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 prior quarter and the same quarter a year ago. Operating cash flow was lower than both periods, leading to a more negative free cash flow and a weaker free cash flow margin.
- With revenue unchanged, operating cash flow was lower while capital expenditure was higher than the year-ago quarter, resulting in a more negative free cash flow and a lower free cash flow margin.
- Compared to the prior quarter, operating cash flow was lower and capital expenditure was slightly lower, but free cash flow was lower and the free cash flow margin weakened. Versus the same quarter a year ago, operating cash flow was lower, capital expenditure was higher, and free cash flow was lower with a weakened margin.
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
-$1.6B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$328.1M
Cash generated by operations before capital spending.
CapEx
$1.9B
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.
| Period | Revenue | Operating CF | CapEx | FCF | FCF margin |
|---|---|---|---|---|---|
| 2024-03-31 | $2.9B | $801.7M | $1.7B | -$867.7M | -29.6% |
| 2024-06-30 | $3.0B | $1.3B | $1.6B | -$345.2M | -11.6% |
| 2024-12-31 | $2.9B | $811.7M | $2.1B | -$1.3B | -44.5% |
| 2025-03-31 | $2.9B | $328.1M | $1.9B | -$1.6B | -53.6% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 90.3% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 64.9% | 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.
Decline in Operating Cash Flow
Operating cash flow was lower than both the prior quarter and the year-ago quarter, while revenue remained stable. This was the strongest observable factor behind the more negative free cash flow.
The lower operating cash flow directly contributed to a more negative free cash flow and a weaker free cash flow margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
With revenue unchanged, operating cash flow was lower while capital expenditure was higher than the year-ago quarter, resulting in a more negative free cash flow and a lower free cash flow margin.
Compared to the prior quarter, operating cash flow was lower and capital expenditure was slightly lower, but free cash flow was lower and the free cash flow margin weakened. Versus the same quarter a year ago, operating cash flow was lower, capital expenditure was higher, and free cash flow was lower with a weakened margin.
Monitor the trend in operating cash flow, which weakened significantly in the current quarter.