Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was slightly higher sequentially and versus a year ago, while operating cash flow and free cash flow improved materially from both prior periods. The free cash flow margin strengthened from negative to positive levels compared with the preceding quarter and the year-ago quarter.
- Revenue was stable, but operating cash flow and free cash flow turned strongly positive from negative or low levels in both prior periods. Capital expenditure was lower than the year-ago quarter, contributing to the improved free cash flow margin.
- Compared with the immediately preceding quarter, revenue was slightly higher, while operating cash flow and free cash flow improved from negative to positive. Versus the same quarter one year earlier, revenue was slightly higher and both operating cash flow and free cash flow strengthened significantly.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$4.1B
Trailing twelve-month free cash flow.
Quarter free cash flow
$4.0B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$4.3B
Cash generated by operations before capital spending.
CapEx
$305.0M
Capital spending and related asset purchases.
FCF margin
63.0%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $6.0B | $1.3B | $381.0M | $919.0M | 15.3% |
| 2024-12-31 | $6.3B | $322.0M | $492.0M | -$170.0M | -2.7% |
| 2025-03-31 | $6.1B | -$342.0M | $291.0M | -$633.0M | -10.3% |
| 2025-06-30 | $6.3B | $4.3B | $305.0M | $4.0B | 63.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 1823.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 4.8% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$7.3B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Cash flow turnaround
Operating cash flow shifted from negative in the prior quarter and from low in the year-ago quarter to a significantly higher positive level, driving free cash flow and the free cash flow margin sharply upward.
The improvement in cash generation underpinned a strong free cash flow margin, reversing prior-period cash constraints.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was stable, but operating cash flow and free cash flow turned strongly positive from negative or low levels in both prior periods. Capital expenditure was lower than the year-ago quarter, contributing to the improved free cash flow margin.
Compared with the immediately preceding quarter, revenue was slightly higher, while operating cash flow and free cash flow improved from negative to positive. Versus the same quarter one year earlier, revenue was slightly higher and both operating cash flow and free cash flow strengthened significantly.
Monitor whether operating cash flow and free cash flow can sustain the current positive level in subsequent quarters.