Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was stable compared to the preceding quarter and higher than the same quarter a year earlier. Free cash flow and margin declined from the preceding quarter but improved year-over-year.
- The conversion of revenue into free cash flow weakened sequentially, as operating cash flow fell while revenue remained flat, resulting in a lower margin. Compared to the same quarter a year earlier, the conversion improved as operating cash flow and free cash flow grew in line with revenue.
- Compared to the preceding quarter, revenue was stable, while operating cash flow, free cash flow, and margin were lower. Compared to the same quarter a year earlier, all metrics were higher except capital expenditure, which was similar.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.6B
Trailing twelve-month free cash flow.
Quarter free cash flow
$556.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$564.0M
Cash generated by operations before capital spending.
CapEx
$8.0M
Capital spending and related asset purchases.
FCF margin
34.0%
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 |
|---|---|---|---|---|---|
| 2024-07-31 | $1.5B | $212.0M | $9.0M | $203.0M | 13.5% |
| 2024-10-31 | $1.6B | $209.0M | $10.0M | $199.0M | 12.7% |
| 2025-01-31 | $1.6B | $692.0M | $14.0M | $678.0M | 41.4% |
| 2025-04-30 | $1.6B | $564.0M | $8.0M | $556.0M | 34.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 365.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.5% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$484.0M | 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 Decline
Operating cash flow in the current quarter decreased from the preceding quarter, while revenue remained unchanged, driving the decline in free cash flow and margin.
This reduction in operating cash flow is the primary observable factor behind the sequential decrease in free cash flow.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
The conversion of revenue into free cash flow weakened sequentially, as operating cash flow fell while revenue remained flat, resulting in a lower margin. Compared to the same quarter a year earlier, the conversion improved as operating cash flow and free cash flow grew in line with revenue.
Compared to the preceding quarter, revenue was stable, while operating cash flow, free cash flow, and margin were lower. Compared to the same quarter a year earlier, all metrics were higher except capital expenditure, which was similar.
Monitor the ongoing transition to annual billings for multi-year contracts, as noted in the filing, which is expected to affect the timing of cash collections and operating cash flow.