Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue remained stable versus the prior quarter and increased compared to the same quarter a year ago. Free cash flow margin weakened sequentially and relative to the prior year.
- Operating cash flow and free cash flow were lower than the preceding quarter but higher than the year-ago quarter. Capital expenditure remained stable sequentially, while the free cash flow margin declined moderately from both comparison periods.
- Compared to the prior quarter, operating cash flow and free cash flow decreased, and free cash flow margin weakened. Versus the same quarter last year, all cash flow measures improved alongside higher revenue.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.4B
Trailing twelve-month free cash flow.
Quarter free cash flow
$424.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$444.0M
Cash generated by operations before capital spending.
CapEx
$20.0M
Capital spending and related asset purchases.
FCF margin
26.4%
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 |
|---|---|---|---|---|---|
| 2025-03-31 | $1.4B | $213.0M | $17.0M | $196.0M | 14.0% |
| 2025-06-30 | $1.3B | $325.0M | $15.0M | $310.0M | 24.1% |
| 2025-09-30 | $1.6B | $468.0M | $16.0M | $452.0M | 28.1% |
| 2025-12-31 | $1.6B | $444.0M | $20.0M | $424.0M | 26.4% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 160.6% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.2% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$6.5B | 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 supporting cash generation
Revenue increased from the year-ago period, underpinning higher operating cash flow and free cash flow on a year-over-year basis.
Higher revenue was the strongest observable driver of improved year-over-year cash flows.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow and free cash flow were lower than the preceding quarter but higher than the year-ago quarter. Capital expenditure remained stable sequentially, while the free cash flow margin declined moderately from both comparison periods.
Compared to the prior quarter, operating cash flow and free cash flow decreased, and free cash flow margin weakened. Versus the same quarter last year, all cash flow measures improved alongside higher revenue.
Monitor whether the free cash flow margin can stabilize after its sequential decline.