Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow increased from both the prior quarter and the same quarter last year, driven by revenue growth and lower capital expenditure compared to a year ago. The free cash flow margin improved from the prior quarter and remained stable year over year.
- Revenue rose sequentially and year over year, while operating cash flow increased from the prior quarter but slightly decreased from a year ago. Capital expenditure was lower than both periods, supporting free cash flow growth and a stable margin relative to the prior year.
- Compared to the prior quarter, revenue, operating cash flow, and free cash flow were all higher, with the free cash flow margin expanding. Versus the same quarter last year, revenue was higher, operating cash flow was lower, but free cash flow was higher due to reduced capital expenditure, resulting in an unchanged free cash flow margin.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$542.0M
Trailing twelve-month free cash flow.
Quarter free cash flow
$568.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$649.0M
Cash generated by operations before capital spending.
CapEx
$81.0M
Capital spending and related asset purchases.
FCF margin
9.3%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $6.0B | -$269.0M | $92.0M | -$361.0M | -6.0% |
| 2024-12-31 | $5.1B | $132.0M | $217.0M | -$85.0M | -1.7% |
| 2025-03-31 | $5.2B | $483.0M | $63.0M | $420.0M | 8.0% |
| 2025-06-30 | $6.1B | $649.0M | $81.0M | $568.0M | 9.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 96.1% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 1.3% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$9.6B | 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
Revenue increased from both the prior quarter and the same quarter last year, providing a strong base for cash generation.
Higher revenue supported higher operating cash flow and free cash flow despite slightly lower cash conversion efficiency compared to a year ago.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue rose sequentially and year over year, while operating cash flow increased from the prior quarter but slightly decreased from a year ago. Capital expenditure was lower than both periods, supporting free cash flow growth and a stable margin relative to the prior year.
Compared to the prior quarter, revenue, operating cash flow, and free cash flow were all higher, with the free cash flow margin expanding. Versus the same quarter last year, revenue was higher, operating cash flow was lower, but free cash flow was higher due to reduced capital expenditure, resulting in an unchanged free cash flow margin.
Monitor capital expenditure trends, as lower spending contributed to free cash flow growth this quarter.