Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Driven by strong revenue growth, free cash flow increased substantially compared to both the prior quarter and the same quarter last year. The free cash flow margin improved significantly.
- Operating cash flow grew faster than revenue, leading to a higher free cash flow margin.
- Compared to the prior quarter, all metrics improved markedly; compared to the same quarter last year, revenue and cash flow were higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$123.3B
Trailing twelve-month free cash flow.
Quarter free cash flow
$51.6B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$53.9B
Cash generated by operations before capital spending.
CapEx
$2.4B
Capital spending and related asset purchases.
FCF margin
35.9%
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 |
|---|---|---|---|---|---|
| 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% |
| 2025-12-27 | $143.8B | $53.9B | $2.4B | $51.6B | 35.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 122.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.7% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$43.2B | 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 substantially from both the prior quarter and the year-ago quarter, driving higher operating cash flow.
The strong revenue performance was the primary factor behind the elevated free cash flow.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow grew faster than revenue, leading to a higher free cash flow margin.
Compared to the prior quarter, all metrics improved markedly; compared to the same quarter last year, revenue and cash flow were higher.
Monitor the level of manufacturing purchase obligations, which represent significant future cash commitments.