AN
ANET
Sep 30, 2025
Quarter ended Sep 30, 2025 · FY2025 Q3

Arista Networks, Inc. stock research

Arista Networks (ANET) Free Cash Flow — Quarter Ended Sep 30, 2025

Revenue and operating cash flow rose compared to the prior quarter, while free cash flow remained level. The free cash flow margin improved slightly from the preceding quarter but weakened versus the same quarter one year earlier.

Free cash flow takeaway

A quick read on the company's cash generation and what it means for investors.

Revenue and operating cash flow rose compared to the prior quarter, while free cash flow remained level. The free cash flow margin improved slightly from the preceding quarter but weakened versus the same quarter one year earlier.

  • Operating cash flow exceeded capital expenditure, producing positive free cash flow. The free cash flow margin was above half of revenue.
  • Compared to the prior quarter, revenue and operating cash flow were higher, capital expenditure was higher, free cash flow was stable, and the margin improved slightly. Versus the same quarter a year ago, revenue was higher, operating cash flow was stable, capital expenditure was higher, free cash flow was stable, and the margin weakened.

FCF snapshot

Quarterly and TTM cash-flow metrics with the minimum valuation context.

TTM free cash flow

$4.0B

Trailing twelve-month free cash flow.

Quarter free cash flow

$1.2B

Free cash flow in the selected fiscal quarter.

Operating cash flow

$1.3B

Cash generated by operations before capital spending.

CapEx

$30.1M

Capital spending and related asset purchases.

FCF margin

53.6%

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.

PeriodRevenueOperating CFCapExFCFFCF margin
2024-12-31$1.9B$1.0B$12.4M$1.0B52.8%
2025-03-31$2.0B$641.7M$28.4M$613.3M30.6%
2025-06-30$2.2B$1.2B$24.0M$1.2B53.3%
2025-09-30$2.3B$1.3B$30.1M$1.2B53.6%

Cash conversion quality

Checks that separate high-quality free cash flow from accounting noise or working-capital timing.

FCF / net income145.1%Shows whether accounting earnings convert into cash.
CapEx / revenue1.3%Lower capital intensity usually supports FCF margin.
Net cashn/aCash and equivalents minus total debt.

Recent events shaping cash flow

Near-term business events that help explain the free cash flow result.

Supportive

Revenue growth

Revenue increased compared to both the prior quarter and the same quarter last year, supporting higher operating cash flow despite a larger capital expenditure.

Revenue growth was the primary factor enabling free cash flow to remain stable while capital expenditure rose.

What the cash flow says

How to interpret the company's free cash flow beyond the headline number.

Operating cash flow exceeded capital expenditure, producing positive free cash flow. The free cash flow margin was above half of revenue.

Compared to the prior quarter, revenue and operating cash flow were higher, capital expenditure was higher, free cash flow was stable, and the margin improved slightly. Versus the same quarter a year ago, revenue was higher, operating cash flow was stable, capital expenditure was higher, free cash flow was stable, and the margin weakened.

Monitor the growth in deferred revenue, which increased notably from the prior year-end as shown in the balance sheet.