Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow improved sharply versus both the prior quarter and the same quarter last year, driven by a substantial increase in operating cash flow. The free cash flow margin reached its highest level among the three periods shown.
- Revenue was higher than both comparison periods, while operating cash flow rose more than proportionally, resulting in a significantly higher free cash flow margin. Capital expenditure was lower than a year ago and unchanged from the prior quarter, further supporting cash conversion.
- Compared to the immediately preceding quarter, free cash flow was substantially higher, driven by a much larger operating cash flow on slightly higher revenue. Versus the same quarter one year earlier, free cash flow also improved, as operating cash flow increased while capital expenditure decreased.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$730.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
$392.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$417.0M
Cash generated by operations before capital spending.
CapEx
$25.0M
Capital spending and related asset purchases.
FCF margin
37.1%
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 |
|---|---|---|---|---|---|
| 2025-04-30 | $894.0M | $152.0M | $50.0M | $102.0M | 11.4% |
| 2025-07-31 | $924.0M | $160.0M | $31.0M | $129.0M | 14.0% |
| 2025-10-31 | $1.0B | $132.0M | $25.0M | $107.0M | 10.3% |
| 2026-01-31 | $1.1B | $417.0M | $25.0M | $392.0M | 37.1% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 146.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.4% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$2.1B | 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 Surge
Operating cash flow was substantially higher than both the prior quarter and the year-ago quarter, while revenue increased only modestly. This was the strongest observable factor behind the free cash flow improvement.
The higher operating cash flow directly lifted free cash flow and the free cash flow margin to the highest levels among the periods shown.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was higher than both comparison periods, while operating cash flow rose more than proportionally, resulting in a significantly higher free cash flow margin. Capital expenditure was lower than a year ago and unchanged from the prior quarter, further supporting cash conversion.
Compared to the immediately preceding quarter, free cash flow was substantially higher, driven by a much larger operating cash flow on slightly higher revenue. Versus the same quarter one year earlier, free cash flow also improved, as operating cash flow increased while capital expenditure decreased.
Monitor whether operating cash flow can sustain its elevated level relative to revenue in subsequent quarters.