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 the prior quarter, driven by a large increase in operating cash flow. Compared to the same quarter last year, free cash flow and margin were also higher.
- Revenue was stable sequentially, but operating cash flow rose substantially, lifting free cash flow and margin. Capital expenditure was slightly lower, supporting the conversion improvement.
- Compared to the prior quarter, free cash flow and margin were significantly higher, with operating cash flow the primary driver. Versus the same quarter last year, free cash flow and margin were also higher, while revenue was slightly higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$15.3B
Trailing twelve-month free cash flow.
Quarter free cash flow
$6.0B
Free cash flow in the selected fiscal quarter.
Operating cash flow
$6.3B
Cash generated by operations before capital spending.
CapEx
$320.0M
Capital spending and related asset purchases.
FCF margin
49.0%
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 |
|---|---|---|---|---|---|
| 2024-12-31 | $12.3B | $4.4B | $378.0M | $4.1B | 32.9% |
| 2025-03-31 | $11.2B | $2.0B | $260.0M | $1.7B | 15.1% |
| 2025-06-30 | $12.3B | $3.9B | $361.0M | $3.6B | 29.0% |
| 2025-09-30 | $12.2B | $6.3B | $320.0M | $6.0B | 49.0% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 272.2% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.6% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$33.0B | 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 increased substantially from the prior quarter, far outpacing the stable revenue trend. This was the strongest observable driver of free cash flow improvement.
Free cash flow and margin rose sharply as a result.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was stable sequentially, but operating cash flow rose substantially, lifting free cash flow and margin. Capital expenditure was slightly lower, supporting the conversion improvement.
Compared to the prior quarter, free cash flow and margin were significantly higher, with operating cash flow the primary driver. Versus the same quarter last year, free cash flow and margin were also higher, while revenue was slightly higher.
Monitor whether operating cash flow can sustain at the elevated level seen this quarter.