---|
| 2024-09-28 | $94.9B | $26.8B | $2.9B | $23.9B | 25.2% |
| 2024-12-28 | $124.3B | $29.9B | $2.9B | $27.0B | 21.7% |
| 2025-03-29 | $95.4B | $24.0B | $3.1B | $20.9B | 21.9% |
| 2025-06-28 | $94.0B | $27.9B | $3.5B | $24.4B | 26.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 104.1% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$55.5B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Operating Cash Flow Improvement
Operating cash flow increased compared to the immediately preceding quarter, which was the strongest observable positive movement among the key cash flow metrics.
This helped lift free cash flow and the free cash flow margin relative to the prior quarter.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow surpassed capital expenditure by a wide margin, generating positive free cash flow. The free cash flow margin reflected the proportion of revenue converted into free cash after required capital spending.
Compared with the previous quarter, revenue was slightly lower while operating cash flow and free cash flow were both higher, leading to an improved free cash flow margin. Relative to the same quarter a year earlier, revenue was higher but operating cash flow and free cash flow were lower, causing a weakened free cash flow margin.
The relationship between operating cash flow and capital expenditure should be monitored for any shift that could alter free cash flow generation.