Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Revenue was lower than the prior quarter but higher than the same quarter last year. Free cash flow was negative and weakened compared to both periods, driven by higher capital expenditure and a larger operating cash outflow.
- Operating cash flow was negative, and after capital expenditure, free cash flow was also negative, resulting in a negative free cash flow margin that widened from both the prior quarter and the year-ago quarter.
- Compared to the immediately preceding quarter, revenue decreased, operating cash flow worsened, capital expenditure increased, and free cash flow and its margin weakened. Versus the same quarter one year earlier, revenue improved, but operating cash flow was slightly lower, capital expenditure was higher, and free cash flow and margin weakened.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$109.8M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$35.4M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$29.0M
Cash generated by operations before capital spending.
CapEx
$6.5M
Capital spending and related asset purchases.
FCF margin
-46.2%
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 |
|---|---|---|---|---|---|
| 2024-03-30 | $75.6M | -$31.8M | $1.2M | -$33.0M | -43.7% |
| 2024-06-29 | $93.2M | -$16.0M | $1.3M | -$17.3M | -18.6% |
| 2024-09-28 | $81.0M | -$22.0M | $2.0M | -$24.1M | -29.7% |
| 2024-12-31 | $76.7M | -$29.0M | $6.5M | -$35.4M | -46.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 79.0% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 8.4% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$1.0B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Higher capital expenditure
Capital expenditure was higher than both the prior quarter and the year-ago quarter, contributing to a larger free cash outflow.
The elevated capital spending amplified the negative free cash flow despite a modest revenue improvement from the prior year.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Operating cash flow was negative, and after capital expenditure, free cash flow was also negative, resulting in a negative free cash flow margin that widened from both the prior quarter and the year-ago quarter.
Compared to the immediately preceding quarter, revenue decreased, operating cash flow worsened, capital expenditure increased, and free cash flow and its margin weakened. Versus the same quarter one year earlier, revenue improved, but operating cash flow was slightly lower, capital expenditure was higher, and free cash flow and margin weakened.
Monitor the trend in capital expenditure and its impact on free cash flow.