Free cash flow takeaway
A quick read on the company's cash generation and what it means for investors.
Free cash flow remained negative in the current quarter but improved from the prior quarter as operating cash flow turned positive. Revenue was higher than both the prior quarter and the same quarter one year earlier, and free cash flow margin improved from a negative level to a less negative level.
- Revenue increased in the current quarter, while operating cash flow turned positive, leading to a narrower free cash flow deficit. Capital expenditure was slightly higher than the prior quarter, but the improvement in operating cash flow outweighed the increase in capital spending.
- Compared to the prior quarter, free cash flow improved due to a swing in operating cash flow from negative to positive. Versus the same quarter one year earlier, free cash flow declined from a positive level to a negative level, as operating cash flow was lower and capital expenditure was slightly higher.
FCF snapshot
Quarterly and TTM cash-flow metrics with the minimum valuation context.
TTM free cash flow
$1.1B
Trailing twelve-month free cash flow.
Quarter free cash flow
-$17.0M
Free cash flow in the selected fiscal quarter.
Operating cash flow
$57.0M
Cash generated by operations before capital spending.
CapEx
$74.0M
Capital spending and related asset purchases.
FCF margin
-0.2%
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 |
|---|---|---|---|---|---|
| 2024-09-30 | $8.9B | $573.0M | $79.0M | $494.0M | 5.6% |
| 2024-12-31 | $10.2B | $1.3B | $93.0M | $1.2B | 12.2% |
| 2025-03-31 | $8.8B | -$546.0M | $64.0M | -$610.0M | -6.9% |
| 2025-06-30 | $9.6B | $57.0M | $74.0M | -$17.0M | -0.2% |
Cash conversion quality
Checks that separate high-quality free cash flow from accounting noise or working-capital timing.
| FCF / net income | -7.9% | Shows whether accounting earnings convert into cash. |
| CapEx / revenue | 0.8% | Lower capital intensity usually supports FCF margin. |
| Net cash | -$3.0B | Cash and equivalents minus total debt. |
Recent events shaping cash flow
Near-term business events that help explain the free cash flow result.
Operating Cash Flow Recovery
Operating cash flow turned positive in the current quarter, reversing a significant outflow in the prior quarter. Capital expenditure remained relatively stable, so the swing in operating cash flow was the primary factor behind the improvement in free cash flow.
This recovery narrowed the free cash flow deficit, but free cash flow remained negative, indicating continued reliance on external financing.
What the cash flow says
How to interpret the company's free cash flow beyond the headline number.
Revenue increased in the current quarter, while operating cash flow turned positive, leading to a narrower free cash flow deficit. Capital expenditure was slightly higher than the prior quarter, but the improvement in operating cash flow outweighed the increase in capital spending.
Compared to the prior quarter, free cash flow improved due to a swing in operating cash flow from negative to positive. Versus the same quarter one year earlier, free cash flow declined from a positive level to a negative level, as operating cash flow was lower and capital expenditure was slightly higher.
Monitor the company's capital expenditure commitments, which include anticipated spending and co-investment fund obligations, as these could affect future free cash flow.