Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue and operating cash flow both increased sharply from the prior quarter, driving a large swing to positive free cash flow. Compared with the same quarter last year, revenue was higher but free cash flow margin was lower.
- Operating cash flow as a share of revenue improved markedly from the prior quarter, and capital expenditure rose in absolute terms. The resulting free cash flow was positive and the free cash flow margin was lower than a year ago but significantly higher than the preceding quarter.
- Compared with the immediately preceding quarter, revenue, operating cash flow, and free cash flow all improved, with free cash flow turning from zero to positive. Versus the same quarter one year earlier, revenue was higher, operating cash flow was higher, capital expenditure was higher, and free cash flow was higher, but free cash flow margin was lower.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$810.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
$894.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$1.1B
Cash generated by operations before capital spending.
CapEx
$220.0M
Capital spending and related asset purchases.
FCF margin
17.6%
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 | $3.4B | -$269.0M | $145.0M | -$414.0M | -12.3% |
| 2024-12-31 | $3.2B | $428.0M | $98.0M | $330.0M | 10.2% |
| 2025-03-31 | $3.3B | $117.0M | $117.0M | $0 | 0.0% |
| 2025-06-30 | $5.1B | $1.1B | $220.0M | $894.0M | 17.6% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -2292.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 4.3% | 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.
Operating cash flow strength
Operating cash flow rose substantially from the prior quarter and was higher than the year-ago quarter, providing the primary support for free cash flow generation.
This driver enabled a significant sequential improvement in free cash flow from zero to positive.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow as a share of revenue improved markedly from the prior quarter, and capital expenditure rose in absolute terms. The resulting free cash flow was positive and the free cash flow margin was lower than a year ago but significantly higher than the preceding quarter.
Compared with the immediately preceding quarter, revenue, operating cash flow, and free cash flow all improved, with free cash flow turning from zero to positive. Versus the same quarter one year earlier, revenue was higher, operating cash flow was higher, capital expenditure was higher, and free cash flow was higher, but free cash flow margin was lower.
Monitor the trend in capital expenditure relative to operating cash flow, as it increased from both the prior quarter and the year-ago quarter.