Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Cash conversion remained deeply negative and weakened further versus both the prior quarter and the same quarter last year. Revenue rose from the prior quarter but fell sharply from a year ago, while operating cash flow and free cash flow became more negative.
- Revenue increased from the prior quarter but declined from a year earlier. Operating cash flow was more negative than both comparison periods, and capital expenditure was slightly higher than a year ago but lower than the prior quarter. Free cash flow margin widened in the negative direction, indicating weaker cash conversion.
- Compared to the prior quarter, revenue was higher but operating cash flow and free cash flow were both more negative, resulting in a worsened free cash flow margin. Compared to the same quarter one year earlier, revenue was lower and all cash flow measures were substantially more negative.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
-$125.3M
Trailing twelve-month free cash flow.
Quarter free cash flow
-$35.1M
Free cash flow in the selected fiscal quarter.
Operating cash flow
-$33.2M
Cash generated by operations before capital spending.
CapEx
$1.9M
Capital spending and related asset purchases.
FCF margin
-46.9%
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 |
|---|---|---|---|---|---|
| 2024-09-28 | $81.0M | -$22.0M | $2.0M | -$24.1M | -29.7% |
| 2024-12-31 | $76.7M | -$29.0M | $6.5M | -$35.4M | -46.2% |
| 2025-03-29 | $68.7M | -$26.1M | $4.5M | -$30.6M | -44.6% |
| 2025-06-28 | $75.0M | -$33.2M | $1.9M | -$35.1M | -46.9% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 166.8% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.6% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$1.1B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Weakening cash generation
Operating cash flow became more negative despite a sequential revenue increase, and the decline was steeper compared to a year ago. The free cash flow margin deteriorated further, reflecting a stronger cash burn relative to revenue.
The widening negative free cash flow margin signals increasing reliance on external financing or existing cash reserves.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased from the prior quarter but declined from a year earlier. Operating cash flow was more negative than both comparison periods, and capital expenditure was slightly higher than a year ago but lower than the prior quarter. Free cash flow margin widened in the negative direction, indicating weaker cash conversion.
Compared to the prior quarter, revenue was higher but operating cash flow and free cash flow were both more negative, resulting in a worsened free cash flow margin. Compared to the same quarter one year earlier, revenue was lower and all cash flow measures were substantially more negative.
Monitor the trajectory of operating cash flow, as it continued to widen its negative gap relative to revenue in both sequential and year-over-year comparisons.