Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Compared to the same quarter a year ago, cash conversion improved as operating cash flow grew while capital expenditure remained relatively stable, resulting in higher free cash flow and margin. Sequentially, operating cash flow declined substantially, leading to a lower free cash flow margin despite higher revenue.
- Revenue was higher than both the prior quarter and the same quarter last year. Operating cash flow was significantly higher than the year-ago quarter but lower than the prior quarter. Capital expenditure was slightly higher than the prior quarter and similar to the year-ago quarter, so free cash flow and margin followed the pattern of operating cash flow.
- Revenue was higher than both the prior quarter and the same quarter last year. Operating cash flow and free cash flow were higher than the year-ago quarter but lower than the prior quarter, resulting in a mixed margin pattern.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$11.5B
Trailing twelve-month free cash flow.
Quarter free cash flow
$1.5B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.7B
Cash generated by operations before capital spending.
CapEx
$156.6M
Capital spending and related asset purchases.
FCF margin
8.0%
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 |
|---|---|---|---|---|---|
| 2025-02-28 | $16.7B | $2.9B | $170.8M | $2.7B | 16.1% |
| 2025-05-31 | $17.7B | $3.7B | $169.1M | $3.5B | 19.8% |
| 2025-08-31 | $17.6B | $3.9B | $107.9M | $3.8B | 21.6% |
| 2025-11-30 | $18.7B | $1.7B | $156.6M | $1.5B | 8.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 68.2% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.8% | Lower capital intensity usually supports FCF margin. |
| Net cash | n/a | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Year-over-Year Operating Cash Flow Improvement
Operating cash flow increased compared to the same quarter a year ago, supported by higher revenue and stable capital spending. The company's filing notes that the increase was primarily due to changes in operating assets and liabilities.
This improvement strengthens the company's cash generation relative to the prior year period.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was higher than both the prior quarter and the same quarter last year. Operating cash flow was significantly higher than the year-ago quarter but lower than the prior quarter. Capital expenditure was slightly higher than the prior quarter and similar to the year-ago quarter, so free cash flow and margin followed the pattern of operating cash flow.
Revenue was higher than both the prior quarter and the same quarter last year. Operating cash flow and free cash flow were higher than the year-ago quarter but lower than the prior quarter, resulting in a mixed margin pattern.
Monitor the composition of changes in operating assets and liabilities, as the company attributed the operating cash flow increase to those items.