Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue increased compared to both the prior quarter and the same quarter last year, while free cash flow remained negative but improved relative to the year-ago period. The free cash flow margin weakened slightly from the prior quarter but improved significantly from the same quarter last year.
- Revenue rose, yet operating cash flow turned more negative compared to the prior quarter, indicating a weaker cash conversion from sales. Capital expenditure decreased from both the prior quarter and the year-ago quarter, which helped limit the free cash flow deficit.
- Compared to the prior quarter, revenue increased while operating cash flow worsened, leading to a slightly larger free cash flow deficit but a stable margin. Versus the same quarter last year, revenue grew substantially, operating cash flow shifted from positive to negative, yet free cash flow improved due to much lower capital expenditure.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$1.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$181387
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$159014
Cash generated by operations before capital spending.
CapEx
$22373
Capital spending and related asset purchases.
FCF margin
-20.3%
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 |
|---|---|---|---|---|---|
| 2023-05-31 | $142126 | $9135 | $261257 | -$252122 | -177.4% |
| 2023-08-31 | $245346 | -$366690 | $118812 | -$485502 | -197.9% |
| 2023-11-30 | $511308 | -$45290 | $79728 | -$125018 | -24.5% |
| 2024-02-29 | $891613 | -$159014 | $22373 | -$181387 | -20.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 20.0% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.5% | 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.
Revenue Growth
Revenue increased from both the prior quarter and the same quarter last year, providing a stronger base for cash generation. This growth is the most observable positive driver in the period.
Higher revenue supported a stable free cash flow margin despite a more negative operating cash flow.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue rose, yet operating cash flow turned more negative compared to the prior quarter, indicating a weaker cash conversion from sales. Capital expenditure decreased from both the prior quarter and the year-ago quarter, which helped limit the free cash flow deficit.
Compared to the prior quarter, revenue increased while operating cash flow worsened, leading to a slightly larger free cash flow deficit but a stable margin. Versus the same quarter last year, revenue grew substantially, operating cash flow shifted from positive to negative, yet free cash flow improved due to much lower capital expenditure.
Monitor whether operating cash flow can turn positive as revenue continues to grow.