Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow improved significantly from the prior quarter, driven by stronger operating cash flow and a lower capital expenditure relative to the previous period. Compared to the same quarter last year, free cash flow margin was slightly higher, while absolute free cash flow increased as revenue grew.
- Revenue was higher than both the prior quarter and the year-ago quarter. Operating cash flow increased more than proportionally, leading to a higher free cash flow margin versus the prior quarter, and a margin that was stable compared to the year-ago quarter.
- Compared to the immediately preceding quarter, free cash flow and margin both improved. Versus the same quarter one year earlier, free cash flow was higher, and the margin was slightly higher, with operating cash flow growth outpacing capital expenditure growth.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.9B
Trailing twelve-month free cash flow.
Quarter free cash flow
$630.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$944.2M
Cash generated by operations before capital spending.
CapEx
$314.2M
Capital spending and related asset purchases.
FCF margin
13.6%
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 |
|---|---|---|---|---|---|
| 2024-11-23 | $4.3B | $811.8M | $247.0M | $564.8M | 13.2% |
| 2025-02-15 | $4.0B | $583.7M | $292.7M | $291.0M | 7.4% |
| 2025-05-10 | $4.5B | $769.0M | $345.9M | $423.1M | 9.5% |
| 2025-11-22 | $4.6B | $944.2M | $314.2M | $630.0M | 13.6% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 118.7% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 6.8% | 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 increased from both the prior quarter and the year-ago quarter, providing the main boost to free cash flow. The increase occurred alongside higher revenue and a capital expenditure that was lower than the prior quarter but higher than the year-ago quarter.
The stronger operating cash flow improved free cash flow and margin, supporting overall cash conversion.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was higher than both the prior quarter and the year-ago quarter. Operating cash flow increased more than proportionally, leading to a higher free cash flow margin versus the prior quarter, and a margin that was stable compared to the year-ago quarter.
Compared to the immediately preceding quarter, free cash flow and margin both improved. Versus the same quarter one year earlier, free cash flow was higher, and the margin was slightly higher, with operating cash flow growth outpacing capital expenditure growth.
Monitor the company's ability to sustain operating cash flow levels, as the filing notes that changes in customer buying patterns could affect cash generation.