Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue declined from the prior quarter but rose compared to the same quarter last year. Operating cash flow decreased, and capital expenditure increased, resulting in negative free cash flow.
- Operating cash flow was lower than capital expenditure, resulting in negative free cash flow and a negative free cash flow margin.
- Compared to the prior quarter, revenue, operating cash flow, and free cash flow were all lower, while capital expenditure was higher. Compared to the same quarter one year earlier, revenue was higher but operating cash flow was lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$4.8B
Trailing twelve-month free cash flow.
Quarter free cash flow
-$138.2M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.2B
Cash generated by operations before capital spending.
CapEx
$1.4B
Capital spending and related asset purchases.
FCF margin
-2.7%
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 | $5.5B | $2.2B | $0 | $2.2B | 39.7% |
| 2024-12-31 | $4.8B | $1.7B | $399.0M | $1.3B | 27.9% |
| 2025-03-31 | $5.6B | $1.4B | $0 | $1.4B | 25.8% |
| 2025-06-30 | $5.1B | $1.2B | $1.4B | -$138.2M | -2.7% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -10.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 26.9% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$44.3B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Capital Expenditure Increase
Capital expenditure rose compared to the prior quarter, while operating cash flow declined, leading to a negative free cash flow.
This change shifted free cash flow from positive to negative.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was lower than capital expenditure, resulting in negative free cash flow and a negative free cash flow margin.
Compared to the prior quarter, revenue, operating cash flow, and free cash flow were all lower, while capital expenditure was higher. Compared to the same quarter one year earlier, revenue was higher but operating cash flow was lower.
Monitor the level of capital expenditure and its funding, as the company increased long-term debt to support its capital investment plan according to the filing.