Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue and operating cash flow increased both compared to the prior quarter and the same quarter a year ago. Free cash flow margin was slightly lower than the prior quarter but higher than the year-ago period.
- Free cash flow as a share of revenue was stable, with the margin improving year-over-year but slightly weakening sequentially.
- Compared to the prior quarter, revenue, operating cash flow, and free cash flow were higher, while capital expenditure was lower. Relative to the same quarter a year earlier, all metrics except capital expenditure were higher, with capital expenditure slightly higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$98.8B
Trailing twelve-month free cash flow.
Quarter free cash flow
$26.5B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$29.7B
Cash generated by operations before capital spending.
CapEx
$3.2B
Capital spending and related asset purchases.
FCF margin
25.8%
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 |
|---|---|---|---|---|---|
| 2024-12-28 | $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% |
| 2025-09-27 | $102.5B | $29.7B | $3.2B | $26.5B | 25.8% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 96.4% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 3.2% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$54.8B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Revenue Growth
Revenue increased from both the prior quarter and the same quarter a year ago, providing a strong base for cash generation.
The higher revenue was the primary driver of the increase in free cash flow.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Free cash flow as a share of revenue was stable, with the margin improving year-over-year but slightly weakening sequentially.
Compared to the prior quarter, revenue, operating cash flow, and free cash flow were higher, while capital expenditure was lower. Relative to the same quarter a year earlier, all metrics except capital expenditure were higher, with capital expenditure slightly higher.
Monitor capital expenditure trends, as it decreased sequentially but increased year-over-year.