Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Operating cash flow improved versus both the prior quarter and the same quarter last year, driving free cash flow higher. Capital expenditure was lower than the year-ago period, further supporting free cash flow growth.
- Revenue was higher sequentially and year-over-year. Operating cash flow rose more than revenue, leading to a higher free cash flow margin compared with both the preceding quarter and the same quarter one year earlier.
- Free cash flow and free cash flow margin were higher than both the immediately preceding quarter and the same quarter one year earlier. Operating cash flow improved, while capital expenditure was lower than the year-ago level but slightly higher than the prior quarter.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.1B
Trailing twelve-month free cash flow.
Quarter free cash flow
$348.9M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$360.4M
Cash generated by operations before capital spending.
CapEx
$11.5M
Capital spending and related asset purchases.
FCF margin
19.3%
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 |
|---|---|---|---|---|---|
| 2024-06-30 | $1.9B | $721.0M | $17.8M | $703.2M | 36.2% |
| 2024-09-30 | $1.4B | -$125.5M | $7.9M | -$133.4M | -9.4% |
| 2024-12-31 | $1.6B | $236.7M | $8.8M | $227.9M | 14.3% |
| 2025-03-31 | $1.8B | $360.4M | $11.5M | $348.9M | 19.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 143.5% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.6% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$3.1B | 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 Growth
Operating cash flow increased substantially compared with both the preceding quarter and the same quarter one year earlier. This was the primary contributor to the improvement in free cash flow.
Higher operating cash flow strengthened free cash flow and the free cash flow margin.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was higher sequentially and year-over-year. Operating cash flow rose more than revenue, leading to a higher free cash flow margin compared with both the preceding quarter and the same quarter one year earlier.
Free cash flow and free cash flow margin were higher than both the immediately preceding quarter and the same quarter one year earlier. Operating cash flow improved, while capital expenditure was lower than the year-ago level but slightly higher than the prior quarter.
Monitor the trajectory of capital expenditure, which was higher than the prior quarter after a year-over-year decline.