Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
In the current quarter, free cash flow was positive, reflecting a conversion of revenue into cash after capital expenditure. The free cash flow margin improved significantly from the same quarter one year earlier but declined from the preceding quarter.
- Revenue was unchanged from the preceding quarter, while operating cash flow decreased, resulting in a lower free cash flow margin. Compared to the same quarter last year, revenue was higher, operating cash flow was higher, and capital expenditure was lower, leading to a notable improvement in free cash flow and margin.
- Compared to the preceding quarter, free cash flow and margin weakened due to lower operating cash flow despite similar revenue. Compared to the same quarter one year earlier, all metrics improved: revenue, operating cash flow, and free cash flow turned positive.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$523.6M
Trailing twelve-month free cash flow.
Quarter free cash flow
$90.7M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$204.9M
Cash generated by operations before capital spending.
CapEx
$114.3M
Capital spending and related asset purchases.
FCF margin
2.3%
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 |
|---|---|---|---|---|---|
| 2024-04-30 | $3.6B | $288.4M | $196.3M | $92.1M | 2.6% |
| 2024-07-31 | $4.1B | $281.4M | $100.6M | $180.8M | 4.4% |
| 2024-10-31 | $3.9B | $270.7M | $110.7M | $160.0M | 4.1% |
| 2025-01-31 | $3.9B | $204.9M | $114.3M | $90.7M | 2.3% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | 104.1% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 2.9% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$2.3B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Year-over-Year Free Cash Flow Improvement
Operating cash flow grew substantially compared to the same quarter last year, while capital expenditure decreased, flipping free cash flow from negative to positive.
The improvement in free cash flow margin demonstrates stronger cash generation per dollar of revenue.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue was unchanged from the preceding quarter, while operating cash flow decreased, resulting in a lower free cash flow margin. Compared to the same quarter last year, revenue was higher, operating cash flow was higher, and capital expenditure was lower, leading to a notable improvement in free cash flow and margin.
Compared to the preceding quarter, free cash flow and margin weakened due to lower operating cash flow despite similar revenue. Compared to the same quarter one year earlier, all metrics improved: revenue, operating cash flow, and free cash flow turned positive.
Monitor the company's current ratio and available credit facilities, as noted in the filing, for liquidity support.